State Tax Returns: Michigan & Multi-State

Michigan taxes individual income at a flat rate, and your MI-1040 is generally due on the same date as your federal return. We prepare it together with your federal return so the numbers match.

• MI-1040 resident, part-year, and nonresident returns.
• Homestead Property Tax Credit (MI-1040CR) for eligible homeowners and renters.
• Retirement and pension subtractions for eligible retirees.
• Michigan estimated tax payments for self-employed and retired taxpayers.

Detroit and a number of other Michigan cities levy their own income tax on residents and on nonresidents who work in the city. Many taxpayers don't realize they owe until a notice arrives.

• City of Detroit resident and nonresident returns.
• Other Michigan cities with an income tax, such as Grand Rapids, Lansing, Flint, and Pontiac.
• Credits for city tax paid to another city, where allowed.

If you lived in one state and worked in another, moved during the year, or earn income from out-of-state property or businesses, you may need more than one state return.

• Part-year resident returns when you move into or out of Michigan.
• Nonresident returns for income earned in another state.
• Credits for taxes paid to other states, so you aren't taxed twice on the same income.
• Reciprocal agreements. Michigan has agreements with Illinois, Indiana, Kentucky, Minnesota, Ohio, and Wisconsin that can change where you file.

Michigan businesses that sell taxable goods collect 6% sales tax, and businesses that buy taxable items without paying Michigan tax may owe 6% use tax.

• Form 5080 monthly or quarterly sales, use, and withholding returns, generally due the 20th of the following month.
• Form 5081 annual sales, use, and withholding return, generally due February 28.
• Filing through Michigan Treasury Online (MTO), on the schedule Treasury assigns to your business.
• Use tax on out-of-state and online purchases for businesses and individuals.