Corporate Income Tax
Corporate Income Tax- Due to the COVID-19 pandemic and Gov. Gretchen Whitmer’s “Stay Home, Stay Safe” Executive Order, only online tax services are available at this time. Please submit your questions online by selecting “Check My Account Information” and choosing “Account Information”. Please allow 72 hours to receive a response. We appreciate your patience and understanding during this time.
Did You Know?
- Notice To Taxpayers Regarding Overpayments Remaining On Michigan Business Tax Accounts
- Contact CIT
- CIT Forms are now available under Forms and Instructions.
Michigan Corporate Income Tax (CIT)
- About the Corporate Income Tax
The Michigan Corporate Income Tax (CIT) was signed into law by Governor Rick Snyder on May 25, 2011. The CIT imposes a 6% corporate income tax on C corporations and taxpayers taxed as corporations federally. The CIT has one credit, the small business alternative credit, which offers an alternate tax rate of 1.8% of adjusted business income. There are no other credits, except those under the MBT election (addressed below). Insurance companies and financial institutions pay alternative taxes. The CIT replaces the Michigan Business Tax (MBT) for most taxpayers, effective January 1, 2012. Taxpayers with less than $350,000 in allocated or apportioned gross receipts and/or less than or equal to $100 in annual liability are not required to file or pay the CIT. The gross receipts threshold does not apply to financial institutions or insurance companies.
Additionally, on May 25, 2011, the Governor signed into law the MBT election which enables certain MBT taxpayers with certificated or awarded credits to continue using those credits once the CIT is in place. Such taxpayers may elect to continue filing and paying under the MBT until the expiration of the previously-awarded certificated credits.
