Bill Text: MI SB0192 | 2011-2012 | 96th Legislature | Engrossed
Bill Title: Probate; wills and estates; estate administration fee; allow deduction for amount of mortgage on real property. Amends secs. 871 & 877 of 1961 PA 236 (MCL 600.871 & 600.877).
Spectrum: Partisan Bill (Republican 5-0)
Status: (Passed) 2012-12-31 - Assigned Pa 0596'12 [SB0192 Detail]
Download: Michigan-2011-SB0192-Engrossed.html
SB-0192, As Passed House, December 12, 2012
HOUSE SUBSTITUTE FOR
SENATE BILL NO. 192
A bill to amend 1961 PA 236, entitled
"Revised judicature act of 1961,"
by amending sections 871 and 877 (MCL 600.871 and 600.877), section
871 as amended by 2005 PA 326.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 871. (1) In all decedents' estates in which proceedings
are instituted for probate, the probate court shall charge and
collect the following fees as an expense of administration on the
value of all assets, as of the date of death of the decedent, as
follows:
(a) In an estate of value of less than $1,000.00, $5.00 plus
1% of the amount over $500.00.
(b) In an estate of value of $1,000.00 or more, but less than
$3,000.00, $25.00.
(c) In an estate of value of $3,000.00 or more but less than
$10,000.00, $25.00 plus 5/8 of 1% of the amount over $3,000.00.
(d) In an estate of value of $10,000.00 or more but less than
$25,000.00, $68.75 plus 1/2 of 1% of the amount over $10,000.00.
(e) In an estate of value of $25,000.00 but less than
$50,000.00, $143.75 plus 3/8 of 1% of the amount over $25,000.00.
(f) In an estate of value of $50,000.00 but less than
$100,000.00, $237.50 plus 1/4 of 1% of the amount over $50,000.00.
(g) In an estate of value of $100,000.00 to $500,000.00,
$362.50 plus 1/8 of 1% of the amount over $100,000.00.
(h) For each additional $100,000.00 value, or larger fraction
thereof, over $500,000.00, $62.50.
(i) For each additional $100,000.00 value, or larger fraction
thereof, over $1,000,000.00, $31.25.
(2) Until December 31, 2017, in calculating a fee under
subsection (1), if real property that is included in the estate is
encumbered by or used as security for an indebtedness, the amount
of the indebtedness shall be deducted from the value of the real
property.
(3) (2)
The fees in subsection (1), rounded
to the whole
dollar,
shall be are due and payable to the probate court before
the
filing of the final account on
or before the closing of the
estate or within 1 year after the commencement of probate
proceedings, whichever occurs first. A final accounting shall not
be accepted by the probate court until the fees are paid in full
and shown as part of the final accounting. An official receipt
shall be issued to the payer when the fees are collected.
(4) By March 31, 2015 and each March 31 until March 31 2018,
the probate court shall do all of the following:
(a) Calculate the value of all assets in each estate in the
immediately preceding calendar year.
(b) If real property that is included in the estate is
encumbered by or used as security for an indebtedness, subtract
from the result of the calculation in subdivision (a) the total
amount of the indebtedness.
(c) Calculate the total amount of all fees collected under
subsection (1) in the immediately preceding calendar year.
(d) Submit to the state court administrative office the
results under subdivisions (a), (b), and (c).
Sec. 877. All fees received by the probate court during each
month
pursuant to under sections 871 to 874 shall be paid on or
before the tenth day of the succeeding month as follows:
(a)
Two-fifths Until December
31, 2017, 47.5% of each fee
shall be paid to the county treasurer and credited to the county
general fund. Beginning January 1, 2018, 40% of each fee shall be
paid to the county treasurer and credited to the county general
fund.
(b)
Three-fifths Until
December 31, 2017, 52.5% of each fee
shall be paid to the state treasurer and credited to the state
general fund. Beginning January 1, 2018, 60% of each fee shall be
paid to the state treasurer and credited to the state general fund.
