DETROIT, Mich. – The city of Detroit is cracking down on who is avoiding paying the city income tax, and it’s fighting back in court, starting with one high-rise building and its tenants.
The new Cadillac Square Apartments has over 200 units and most of them are filled, but the city said tenants in only 41 of the 221 units filed income taxes within the city of Detroit.
The city has since filed a lawsuit against the apartment complex, demanding that it provide names, Social Security numbers and length of residency for each tenant.
City officials believe the majority of the people who call this high-rise home used a suburban address to avoid paying city taxes.
After many failed attempts to get the information from Cadillac Square, the city has filed a lawsuit.
Currently, Detroit residents must pay an income tax of 2.4 percent, and those who work in the city but live outside of Detroit must pay 1.2 percent.