| $ Personal income
tax |
| • |
Michigan's flat tax rate on personal
income fell in 2005 to 3.90 percent. |
| • |
Several
cities also impose additional income taxes, meaning
different forms must be filed in varying municipalities. |
| • |
Most state tax return forms
must be filed by April 17. |
| $ Sales tax |
| • |
Michigan's state sales tax is 6
percent. |
| • |
The state does not allow city or
local taxes.
|
| $ Personal and real
property taxes |
| • |
Property taxes are assessed on
the local, not state, level. This property
tax estimator can give you an idea of your upcoming bill. |
| • |
Michigan taxpayers with tangible
personal property on Dec. 31 must file a personal property statement
with the local municipality or township assessor of the jurisdiction
where the property is located as of that date. The return must
be filed by Feb. 20 of the tax year or sooner in some jurisdictions
requiring the filing by an earlier date. |
| • |
Some senior citizens, disabled
people, veterans, surviving spouses of veterans and farmers
may be able to delay paying property taxes. It depends on the
county in which you live and your income level. Contact your
local or county treasurer for more information about delaying
payment of your property taxes. |
| • |
If you own and occupy your homestead,
it may be exempt from a portion of your local school operating
taxes. To claim an exemption, complete Form
2368 and file it with your township or city by May 1. Your
local assessor will adjust your taxes on your next property
tax bill. This is an exemption from part of the taxes and does
not affect your assessment. More information on the exemption
can be found here. |
| • |
You also may be able to claim a
property
tax credit on your personal income tax return if (1) your
homestead is located in Michigan; (2) you were a Michigan resident
at least six months of the tax year; and (3) you pay property
taxes or rent on your Michigan homestead. |
| • |
There are income limits on who may
claim a property tax credit and you can have only one homestead
at a time. A vacation home or income property is not considered
your homestead. |
| • |
Low-income families may be eligible
for the Home Heating Credit, funded through the federal Low
Income Home Energy Assistance Program. Further information can
be found here
and at the LIHEAP
Web site. |
| $ Intangible personal
property taxes |
| • |
Michigan's intangible property tax for individuals was repealed
Jan. 1, 1998.
|
| $ Inheritance and
estate taxes |
| • |
Michigan does not collect an inheritance
tax. |
| • |
Its estate tax is limited and related
to federal estate tax collection. |
| |
Assistance is available at the Michigan
Department of Treasury Web
site or by calling toll-free 1-800-487-7000. |
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