Plug Power Inc. has lost its bid to exempt hydrogen fuel equipment from Michigan personal property tax, after a state tribunal ruled the company failed to meet a key ownership requirement tied to the two Stellantis car plants it serves in Warren.
Tribunal Says Equipment Doesn't Qualify
The Michigan Tax Tribunal ruled that Plug Power's equipment does not qualify for the personal property tax exemption, according to Bloomberg Law News. Plug Power supplies hydrogen fuel to Stellantis NV forklifts at two Warren car plants, and the company provides hydrogen fuel cells along with equipment for dispensing and storing hydrogen at those sites, per the outlet's reporting. The dispute centers on a specific wrinkle in state tax law: the Michigan personal property tax exemption requires the party seeking the exemption to own the real property where its equipment is located, a requirement Bloomberg Law News reports Plug Power did not satisfy.
Stellantis operates the two car plants in Warren, where it makes parts for Chrysler vehicles and builds the Jeep Wagoneer, according to the same report. The tribunal opinion was written by Joshua M. Wease, per the opinion cited by Bloomberg Law News, and the tribunal posted its ruling on Friday.
Case History at the Tax Tribunal
Michigan Tax Tribunal records tied to the matter, filed as Plug Power Inc. v. City of Warren under docket number 23-000800, show a prehearing conference was held on September 9, 2025. A notice from the Michigan Tax Tribunal also lists an in-person hearing scheduled for April 21-24, 2026, in the same docket.
The ownership requirement at the heart of the case traces back to state statute. Under Michigan Compiled Laws Section 211.9m, personal property located on occupied real property is treated as predominantly used for industrial processing or direct integrated support only when a statutory calculation produces a result greater than 50 percent — a threshold that has tripped up other companies seeking similar exemptions.
Not the First Exemption Denied Under This Statute
Plug Power is not alone in running into trouble under that section of Michigan tax law. In a separate case, the Michigan Tax Tribunal's decision involving CJG LLC found that the petitioner had listed personal property at locations in Lincoln Park, Livonia, and other warehouses but failed to disclose those additional warehouse locations and what was stored there. The tribunal concluded in that case that the petitioner did not qualify for an exemption under MCL 211.9m, the same provision at issue in the Plug Power dispute.
