The United States federal government and the State of Michigan have very different statutes and regulations regarding the time limit for collecting on assessed taxes. Generally, the Internal Revenue Service may collect taxes due by levy or court proceeding,...
Michigan Taxation
State of Michigan Extends Deadlines For Income Tax Filings and Payments During COVID-19 Emergency
On March 10th, 2020, the State of Michigan identified the first two presumptive-positive cases of the novel coronavirus (COVID-19) in its borders. That same day, Governor Gretchen Whitmer issued an executive order declaring a state of emergency based on her...
How Much Are Michigan Residents Paying In Taxes On Gasoline?
Gasoline prices in Michigan fluctuate wildly throughout the year. In January 2019, the average price was $2.15 per gallon. As the weather approached the summer month, gas prices reached $2.85 per gallon in May 2019. Several factors cause gasoline prices to change...
What Transactions Are Subject To The Michigan Use Tax?
When a customer purchases an item in a brick-and-mortar store in Michigan, that item is generally subject to a 6% sales tax. The retailer collects this tax from the patron and remits the assessment to the Michigan Department of Treasury. However, there are many...
What Transactions Are Subject To The Michigan Sales Tax?
Michigan is a great place to do business since there is a potential pool of 8 million customers willing to purchase goods and services. However, tapping into this patronage is not free. "[T]here is levied upon and there shall be collected from all persons engaged in...
Which Cities In Michigan Assess Local Income Taxes?
The State of Michigan assesses a 4.25% flat tax on the income of all individuals, businesses, estates and trusts residing or doing business within its boundaries. However, Michigan law also allows cities within the state to adopt the uniform city income tax ordinance...
Can I Use My Private Property As Tax-Exempt Burial Grounds For Family Members?
After death, there are many options that families can select for the disposal of the loved one's remains. The most popular choices are burial in a public cemetery and cremation. More exotic options include cryogenic freezing of the body, burial at sea or even sending...
Who Gets To Claim The Tax Exemptions For Minor Children In Michigan?
In the case of a divorce, separation or even unmarried parents, the issue of who claims any children involved for tax purposes is sure to come up. The Internal Revenue Service generally allows only one person to claim a child as a "qualifying child" for the purposes...
U.S. Supreme Court Sets Limits On State’s Power To Tax A Trust
On June 21st, 2019, the U.S. Supreme Court released its unanimous opinion in North Carolina Department of Revenue v. The Kimberley Rice Kaestner 1992 Family Trust, No. 18-457, 586 U.S. ___ (2019), holding that the presence of in-state beneficiaries alone did not...
What Are The Penalties For Not Paying Your Taxes In Michigan?
Most people live in fear that the Internal Revenue Service will one day come knocking at their door to conduct an audit or, even worse, access penalties and interests. Federal prosecutors could even authorize criminal charges for tax evasion in egregious cases. The...
