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price (net of costs of sale) in column B, and in column C, enter

purposes) is equal to the gain reported for federal purposes.

total gain or loss included in calculating federal taxable income

For property placed in service after December 31, 2007, gain

(as defined for MBT purposes).

reflected in federal taxable income (as defined for MBT

NOTE: Sales price includes any benefit derived from the sale.

purposes) is the gain reported federally except that it shall be

calculated as if IRC § 168(k) were not in effect.

Worksheet 1b — Depreciable Mobile Tangible Assets

NOTE: Sales price includes any benefit derived from the sale.

Enter all dispositions of depreciable mobile tangible assets that

were acquired after 2007 and were sold or otherwise disposed

Worksheet 1c — Assets Transferred Outside Michigan

of during the current filing period. Give all information required

Enter all depreciable tangible assets other than mobile tangible

for each disposition in columns A through F. In column A, enter

assets acquired after 2007 that were eligible for ITC and were

the taxable year in which the disposed assets were acquired.

transferred outside Michigan during the filing period. Give

Enter gross sales price (net of costs of sale) in column B, and in

all information required for each disposition in column A and

column C, enter total gain or loss included in calculating federal

B. In column A, enter the taxable year in which the disposed

taxable income (as defined for MBT purposes).

assets were acquired, and in column B, enter adjusted basis as

For property placed in service prior to January 1, 2008, gain

used for federal purposes. Do not use a recomputed MBT basis

reflected in federal taxable income (as defined for MBT

for this purpose.

• Column H: Calculate gross ITC credit amount: multiply

Calculation of MBT ITC Recapture Rates

and Amounts

column F by column G for each taxable year.

Complete Worksheet 2 (on the following page), entering each

• Column J: MBT recapture of capital investment. Enter total

taxable year (End Date) in which the disposed assets that

amount of recapture of capital investment reported on Form

triggered MBT ITC credit recapture were acquired.

4570, line 16, for each taxable year listed on column I.

• Column L: Gross MBT ITC credit recapture amount. Multiply

NOTE: Lines references on columns below are based on

column J by column K. This represents the total amount of ITC

2010 MBT form 4570. Lines for MBT forms prior to 2010

credit recapture available to be reported in the tax year.

are different, so if copying information from MBT forms

other than 2010, choose the appropriate lines.

• Column M: MBT ITC credit recapture amount offset by

credit. Enter the lesser of columns H and L. This is the amount

Worksheet 2

of available ITC credit recapture that was offset by the total

• Column A: Enter in chronological order, beginning with

amount of available ITC credit in the year.

the earliest, the tax year end date of each acquisition year

• Column O: SBT credit recapture amount. Enter total amount

of disposed assets that triggered MBT ITC recapture from

from Form 4570, line 19 for each taxable year listed on column

Worksheet 1a through 1c.

UBGs: If an asset subject to recapture is from a member that

• Column P: SBT ITC credit recapture amount offset by credit.

was not part of the group in the tax year the asset was acquired,

Enter lesser of the amount on column O, and the amount of

make a separate line entry for the tax year the member

column H minus column M. This is the amount of SBT ITC

filed outside of the group. Take care to report in this line

credit recapture that was offset by the total amount of available

information requested in each column only from the member’s

ITC credit in the taxable year.

single filings, not the group’s.

• Column Q: Total MBT ITC used. Add columns D, M, and

• Column B: Enter allowable MI compensation and ITC credits

P. The total amount of MBT ITC used equals to the amount of

amount from Form 4570, line 26 with the corresponding

credit that offsets MBT ITC credit recapture, SBT ITC credit

acquisition year in column A.

recapture, and the MBT liability.

• Column C: Enter the MI compensation credit amount from

• Column R: Extent used rate. Divide amounts on column Q

Form 4570, line 3 with the corresponding acquisition year in

by amounts on column H.

column A.

• Column T: MBT recapture base. Enter total amount of

• Column D: Calculate net ITC credit amount: subtract column

recapture capital investment from Worksheet 1a, column F;

C from column B for each taxable year. If difference is less

Worksheet 1b, column F and Worksheet 1c, column B.

than zero (is negative), enter zero. This is the amount of ITC

• Column U: MBT recapture amount. Multiply amount in

credit that offsets MBT liability.

column T by rates in column G, and in column R.

• Column F: MBT capital investment amount.

Enter total

Add up figures in each row of column U, and carry that amount

amount of capital investment reported on Form 4570, line 8, for

to line 19. If filer is also reporting SBT ITC recapture, add both

each taxable year listed on column E.

the total sum from column U in this form, and the amount from

• Column G: ITC rate.

Enter 2.32% for taxable years on

Form 4585, line 7 and enter the sum on line 19 on this form.

column E that end with 2008, otherwise enter 2.9%.

Form 4570 - Business Tax Credits For Compensation, Investment, And Research And Development - 2014 Page 9

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