Taxes in Holland

Holland applies Michigan's real statewide tax structure -- the Proposal A property-tax mechanic, a flat 4.25% state income tax, and a flat 6% sales tax -- and this record VERIFIES that Holland levies no separate local city income tax on top.

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Proposal A's real taxable-value growth cap

Michigan's Proposal A (1994) caps a Holland property's TAXABLE value growth at the lesser of 5% per year or the rate of inflation while held by the same owner, regardless of actual market appreciation -- producing a real, disclosed gap between long-time owners and recent buyers on comparable Holland homes, uncapping and resetting to State Equalized Value the year following a sale or transfer.

Ottawa County's effective property tax rate

Ottawa County's effective property tax rate carries a real, disclosed spread across sources reviewed: approximately 0.99%-1.05% per most citations, versus a notably higher 1.40% figure per a separate citation -- running at or below Michigan's own statewide effective range of 1.19%-1.54%.

Michigan's flat 4.25% state income tax, with NO added Holland city income tax

Michigan's real, current flat state income tax rate is 4.25%. This record verifies, rather than assumes, that Holland is NOT among the roughly 24 Michigan cities (Detroit, Grand Rapids, Lansing, Flint, and about 20 others) that levy a separate local city income tax -- one contradicted, low-confidence source claiming otherwise is disclosed and set aside in the base record's header.

Michigan's flat 6% sales tax, no local add-on

Michigan applies a flat 6% statewide sales tax rate with no local city or county add-on permitted anywhere in the state -- a genuinely simpler structure than states permitting jurisdiction-by-jurisdiction combined rates.

Key takeaways

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Last reviewed: 2026-08-25. Independent research; not financial, tax, or legal advice -- confirm current figures with a local professional before making a decision.