Looking for a Michigan Department Of Treasury Forms And Templates? Download it for free!

entity that would otherwise be a standard member but is owned

Line 12: This line does not apply to the first CIT return filed

by and unitary with a financial institution is defined by statute to

by this UBG. For subsequent tax periods, check this box if this

be a financial institution. If a financial institution member (other

member was not included in the UBG’s preceding CIT return.

than the DM) has two or more federal tax periods ending with or

Line 13: Enter a concise description of the activities or

within the filing period of this return, use a separate copy of Part

operations of this member that result in a flow of value

2B for each of that member’s federal periods.

between this member and others in the UBG, or integration,

dependence, or contribution to other members. This is

Line 6: List the member’s tax year, for federal income tax

purposes, from which business activity is being reported on

not limited to transactions that are recognized for tax or

accounting purposes. It may include sharing of assets,

this copy of Part 2B.

employees, data, business opportunities, or other resources.

Line 7: If, due to acquisition, disposition, or restructuring,

the control test and relationship test were not both satisfied

Franchise Tax Base

for this member’s entire federal tax year, enter the beginning

The following tax base calculation involves a five-year average

and ending dates of the period within this member’s federal

of net capital. Enter data from the current tax year and four most

tax year during which both tests were satisfied. These dates

recent Michigan Business Tax (MBT) tax periods to complete

constitute a short tax period for CIT purposes, even if there is

the five-year table. For purposes of this table, treat a partial

no corresponding short federal tax period. This member must

year as a full year. If the current and four preceding tax periods

include any short periods, the years printed in column headings

prepare a pro forma federal return calculation for the portion of

its federal year during which it was a member of this UBG, and

for this part will not apply accurately. For example, assuming

no short periods reported for federal purposes, a financial

use that pro forma calculation as the basis for reporting the tax

data required by Part 2B.

institution with a fiscal year-end of August 31 would average

the net capital for tax years ending August 31, 2009, August 31,

Line 8: Enter the taxpayer’s six-digit North American Industry

2010, August 31, 2011, December 31, 2011, and August 31, 2012.

Classification System (NAICS) code. For a complete list of six-

digit NAICS codes, see the U.S. Census Bureau Web site at

UBG NOTE: A member of a UBG of financial institutions

, or enter the same NAICS

will eliminate its investment in another member of the same

code used when filing Schedule K of U.S. Form 1120.

group. However, in order to reach net capital for the group,

each member of a UBG of financial institutions must compute

Line 9: Enter the date, if applicable, on which this member

its tax base individually in accordance with GAAP. The rules

went out of existence. Examples include dissolution of an entity

of GAAP do not permit negative equity capital for a financial

and a merger in which this member was not the surviving

entity. Include any event in which the FEIN ceases to be used

institution.

by this entity. If this member continues to exist, DO NOT

Line 14: Enter equity capital as of the last day of this member’s

use this column to report that this member has stopped doing

filing period, as computed in accordance with generally

business in Michigan. To complete the discontinuance for

accepted accounting principles. If the member does not

Michigan taxes, file Form 163, which is available at www.

maintain its books and records in accordance with generally

michigan.gov/treasuryforms.

accepted accounting principles, net capital must be computed in

accordance with the books and records used by the member, so

Line 10: Identify the organization type of this member:

long as the method fairly reflects the member’s net capital for

• Fiduciary (a decedent’s estate, and a Trust taxed federally

purposes of this tax. Each member of the unitary group must

as a Trust under Subchapter J of the IRC. A grantor Trust or

follow this rule in computing its tax base as part of the group.

“revocable living Trust” established by an Individual is not

Thus, the resulting unitary return for CIT may not exactly

taxed as a separate entity, and is not within this Fiduciary

correlate to the group’s federal returns or consolidated GAAP

category.);

equity but will comply with the requirements of the CIT.

• C Corporation (including an LLC, Trust, or other entity

Line 15: Under MCL 206.651(k), Michigan obligations means

taxed federally as a Corporation under Subchapter C of the

a bond, note, or other obligation issued by a governmental unit

IRC).

described in Section 3 of the Shared Credit Rating Act, PA 227

• S Corporation (including an LLC, Trust, or other entity taxed

of 1985, MCL 141.1053.

federally as a Corporation under Subchapter S of the IRC).

Line 16: Under MCL 206.651(s), United States obligations

• Partnership (including an LP, LLP, LLC, Trust, or any other

entity taxed federally as a Partnership).

means all obligations of the United States exempt from taxation

under 31 USC 3124(a) or exempt under the United States

NOTE: An entity that is disregarded for federal income tax

constitution or any federal statute, including the obligations

purposes also will be disregarded for Michigan CIT purposes.

of any instrumentality or agency of the United States that are

Therefore, as with the federal treatment, the activity of such

exempt from state or local taxation under the United States

an entity will be included and reported on the return (or on

constitution or any statute of the United States.

the copy of Form 4910) filed by the entity’s owner, as if that

Line 19a: If this taxpayer owns a subsidiary that is an

activity was conducted directly by the owner.

authorized insurance company, enter the actual amount of the

Line 11: If this member has nexus with Michigan, check this

capital fund maintained within that subsidiary. This does not

box.

include a captive insurance company.

Form 4910 - Michigan Corporate Income Tax Unitary Business Group Combined Filing Schedule For Financial Institutions - 2012 Page 7

Related Articles

Related forms

Related Categories