Why was my Unitary Business Group (UBG) return adjusted?

  • A designated member is a member of a UBG that has nexus with Michigan and will file the combined Michigan Business Tax (MBT) return on behalf of the UBG. If the controlling member has nexus, it must act as the designated member. If the controlling member does not have nexus, it must select any other UBG member with nexus to serve as the designated member. You will need to select a designated member with nexus and file an original MBT Return with that determination. If an ineligible designated member is selected, the return will be voided.

 

  • If you filed a combined return as a UBG and Form 4580 was not completed and attached for each member, the MBT return may be voided.
     
    • Form 4580 is necessary to obtain and combine data from each member of a UBG to support the return (Form 4567). Information must be submitted on Treasury-approved forms in order to process the return.
       
    • Using an alternative method to report member-level information is not acceptable
       
    • Information reported on each member’s Form 4580 must reconcile to what is calculated on the Combined Summary of Form 4580.
       
    • In addition, the information on the Combined Summary must reconcile the amounts reported on Form 4567 or the return will be adjusted to agree with the information reported on the member form 4580.
       
    • Including Form 4580 with your correspondence is not sufficient to correct the voided return; a complete amended return, including all forms, schedules and attachments, along with a properly-completed Treasury-approved Form 4580 for all members, must be filed in order to correct the original return.