Credits 13. Will MBT credit carryforwards carry over to the Corporate Income Tax?

No. MBT credit carryforwards will not be useable under the CIT. The only taxpayers that will be able to use any type of MBT credit carryforward are those taxpayers with the right to elect to remain taxable under the MBT. Beginning January 1, 2012, those taxpayers will be:

a) a person or unitary business group that has been approved to receive, has received, or has been assigned a certificated credit but is not subject to the tax imposed under part 2 of the income tax act of 1967, 1967 PA 281, MCL 206.601 to 206.713, and that elects under section 500 to file a return and pay the tax imposed under this act, if any.

b) a person or unitary business group that has been approved to receive, has received, or has been assigned a certificated credit and that elected under section 680 of the income tax act of 1967, 1967 PA 281, MCL 206.680, to file a return and pay the tax imposed under this act, if any. MLC 208.1117(5), as amended by 2011 PA 39.

In other words, only those persons or unitary business groups that have a certificated credit as defined in MCL 208.1107(1) may elect to be subject to the MBT and continue to use MBT credit carryforwards.