Scammers are contacting taxpayers while pretending to be from the Michigan Department of Treasury, using out‑of‑state phone numbers. They may request payments or attempt to trick you into providing your bank account information. Always verify the source before sharing any personal or financial details.
I have Michigan employees but my company is located in another state. Am I still required to withhold Michigan tax from the Michigan employees?
I have Michigan employees but my company is located in another state. Am I still required to withhold Michigan tax from the Michigan employees?
Yes, if the out-of-state company has created nexus (a physical presence) within Michigan the employer would be required to register with the Michigan Department of Treasury to withhold Michigan income tax.
Exception: If the employee working in Michigan is a resident of reciprocal state (i.e., Wisconsin, Indiana, Kentucky, Illinois, Ohio or Minnesota) do not withhold Michigan tax.