Michigan
Short-term rental company sues Michigan over $18.7M tax bill
A nationwide short-term rental company is suing the state of Michigan over a tax audit that found the company owes about $18.7 million in unpaid use taxes to the state.
HomeAway, a Texas-based company best known for its vacation rental platform Vrbo, received a September bill for taxes due from the Michigan Department of Treasury for unpaid use taxes and interest in 2020, 2021 and 2022, totaling $18.7 million, according to the lawsuit filed in the Michigan Court of Claims.
HomeAway maintained in its Dec. 18 filing that it is the homeowners themselves who are responsible for collecting use taxes related to the short-term rental of their homes and remitting those taxes to the state.
“All funds representing use tax collected from guests were disbursed to the hosts,” the company said in its filing.
The state Department of Treasury and HomeAway declined to comment on pending litigation.
The tax fight comes amid a separate, but related, years-long fight in communities across the state and in the Legislature over how to best regulate and, in some cases, tax short-term rentals, which began to grow in popularity in Michigan after the 2008 housing crisis.
The Legislature has toyed with the idea of banning any local regulations over short-term rentals, putting some limits on those local regulations or establishing a statewide policy for short-term rental housing. State Rep. Mark Tisdel, R-Rochester Hills, helped introduce bills this fall that would allow communities to hold a vote on whether to tax short-term rentals locally to pay for essential services such as police or fire. The legislation has yet to receive a hearing.
In its suit filed Dec. 18 in the Michigan Court of Claims, HomeAway maintained that it was cognizant of the state’s 6% use tax and made provisions for its collection. But the ultimate remittance of that tax to the state is left to the homeowner.
When onboarding, according to the suit, a host or homeowner is given options regarding how they collect taxes. In Michigan, they could make it a percentage of the rental amount at booking or collect and remit the tax separately.
In either case, HomeAway argued, the host was responsible for paying the use tax. If the host made it a percentage of the rental amount due at booking, the taxes charged in the booking process were sent back to the host for remittance to the state. If the host indicated he or she would collect and remit on their own, the entire process was left to the host, according to the filing.
“The host acknowledged and represented that the host would handle tax collection from guests independent from HomeAway’s online checkout process,” HomeAway wrote in its filing. “…HomeAway never received or retained any tax amounts.”
In January 2023, the Department of Treasury began an audit of the prior three years, and in June 2025, the department issued a bill for taxes due for the audit period. The department found HomeAway wasn’t responsible for paying taxes if the host indicated he or she would collect and remit on their own. But the department maintained the company was responsible for remitting taxes where the host picked the option requiring the tax to be a percentage of the rental amount due at booking, the lawsuit said.
On Sept. 19, 2025, the Department of Treasury issued an $18.7 million bill, with about $15.1 million owed in use taxes and $3.6 million owed in interest. The bill included a total of $676,246 in use tax and interest for 2020, $8.6 million for 2021 and $9.5 million for 2022.
“The department — for the first time during the audit — alleged that for all bookings for which tax was collected on behalf of and at the request of the host, HomeAway unjustly enriched itself by failing to remit the collected taxes to the department,” the filing said.
The state treasury bills, attached to the lawsuit as exhibits, only note that the money due is for use tax and interest following an audit. There is no mention in the bills of which type of rentals HomeAway was responsible for when it came to remittance of the use tax.
HomeAway, in its lawsuit, denied that it was unjustly enriched, arguing the company didn’t keep any of the tax payments, but instead forwarded them to homeowners to remit to the state.
“It was the hosts — not HomeAway — that were responsible for remittance of use tax to the departments,” the filing said.
HomeAway also alleged the department’s audit violated the federal and state Equal Protection Clauses because it treated HomeAway differently from other similarly situated taxpayers.
“There is no precedent to support the department’s allegation, nor has the department applied this theory to similarly situated taxpayers,” the filing said.
eleblanc@detroitnews.com
Michigan
Tom Izzo angry at former Michigan State star for courtside ejection
EAST LANSING – Michigan State was rolling to a win against USC when there was a stoppage in play with six minutes remaining in the second half on Monday night.
It had nothing to do with what was happening on the court at the Breslin Center.
Referee Jeffrey Anderson blew his whistle to eject a fan sitting a few rows off the floor. The individual booted happened to be Paul Davis, who starred at center for the Spartans from 2002-06.
“He kind of got after the official and he was 150 percent wrong,” Izzo said of Davis after the No. 12 Spartans (13-2, 3-1 Big Ten) won 80-51 against the Trojans on Monday, “and for a guy like me to 150 percent agree with the official, it’s almost illegal.”
Michigan State fans were upset about a foul call on the other end of the floor when Davis stood up and said something Anderson immediately objected to. That led to a hook.
Despite being tossed, Davis attempted to stay in his seat while taking a drink from an alcoholic beverage container. Anderson didn’t let it slide and provided an explanation to Izzo, who was less than thrilled and yelled across the court questioning what his former player was doing.
Davis finally stood up after being told to leave by associate athletic director Seth Kesler but took his time and brushed two hands against his chest. That prompted Izzo to scream, appearing to tell his former center to “get outta here.” Davis was walked up the stairs and watched the rest of the game from a concourse box.
“I love Paul Davis, I really do, he’s one of my favorite guys … but what he said he should never say anywhere in the world and that ticked me off,” Izzo said. “Just because it’s 25, 20 years later, I’m going to have to call him tomorrow and tell him what I thought of it. You know what he’ll say, ‘I screwed up, coach, I’m sorry.’”
Izzo claimed he was told what Davis said was nothing racial or sexual in nature but it was obviously enough to get the boot.
“It was just the wrong thing to say,” Izzo said, “and I’ll leave it at that.”
Davis ranks 10th on Michigan State’s career scoring list with 1,718 points, was a second-round NBA pick by the Clippers and spent four years in the league. Izzo praised the work Davis does with current players but the Hall of Fame coach in his 31st season leading the Spartans has never been ejected from a game.
“He made a mistake but he’s been really good with our players too,” Izzo said of Davis. “In the summer he comes up and helps work a guy out or he’s just around. Jud Heathcote used to always tell me sooner or later the game makes fools of us all. Once in a while, the game makes fools of our fans and definitely it’s made a fool of me more than a couple times.”
Michigan
Former Michigan star RB promoted to Eastern Michigan assistant head coach
Former Michigan running back and assistant coach Mike Hart is getting a promotion on Chris Creighton’s staff at Eastern Michigan.
The school announced Monday that Hart is being elevated to assistant head coach and will oversee the receivers in 2026. Michigan’s all-time leading rusher spent last season as an offensive analyst for the Eagles.
“Coach Hart is a winner,” Creighton said in a news release. “He has the ‘It’ factor. He selflessly helped us this year as an offensive analyst and made a positive impact. We know that he will be a major addition as assistant head coach and wide receivers coach.”
Hart has 14 years of college coaching experience, including a three-year stint as Michigan’s running backs coach from 2021-23. He served as interim head coach for one game during the Wolverines’ 2023 national championship season when Jim Harbaugh was suspended.
Under Hart, Michigan’s running backs thrived. Blake Corum rushed for 1,000 yards in consecutive seasons and was a third-round pick by the Rams in 2024. The Wolverines won the Big Ten all three years Hart was on staff, but they did not renew his contract after the 2023 campaign.
The 39-year-old began his coaching career at EMU in 2011 and also has had stints at Western Michigan (2014-15), Syracuse (2016) and Indiana (2017-2020).
As a player at Michigan, Hart was a two-time Doak Walker Award finalist and finished fifth in the 2006 Heisman Trophy voting. Last season, EMU finished 4-8 but was No. 2 in the Mid-American Conference in passing yards per game.
“I am excited to be a part of Eastern Michigan football,” Hart said in a release. “Coach Creighton is one of the best leaders of men I have ever been around, and I look forward to learning and being a part of his program. EMU football and the Ypsilanti community have always held a special place in my heart, and I am excited to help the team reach our goals for the 2026 season.”
Michigan
Michigan Lottery Daily 3, Daily 4 results for Jan. 4, 2026
Powerball, Mega Millions jackpots: What to know in case you win
Here’s what to know in case you win the Powerball or Mega Millions jackpot.
Just the FAQs, USA TODAY
The Michigan Lottery offers several draw games for those aiming to win big. Here’s a look at Jan. 4, 2026, results for each game:
Winning Daily 3 numbers from Jan. 4 drawing
Midday: 5-3-9
Evening: 3-2-4
Check Daily 3 payouts and previous drawings here.
Winning Daily 4 numbers from Jan. 4 drawing
Midday: 0-9-9-1
Evening: 2-0-5-4
Check Daily 4 payouts and previous drawings here.
Winning Lucky For Life numbers from Jan. 4 drawing
03-08-13-38-47, Lucky Ball: 02
Check Lucky For Life payouts and previous drawings here.
Winning Poker Lotto numbers from Jan. 4 drawing
KD-3D-3H-7H-2S
Check Poker Lotto payouts and previous drawings here.
Winning Fantasy 5 numbers from Jan. 4 drawing
05-09-13-18-27
02-06-16-18-34
Check Fantasy 5 payouts and previous drawings here.
Winning Daily Keno numbers from Jan. 4 drawing
06-08-10-16-21-24-25-29-36-44-47-52-54-55-58-63-65-66-76-77-78-79
Check Daily Keno payouts and previous drawings here.
Feeling lucky? Explore the latest lottery news & results
Are you a winner? Here’s how to claim your lottery prize
All Michigan Lottery retailers can redeem prizes up to $600. For prizes up to $99,999.99, winners have the option to submit their claim by mail or in person at one of Michigan Lottery’s Regional Offices.
To claim by mail, complete a ticket receipt form, sign your winning ticket, and send it along with original copies of your government-issued photo ID and Social Security card to the address below. Ensure the names on your ID and Social Security card match exactly. Claims should be mailed to:
Michigan Lottery
Attn: Claim Center
101 E. Hillsdale
P.O. Box 30023
Lansing, MI 48909
For prizes over $100,000, winners must claim their prize in person at the Michigan Lottery Headquarters in Lansing located at 101 E. Hillsdale in downtown Lansing. Each winner must present original versions of a valid government-issued photo ID (typically a driver’s license or state ID) and a Social Security card, ensuring that the names on both documents match exactly. To schedule an appointment, please call the Lottery Player Relations office at 844-887-6836, option 2.
If you prefer to claim in person at one of the Michigan Lottery Regional Offices for prizes under $100,000, appointments are required. Until further notice, please call 1-844-917-6325 to schedule an appointment. Regional office locations are as follows:
- Lansing: 101 E. Hillsdale St. Lansing; Phone: 844-917-6325
- Livonia: 33231 Plymouth Road, Livonia; Phone: 844-917-6325
- Sterling Heights: 34700 Dequindre Road, Sterling Heights; Phone: 844-917-6325
- Detroit: Cadillac Place, 3060 W. Grand Blvd., Suite L-600, Detroit; Phone: 844-917-6325
- Grand Rapids: 3391-B Plainfield Ave. NE, Grand Rapids; Phone: 844-917-6325
- Saginaw: Jerome T. Hart State Office Building, 411 E. Genesee Ave., Saginaw; Phone: 844-917-6325
For additional information, downloadable forms, and instructions, visit the Michigan Lottery’s prize claim page.
When are Michigan Lottery drawings held?
- Daily 3 & Daily 4: Midday at 12:59 p.m., Evening at 7:29 p.m.
- Fantasy 5: 7:29 p.m. daily
- Poker Lotto: 7:29 p.m. daily
- Lotto 47: 7:29 p.m. Wednesday and Saturday
- Lucky for Life: 10:38 p.m. daily
- Daily Keno: 7:29 p.m. daily
This results page was generated automatically using information from TinBu and a template written and reviewed by a Michigan editor. You can send feedback using this form.
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