Emergency-related state tax relief available for taxpayers located in multiple counties of Michigan impacted by severe weather.
Learn About Disaster Relief
Revenue Administrative Bulletin 2019-6
Revenue Administrative Bulletin 2019-6
Interest Rate – For Period: July 1, 2019 – December 31, 2019
Approved: April 17, 2019
(Replaces Revenue Administrative Bulletin 2018-23)
Note: See most current Interest Rate RAB for the current and historical rates.
RAB 2019-6. This Revenue Administrative Bulletin (RAB) establishes the annual rate of interest due on underpayments and overpayments for the period beginning on July 1, 2019, and ending on December 31, 2019.
A daily rate of interest (.0001751) (this rate is expressed in a seven-digit number format, rather than percent format) based on an adjusted annual rate of 6.39% will be added to a tax deficiency or an excessive claim for the period stated above. The effective annual rate of 6.39% was established pursuant to section 23(2) of the Revenue Act, MCL 205.23(2), at one percentage point above the “adjusted prime rate” charged by three commercial banks to large businesses.
The rate of interest as announced in this RAB also apply to overpayments as added under MCL 205.30(1) for periods after March 31, 1993. The rate of interest for periods prior to April 1, 1993, remains at the annual rate of 9%.
The following annual and corresponding daily rates of interest are in effect and will accrue during these periods:
|
Start Date |
End Date |
Annual Rate |
Daily Rate |
|
July 1, 2019 |
December 31, 2019 |
6.39% |
.0001751 |
|
January 1, 2019 |
June 30, 2019 |
5.9% |
.0001616 |
|
July 1, 2018 |
December 31, 2018 |
5.41% |
.0001482 |
|
January 1, 2018 |
June 30, 2018 |
5.15% |
.0001411 |
|
July 1, 2017 |
December 31, 2017 |
4.7% |
.0001288 |
|
January 1, 2017 |
June 30, 2017 |
4.5% |
.0001233 |
|
July 1, 2016 |
December 31, 2016 |
4.4% |
.0001202 |
|
January 1, 2016 |
June 30, 2016 |
4.25% |
.0001161 |
|
July 1, 2015 |
December 31, 2015 |
4.25% |
.0001164 |
|
January 1, 2015 |
June 30, 2015 |
4.25% |
.0001164 |
|
July 1, 2014 |
December 31, 2014 |
4.25% |
.0001164 |
|
January 1, 2014 |
June 30, 2014 |
4.25% |
.0001164 |
|
July 1, 2013 |
December 31, 2013 |
4.25% |
.0001164 |
|
January 1, 2013 |
June 30, 2013 |
4.25% |
.0001164 |
|
July 1, 2012 |
December 31, 2012 |
4.25% |
.0001161 |
|
January 1, 2012 |
June 30, 2012 |
4.25% |
.0001161 |
|
July 1, 2011 |
December 31, 2011 |
4.25% |
.0001164 |
|
January 1, 2011 |
June 30, 2011 |
4.25% |
.0001164 |
|
July 1, 2010 |
December 31, 2010 |
4.25% |
.0001164 |
|
January 1, 2010 |
June 30, 2010 |
4.25% |
.0001164 |
|
July 1, 2009 |
December 31, 2009 |
4.7% |
.0001288 |
|
January 1, 2009 |
June 30, 2009 |
6.0% |
.0001644 |
|
July 1, 2008 |
December 31, 2008 |
7.9% |
.0002151 |
|
January 1, 2008 |
June 30, 2008 |
9.2% |
.0002514 |
|
July 1, 2007 |
December 31, 2007 |
9.25% |
.0002534 |
|
January 1, 2007 |
June 30, 2007 |
9.1% |
.0002493 |
|
July 1, 2006 |
December 31, 2006 |
8.2% |
.0002245 |
|
January 1, 2006 |
June 30, 2006 |
7.2% |
.0001973 |
|
July 1, 2005 |
December 31, 2005 |
6.2% |
.0001699 |
|
January 1, 2005 |
June 30, 2005 |
5.2% |
.0001428 |
|
July 1, 2004 |
December 31, 2004 |
5.0% |
.0001366 |
|
January 1, 2004 |
June 30, 2004 |
5.0% |
.0001366 |
|
July 1, 2003 |
December 31, 2003 |
5.4% |
.0001479 |
|
January 1, 2003 |
June 30, 2003 |
5.8% |
.0001589 |
|
July 1, 2002 |
December 31, 2002 |
6.0% |
.0001644 |
|
January 1, 2002 |
June 30, 2002 |
8.0% |
.0002192 |
|
July 1, 2001 |
December 31, 2001 |
10.1% |
.0002767 |
|
January 1, 2001 |
June 30, 2001 |
10.4% |
.0002849 |
|
July 1, 2000 |
December 31, 2000 |
9.5% |
.0002596 |
|
January 1, 2000 |
June 30, 2000 |
8.9% |
.0002432 |
|
July 1, 1999 |
December 31, 1999 |
8.8% |
.0002411 |
|
January 1, 1999 |
June 30, 1999 |
9.5% |
.0002603 |
|
July 1, 1998 |
December 31, 1998 |
9.5% |
.0002603 |
|
January 1, 1998 |
June 30, 1998 |
9.5% |
.0002603 |
|
July 1, 1997 |
December 31, 1997 |
9.3% |
.0002548 |
|
January 1, 1997 |
June 30, 1997 |
9.25% |
.0002534 |
|
July 1, 1996 |
December 31, 1996 |
9.5% |
.0002596 |
|
January 1, 1996 |
June 30, 1996 |
9.9% |
.0002705 |
|
July 1, 1995 |
December 31, 1995 |
9.5% |
.0002603 |
|
January 1, 1995 |
June 30, 1995 |
8.2% |
.0002247 |
|
July 1, 1994 |
December 31, 1994 |
7.0% |
.0001918 |
|
January 1, 1994 |
June 30, 1994 |
7.0% |
.0001918 |
Example: Taxpayer A, who files on a calendar year basis, filed a MI-1040 return for 2017 showing tax due of $1,500.00. If the tax is not paid until August 21, 2019, the amount of interest calculated due from April 18, 2018 (2017 Income Taxes were due April 17, 2018, due to the federally-recognized Emancipation Day holiday), to August 21, 2019 (days are calculated from start date to end date, with end date included), is as follows:
|
Start Date of Interest Period |
End Date of Interest Period |
Number of Days in Interest Period |
Daily Interest Rate for Period |
Amount of Tax Due on Return |
Amount of Interest for Period |
|
April 18, 2018 |
June 30, 2018 |
74 |
.0001411 |
$1,500 |
$15.66 |
|
July 1, 2018 |
December 31, 2018 |
184 |
.0001482 |
$1,500 |
$40.90 |
|
January 1, 2019 |
June 30, 2019 |
181 |
.0001616 |
$1,500 |
$43.87 |
|
July 1, 2019 |
August 21, 2019 |
52 |
.0001751 |
$1,500 |
$13.66 |
Total Interest: $114.09
Tax Due: $1,500.00
Total Due: $1,614.09