THE DETAILS
The Michigan Business Tax (MBT) taxes apportioned business income at 4.95% and apportioned gross receipts (minus purchases from other firms) at 0.8%. A surcharge of 21.99% is applied to the income tax and gross receipts tax prior to credits. The MBT is apportioned to Michigan on a single sales factor. Companies are required to file as a unitary group.
THE CREDITS
The MBT provides credits for small business, entrepreneurs and others, while crediting expenditures on:
- capital investment
- research & development
- compensation
- industrial personal property taxes
- myriad of other expenditures
FOR MORE INFORMATION ON THE MBT:
