State Budget Office
Beginning in 2018, taxable wages will not be calculated if you have a resident and a non-resident city at the same time. This could result in zero taxable or reduced taxable wages for residents being reported on your W-2 box 18. This is acceptable as each taxing city location in Michigan starts with the federal income tax reported in box 1 when preparing your local income tax return. For more information, please contact your tax preparer.