Bill Text: MI HB4050 | 2019-2020 | 100th Legislature | Introduced
Bill Title: Property tax: assessments; transfer of ownership from a general or limited partnership to certain individuals; allow to be exempt from uncapping taxes after transfer. Amends sec. 27a of 1893 PA 206 (MCL 211.27a).
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2019-10-30 - Referred To Committee On Ways And Means [HB4050 Detail]
Download: Michigan-2019-HB4050-Introduced.html
HOUSE BILL No. 4050
January 16, 2019, Introduced by Rep. Inman and referred to the Committee on Local Government and Municipal Finance.
A bill to amend 1893 PA 206, entitled
"The general property tax act,"
by amending section 27a (MCL 211.27a), as amended by 2016 PA 375.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 27a. (1) Except as otherwise provided in this section,
property shall be assessed at 50% of its true cash value under
section 3 of article IX of the state constitution of 1963.
(2) Except as otherwise provided in subsection (3), for taxes
levied in 1995 and for each year after 1995, the taxable value of
each parcel of property is the lesser of the following:
(a) The property's taxable value in the immediately preceding
year minus any losses, multiplied by the lesser of 1.05 or the
inflation rate, plus all additions. For taxes levied in 1995, the
property's taxable value in the immediately preceding year is the
property's state equalized valuation in 1994.
(b) The property's current state equalized valuation.
(3) Upon a transfer of ownership of property after 1994, the
property's taxable value for the calendar year following the year
of the transfer is the property's state equalized valuation for the
calendar year following the transfer.
(4) If the taxable value of property is adjusted under
subsection (3), a subsequent increase in the property's taxable
value is subject to the limitation set forth in subsection (2)
until a subsequent transfer of ownership occurs. If the taxable
value of property is adjusted under subsection (3) and the assessor
determines that there had not been a transfer of ownership, the
taxable value of the property shall be adjusted at the July or
December board of review. Notwithstanding the limitation provided
in section 53b(1) on the number of years for which a correction may
be made, the July or December board of review may adjust the
taxable value of property under this subsection for the current
year and for the 3 immediately preceding calendar years. A
corrected tax bill shall be issued for each tax year for which the
taxable value is adjusted by the local tax collecting unit if the
local tax collecting unit has possession of the tax roll or by the
county treasurer if the county has possession of the tax roll. For
purposes of section 53b, an adjustment under this subsection shall
be considered the correction of a clerical error.
(5) Assessment of property, as required in this section and
section 27, is inapplicable to the assessment of property subject
to the levy of ad valorem taxes within voted tax limitation
increases to pay principal and interest on limited tax bonds issued
by any governmental unit, including a county, township, community
college district, or school district, before January 1, 1964, if
the assessment required to be made under this act would be less
than the assessment as state equalized prevailing on the property
at the time of the issuance of the bonds. This inapplicability
continues until levy of taxes to pay principal and interest on the
bonds is no longer required. The assessment of property required by
this act applies for all other purposes.
(6) As used in this act, "transfer of ownership" means the
conveyance of title to or a present interest in property, including
the beneficial use of the property, the value of which is
substantially equal to the value of the fee interest. Transfer of
ownership of property includes, but is not limited to, the
following:
(a) A conveyance by deed.
(b) A conveyance by land contract. The taxable value of
property conveyed by a land contract executed after December 31,
1994 shall be adjusted under subsection (3) for the calendar year
following the year in which the contract is entered into and shall
not be subsequently adjusted under subsection (3) when the deed
conveying title to the property is recorded in the office of the
register of deeds in the county in which the property is located.
(c) A conveyance to a trust after December 31, 1994, except
under any of the following conditions:
(i) If the settlor or the settlor's spouse, or both, conveys
the property to the trust and the sole present beneficiary or
beneficiaries are the settlor or the settlor's spouse, or both.
(ii) Beginning December 31, 2014, for residential real
property, if the settlor or the settlor's spouse, or both, conveys
the residential real property to the trust and the sole present
beneficiary or beneficiaries are the settlor's or the settlor's
spouse's mother, father, brother, sister, son, daughter, adopted
son, adopted daughter, grandson, or granddaughter and the
residential real property is not used for any commercial purpose
following the conveyance. Upon request by the department of
treasury or the assessor, the sole present beneficiary or
beneficiaries shall furnish proof within 30 days that the sole
present beneficiary or beneficiaries meet the requirements of this
subparagraph. If a present beneficiary fails to comply with a
request by the department of treasury or assessor under this
subparagraph, that present beneficiary is subject to a fine of
$200.00.
(d) A conveyance by distribution from a trust, except under
any of the following conditions:
(i) If the distributee is the sole present beneficiary or the
spouse of the sole present beneficiary, or both.
(ii) Beginning December 31, 2014, a distribution of
residential real property if the distributee is the settlor's or
the settlor's spouse's mother, father, brother, sister, son,
daughter, adopted son, adopted daughter, grandson, or granddaughter
and the residential real property is not used for any commercial
purpose following the conveyance. Upon request by the department of
treasury or the assessor, the sole present beneficiary or
beneficiaries shall furnish proof within 30 days that the sole
present beneficiary or beneficiaries meet the requirements of this
subparagraph. If a present beneficiary fails to comply with a
request by the department of treasury or assessor under this
subparagraph, that present beneficiary is subject to a fine of
$200.00.
(e) A change in the sole present beneficiary or beneficiaries
of a trust, except under any of the following conditions:
(i) A change that adds or substitutes the spouse of the sole
present beneficiary.
(ii) Beginning December 31, 2014, for residential real
property, a change that adds or substitutes the settlor's or the
settlor's spouse's mother, father, brother, sister, son, daughter,
adopted son, adopted daughter, grandson, or granddaughter and the
residential real property is not used for any commercial purpose
following the conveyance. Upon request by the department of
treasury or the assessor, the sole present beneficiary or
beneficiaries shall furnish proof within 30 days that the sole
present beneficiary or beneficiaries meet the requirements of this
subparagraph. If a present beneficiary fails to comply with a
request by the department of treasury or assessor under this
subparagraph, that present beneficiary is subject to a fine of
$200.00.
(f) A conveyance by distribution under a will or by intestate
succession, except under any of the following conditions:
(i) If the distributee is the decedent's spouse.
(ii) Beginning December 31, 2014, for residential real
property, if the distributee is the decedent's or the decedent's
spouse's mother, father, brother, sister, son, daughter, adopted
son, adopted daughter, grandson, or granddaughter and the
residential real property is not used for any commercial purpose
following the conveyance. Upon request by the department of
treasury or the assessor, the sole present beneficiary or
beneficiaries shall furnish proof within 30 days that the sole
present beneficiary or beneficiaries meet the requirements of this
subparagraph. If a present beneficiary fails to comply with a
request by the department of treasury or assessor under this
subparagraph, that present beneficiary is subject to a fine of
$200.00.
(g) A conveyance by lease if the total duration of the lease,
including the initial term and all options for renewal, is more
than 35 years or the lease grants the lessee a bargain purchase
option. As used in this subdivision, "bargain purchase option"
means the right to purchase the property at the termination of the
lease for not more than 80% of the property's projected true cash
value at the termination of the lease. After December 31, 1994, the
taxable value of property conveyed by a lease with a total duration
of more than 35 years or with a bargain purchase option shall be
adjusted under subsection (3) for the calendar year following the
year in which the lease is entered into. This subdivision does not
apply to personal property except buildings described in section
14(6) and personal property described in section 8(h), (i), and
(j). This subdivision does not apply to that portion of the
property not subject to the leasehold interest conveyed.
(h) Except as otherwise provided in this subdivision, a
conveyance of an ownership interest in a corporation, partnership,
sole proprietorship, limited liability company, limited liability
partnership, or other legal entity if the ownership interest
conveyed is more than 50% of the corporation, partnership, sole
proprietorship, limited liability company, limited liability
partnership, or other legal entity. Unless notification is provided
under subsection (10), the corporation, partnership, sole
proprietorship, limited liability company, limited liability
partnership, or other legal entity shall notify the assessing
officer on a form provided by the state tax commission not more
than 45 days after a conveyance of an ownership interest that
constitutes a transfer of ownership under this subdivision. Both of
the following apply to a corporation subject to 1897 PA 230, MCL
455.1 to 455.24:
(i) A transfer of stock of the corporation is a transfer of
ownership only with respect to the real property that is assessed
to the transferor lessee stockholder.
(ii) A cumulative conveyance of more than 50% of the
corporation's stock does not constitute a transfer of ownership of
the corporation's real property.
(i) A transfer of property held as a tenancy in common, except
that portion of the property not subject to the ownership interest
conveyed.
(j) A conveyance of an ownership interest in a cooperative
housing corporation, except that portion of the property not
subject to the ownership interest conveyed.
(k) Notwithstanding the provisions of section 7ee(5), at the
request of a property owner, an assessor's establishment of a
separate tax parcel for a portion of a parcel that ceases to be
qualified agricultural property but is not subject to a land
division under the land division act, 1967 PA 288, MCL 560.101 to
560.293, or any local ordinance. For purposes of this subdivision,
a transfer of ownership occurs only as to that portion of the
parcel established as a separate tax parcel and only that portion
shall have its taxable value adjusted under subsection (3) and
shall be subject to the recapture tax provided for under the
agricultural property recapture act, 2000 PA 261, MCL 211.1001 to
211.1007. The adjustment under subsection (3) shall be made as of
the December 31 in the year that the portion of the parcel
established as a separate tax parcel ceases to be qualified
agricultural property. A portion of a parcel subject to this
subdivision is considered a separate tax parcel only for those
purposes described in this subdivision.
(7) Transfer of ownership does not include the following:
(a) The transfer of property from 1 spouse to the other spouse
or from a decedent to a surviving spouse.
(b)
A transfer from a husband, a wife, or a married couple 1
or both spouses creating or disjoining a tenancy by the entireties
in the grantors or the grantor and his or her spouse.
(c) Subject to subdivision (d), a transfer of that portion of
property subject to a life estate or life lease retained by the
transferor, until expiration or termination of the life estate or
life lease. That portion of property transferred that is not
subject to a life lease shall be adjusted under subsection (3).
(d) Beginning December 31, 2014, a transfer of that portion of
residential real property that had been subject to a life estate or
life lease retained by the transferor resulting from expiration or
termination of that life estate or life lease, if the transferee is
the transferor's or transferor's spouse's mother, father, brother,
sister, son, daughter, adopted son, adopted daughter, grandson, or
granddaughter and the residential real property is not used for any
commercial purpose following the transfer. Upon request by the
department of treasury or the assessor, the transferee shall
furnish proof within 30 days that the transferee meets the
requirements of this subdivision. If a transferee fails to comply
with a request by the department of treasury or assessor under this
subdivision, that transferee is subject to a fine of $200.00.
(e) A transfer through foreclosure or forfeiture of a recorded
instrument under chapter 31, 32, or 57 of the revised judicature
act of 1961, 1961 PA 236, MCL 600.3101 to 600.3285 and MCL 600.5701
to 600.5759, or through deed or conveyance in lieu of a foreclosure
or forfeiture, until the mortgagee or land contract vendor
subsequently transfers the property. If a mortgagee does not
transfer the property within 1 year of the expiration of any
applicable redemption period, the property shall be adjusted under
subsection (3).
(f) A transfer by redemption by the person to whom taxes are
assessed of property previously sold for delinquent taxes.
(g) A conveyance to a trust if the settlor or the settlor's
spouse, or both, conveys the property to the trust and any of the
following conditions are satisfied:
(i) If the sole present beneficiary of the trust is the
settlor or the settlor's spouse, or both.
(ii) Beginning December 31, 2014, for residential real
property, if the sole present beneficiary of the trust is the
settlor's or the settlor's spouse's mother, father, brother,
sister, son, daughter, adopted son, adopted daughter, grandson, or
granddaughter and the residential real property is not used for any
commercial purpose following the conveyance. Upon request by the
department of treasury or the assessor, the sole present
beneficiary or beneficiaries shall furnish proof within 30 days
that the sole present beneficiary or beneficiaries meet the
requirements of this subparagraph. If a present beneficiary fails
to comply with a request by the department of treasury or assessor
under this subparagraph, that present beneficiary is subject to a
fine of $200.00.
(h) A transfer pursuant to a judgment or order of a court of
record making or ordering a transfer, unless a specific monetary
consideration is specified or ordered by the court for the
transfer.
(i) A transfer creating or terminating a joint tenancy between
2 or more persons if at least 1 of the persons was an original
owner of the property before the joint tenancy was initially
created and, if the property is held as a joint tenancy at the time
of conveyance, at least 1 of the persons was a joint tenant when
the joint tenancy was initially created and that person has
remained a joint tenant since the joint tenancy was initially
created. A joint owner at the time of the last transfer of
ownership of the property is an original owner of the property. For
purposes of this subdivision, a person is an original owner of
property owned by that person's spouse.
(j) A transfer for security or an assignment or discharge of a
security interest.
(k) A transfer of real property or other ownership interests
among members of an affiliated group. As used in this subsection,
"affiliated group" means 1 or more corporations connected by stock
ownership to a common parent corporation. Upon request by the state
tax commission, a corporation shall furnish proof within 45 days
that a transfer meets the requirements of this subdivision. A
corporation that fails to comply with a request by the state tax
commission under this subdivision is subject to a fine of $200.00.
(l) Normal public trading of shares of stock or other
ownership interests that, over any period of time, cumulatively
represent more than 50% of the total ownership interest in a
corporation or other legal entity and are traded in multiple
transactions involving unrelated individuals, institutions, or
other legal entities.
(m) A transfer of real property or other ownership interests
among corporations, partnerships, limited liability companies,
limited liability partnerships, or other legal entities if the
entities involved are commonly controlled. Upon request by the
state tax commission, a corporation, partnership, limited liability
company, limited liability partnership, or other legal entity shall
furnish proof within 45 days that a transfer meets the requirements
of this subdivision. A corporation, partnership, limited liability
company, limited liability partnership, or other legal entity that
fails to comply with a request by the state tax commission under
this subdivision is subject to a fine of $200.00.
(n) A direct or indirect transfer of real property or other
ownership interests resulting from a transaction that qualifies as
a tax-free reorganization under section 368 of the internal revenue
code, 26 USC 368. Upon request by the state tax commission, a
property owner shall furnish proof within 45 days that a transfer
meets the requirements of this subdivision. A property owner who
fails to comply with a request by the state tax commission under
this subdivision is subject to a fine of $200.00.
(o) Except as provided in subsection (6)(k), a transfer of
qualified agricultural property, if the person to whom the
qualified agricultural property is transferred files an affidavit
with the assessor of the local tax collecting unit in which the
qualified agricultural property is located and with the register of
deeds for the county in which the qualified agricultural property
is located attesting that the qualified agricultural property will
remain qualified agricultural property. The affidavit under this
subdivision shall be in a form prescribed by the department of
treasury. An owner of qualified agricultural property shall inform
a prospective buyer of that qualified agricultural property that
the qualified agricultural property is subject to the recapture tax
provided in the agricultural property recapture act, 2000 PA 261,
MCL 211.1001 to 211.1007, if the qualified agricultural property is
converted by a change in use, as that term is defined in section 2
of the agricultural property recapture act, 2000 PA 261, MCL
211.1002. If property ceases to be qualified agricultural property
at any time after a transfer subject to this subdivision, all of
the following shall occur:
(i) The taxable value of that property, or, if subsection
(6)(k) applies, a portion of it established as a separate tax
parcel, shall be adjusted under subsection (3) as of the December
31 in the year that the property, or, if subsection (6)(k) applies,
a portion of it established as a separate tax parcel, ceases to be
qualified agricultural property.
(ii) The property, or, if subsection (6)(k) applies, a portion
of it established as a separate tax parcel, is subject to the
recapture tax provided for under the agricultural property
recapture act, 2000 PA 261, MCL 211.1001 to 211.1007.
(p) A transfer of qualified forest property, if the person to
whom the qualified forest property is transferred files a qualified
forest taxable value affidavit with the assessor of the local tax
collecting unit in which the qualified forest property is located
and with the register of deeds for the county in which the
qualified forest property is located attesting that the qualified
forest property will remain qualified forest property. The
qualified forest taxable value affidavit under this subdivision
shall be in a form prescribed by the department of agriculture and
rural development. The qualified forest taxable value affidavit
shall include a legal description of the qualified forest property,
the name of the new property owner, the year the transfer of the
property occurred, a statement indicating that the property owner
is attesting that the property for which the exemption is claimed
is qualified forest property and will be managed according to the
approved forest management plan, and any other information
pertinent to the parcel and the property owner. The property owner
shall provide a copy of the qualified forest taxable value
affidavit to the department. The department shall provide 1 copy of
the qualified forest taxable value affidavit to the local tax
collecting unit, 1 copy to the conservation district, and 1 copy to
the department of treasury. These copies may be sent
electronically. The exception to the recognition of a transfer of
ownership, as herein stated, extends to the land only of the
qualified forest property. If qualified forest property is improved
by buildings, structures, or land improvements, then those
improvements shall be recognized as a transfer of ownership, in
accordance with the provisions of section 7jj[1]. An owner of
qualified forest property shall inform a prospective buyer of that
qualified forest property that the qualified forest property is
subject to the recapture tax provided in the qualified forest
property recapture tax act, 2006 PA 379, MCL 211.1031 to 211.1036,
if the qualified forest property is converted by a change in use,
as that term is defined in section 2 of the qualified forest
property recapture tax act, 2006 PA 379, MCL 211.1032. If property
ceases to be qualified forest property at any time after being
transferred, all of the following shall occur:
(i) The taxable value of that property shall be adjusted under
subsection (3) as of the December 31 in the year that the property
ceases to be qualified forest property, except to the extent that
the transfer of the qualified forest property would not have been
considered a transfer of ownership under this subsection.
(ii) Except as otherwise provided in subparagraph (iii), the
property is subject to the recapture tax provided for under the
qualified forest property recapture tax act, 2006 PA 379, MCL
211.1031 to 211.1036.
(iii) Beginning June 1, 2013 and ending November 30, 2013,
owners of property enrolled as qualified forest property before
January 1, 2013 may execute a new qualified forest taxable value
affidavit with the department of agriculture and rural development.
If a landowner elects to execute a qualified forest taxable value
affidavit, that owner is not required to pay the $50.00 fee
required under section 7jj[1](2). If a landowner elects not to
execute a qualified forest taxable value affidavit, the existing
affidavit shall be rescinded, without subjecting the property to
the recapture tax provided for under the qualified forest property
recapture tax act, 2006 PA 379, MCL 211.1031 to 211.1036, and the
taxable value of that property shall be adjusted under subsection
(3).
(q) Beginning on December 8, 2006, a transfer of land, but not
buildings or structures located on the land, which meets 1 or more
of the following requirements:
(i) The land is subject to a conservation easement under
subpart 11 of part 21 of the natural resources and environmental
protection act, 1994 PA 451, MCL 324.2140 to 324.2144. As used in
this subparagraph, "conservation easement" means that term as
defined in section 2140 of the natural resources and environmental
protection act, 1994 PA 451, MCL 324.2140.
(ii) A transfer of ownership of the land or a transfer of an
interest in the land is eligible for a deduction as a qualified
conservation contribution under section 170(h) of the internal
revenue code, 26 USC 170.
(r) A transfer of real property or other ownership interests
resulting from a consolidation or merger of a domestic nonprofit
corporation that is a boy or girl scout or camp fire girls
organization, a 4-H club or foundation, a young men's Christian
association, or a young women's Christian association and at least
50% of the members of that organization or association are
residents of this state.
(s) A change to the assessment roll or tax roll resulting from
the application of section 16a of 1897 PA 230, MCL 455.16a.
(t) Beginning December 31, 2013 through December 30, 2014, a
transfer of residential real property if the transferee is related
to the transferor by blood or affinity to the first degree and the
use of the residential real property does not change following the
transfer.
(u) Beginning December 31, 2014, a transfer of residential
real property if the transferee is the transferor's or the
transferor's spouse's mother, father, brother, sister, son,
daughter, adopted son, adopted daughter, grandson, or granddaughter
and the residential real property is not used for any commercial
purpose following the conveyance. Upon request by the department of
treasury or the assessor, the transferee shall furnish proof within
30 days that the transferee meets the requirements of this
subdivision. If a transferee fails to comply with a request by the
department of treasury or assessor under this subdivision, that
transferee is subject to a fine of $200.00.
(v) Beginning December 31, 2014, for residential real
property, a conveyance from a trust if the person to whom the
residential real property is conveyed is the settlor's or the
settlor's spouse's mother, father, brother, sister, son, daughter,
adopted son, adopted daughter, grandson, or granddaughter and the
residential real property is not used for any commercial purpose
following the conveyance. Upon request by the department of
treasury or the assessor, the sole present beneficiary or
beneficiaries shall furnish proof within 30 days that the sole
present beneficiary or beneficiaries meet the requirements of this
subdivision. If a present beneficiary fails to comply with a
request by the department of treasury or assessor under this
subdivision, that present beneficiary is subject to a fine of
$200.00.
(w) Beginning on March 31, 2015, a conveyance of land by
distribution under a will or trust or by intestate succession, but
not buildings or structures located on the land, which meets 1 or
more of the following requirements:
(i) The land is made subject to a conservation easement under
subpart 11 of part 21 of the natural resources and environmental
protection act, 1994 PA 451, MCL 324.2140 to 324.2144, prior to the
conveyance by distribution under a will or trust or by intestate
succession. As used in this subparagraph, "conservation easement"
means that term as defined in section 2140 of the natural resources
and environmental protection act, 1994 PA 451, MCL 324.2140.
(ii) The land or an interest in the land is made eligible for
a deduction as a qualified conservation contribution under section
170(h) of the internal revenue code, 26 USC 170, prior to the
conveyance by distribution under a will or trust or by intestate
succession.
(x) A conveyance of property under section 2120a(6) of the
natural resources and environmental protection act, 1994 PA 451,
MCL 324.2120a.
(y) A transfer of residential real property from a general
partnership or limited partnership whose partners are all closely
related for the entire duration of the partnership if, immediately
before the transfer, the transferee is 1 or more of the closely
related partners or is 1 or more individuals each of whom is
closely related to at least 1 of the partners of the general
partnership or limited partnership, and if the residential real
property is not used for any commercial purpose after the transfer.
For purposes of this subdivision, an individual is closely related
to a partner of a general partnership or limited partnership if
that individual and the partner are spouses or if that individual
is the partner's or the partner's spouse's mother, father, brother,
sister, son, daughter, adopted son, adopted daughter, grandson, or
granddaughter. Upon request by the department of treasury or the
assessor, a transferee shall furnish proof within 45 days that a
transfer meets the requirements of this subdivision. If a
transferee fails to comply with a request by the department of
treasury or assessor under this subdivision, that transferee is
subject to a fine of $200.00.
(8) If all of the following conditions are satisfied, the
local tax collecting unit shall revise the taxable value of
qualified agricultural property taxable on the tax roll in the
possession of that local tax collecting unit to the taxable value
that qualified agricultural property would have had if there had
been no transfer of ownership of that qualified agricultural
property since December 31, 1999 and there had been no adjustment
of that qualified agricultural property's taxable value under
subsection (3) since December 31, 1999:
(a) The qualified agricultural property was qualified
agricultural property for taxes levied in 1999 and each year after
1999.
(b) The owner of the qualified agricultural property files an
affidavit with the assessor of the local tax collecting unit under
subsection (7)(o).
(9) If the taxable value of qualified agricultural property is
adjusted under subsection (8), the owner of that qualified
agricultural property is not entitled to a refund for any property
taxes collected under this act on that qualified agricultural
property before the adjustment under subsection (8).
(10) The register of deeds of the county where deeds or other
title documents are recorded shall notify the assessing officer of
the appropriate local taxing unit not less than once each month of
any recorded transaction involving the ownership of property and
shall make any recorded deeds or other title documents available to
that county's tax or equalization department. Unless notification
is provided under subsection (6), the buyer, grantee, or other
transferee of the property shall notify the appropriate assessing
office in the local unit of government in which the property is
located of the transfer of ownership of the property within 45 days
of the transfer of ownership, on a form prescribed by the state tax
commission that states the parties to the transfer, the date of the
transfer, the actual consideration for the transfer, and the
property's parcel identification number or legal description. Forms
filed in the assessing office of a local unit of government under
this subsection shall be made available to the county tax or
equalization department for the county in which that local unit of
government is located. This subsection does not apply to personal
property except buildings described in section 14(6) and personal
property described in section 8(h), (i), and (j).
(11) As used in this section:
(a) "Additions" means that term as defined in section 34d.
(b) "Beneficial use" means the right to possession, use, and
enjoyment of property, limited only by encumbrances, easements, and
restrictions of record.
(c) "Commercial purpose" means used in connection with any
business or other undertaking intended for profit, but does not
include the rental of residential real property for a period of
less than 15 days in a calendar year.
(d) "Inflation rate" means that term as defined in section
34d.
(e) "Losses" means that term as defined in section 34d.
(f) "Qualified agricultural property" means that term as
defined in section 7dd.
(g) "Qualified forest property" means that term as defined in
section 7jj[1].
(h) "Residential real property" means real property classified
as residential real property under section 34c.
