Updated Notice: Automatic Extension to May 17, 2021 for Individual and Composite State Income Tax Returns Originally Due on April 15, 2021

Date: April 28, 2021

This Notice updates the Department's prior Notice extending the income tax filing due date from April 15, 2021 to May 17, 2021 for individual and composite filers.  This Notice is the same in all regards except that the basis for the extension is now codified by a new Michigan law, 2021 PA 8.  At the time of the prior Notice, the extension was based on discretionary waivers by the Department of penalty and interest through May 17, 2021. 

IRS Notice 2021-59.  On March 17, 2021 the IRS issued Notice 2021-59 providing extensions to May 17, 2021 for any individual with a return or payment due on April 15, 2020. IRS Notice 2021-59 did not extend the first quarter estimated tax payment due on April 15, 2021.

2021 PA 8.  On April 22, 2021 a new Michigan law was enacted that extended the filing due date for individual and composite filers from April 15, 2021 to May 17, 2021. The new law conforms to the federal filing due date for individuals.

Because the extension is limited to the 2020 taxes, first quarter estimates for tax year 2021 remained due on April 15, 2021.  The extension is limited to the state individual and composite income tax annual return and does not apply to fiduciary returns or corporate income tax returns.

Because the extensions in conformity with IRS Notice 2021-59 are generally applicable to individual and composite 2020 returns and any payment of 2020 taxes due on April 15, 2021, the following provisions have been modified:

1. Extension of Annual Return Filing and Payment Date for Individuals

The due date for the filing of the return and payment of tax based on the due date of the annual return has been automatically extended.  For individual and composite taxpayers that file state returns otherwise due on April 15, 2021, the due date for the filing of the return and payment of tax has been automatically extended to May 17, 2021.

2. Extension of Date for Application and Payment for Extension Requests

The due date for any application and payment of tax related to an extension of time to file the annual return has also been extended.  A taxpayer requesting an extension of time to file an annual return must therefore file an application and pay any tax with that extension request by May 17, 2021.  The due date of the extended annual return, however, will not be modified by this notice.  Accordingly, an individual or composite taxpayer requesting a 6-month extension of time to file a state individual income tax return must submit that request and pay the appropriate amount of tax by May 17, 2021, but the extended annual return remains due on October 15, 2021.

3. Penalty and interest

Penalty and interest will not accrue for the extension period that is automatically effective.  Penalty and interest for late filing of the return and payment of 2020 tax will therefore not begin to accrue for most individuals until May 18, 2021.  However, the suspension of penalty and interest is limited to the automatic extensions authorized under this Notice; penalty and interest will continue to accrue as appropriate for taxes otherwise owed by any taxpayer. 

The extensions provided throughout this notice are automatic.  There is no need for taxpayers to include any additional information upon the filing of the return or otherwise contact the Department in advance to request an extension. A similar extension for city income tax filers was codified by 2021 PA 7.  City income tax filers should contact their respective cities for further information on due dates.

Additional information can be found at www.michigan.gov/taxes