Michigan Sales, Use, And Withholding Tax Forms And Instructions (Page 7 of 16) in pdf

information to Michigan on or before February 28 by enclosing

Seasonal Taxpayers

W-2 forms with Form 165.

You must ﬁ le Form 160 for each of the seasonally active months

Payers reporting Michigan withholding on a 1099-R must also

shown on your returns, even if no tax is due. If you have sales or

enclose those 1099-R forms with Form 165. See page 3 for

pay wages during the months your business is normally closed,

Annual Return (Form 165) and W-2 mailing information.

you must download Form 160 from our Web site and submit the

return for the appropriate month(s). Seasonally active months

A form 1099-MISC must be ﬁ led for miscellaneous income for

may be changed by completing Form 163.

services performed in the State of Michigan, regardless of the

state of residence of the payee, whether there was withholding

Returns Due After Selling or Quitting Business

or not. Taxpayers not registered for withholding should ﬁ le

All taxpayers must submit a ﬁ nal monthly or quarterly return

correspondence with the business account number and mail to:

within 15 days after the date of selling or quitting business.

Michigan Department of Treasury

Your ﬁ nal annual return is due by February 28. Contact the Tax

Lansing, MI 48930

Clearance Unit at (517) 636-5260 to conﬁ rm all debts have been

If you have 250 or more Michigan employees, you must report

satisﬁ ed.

using magnetic media. If you have fewer than 250 employees,

Instructions and Worksheets

you may report using magnetic media or using the State

copy of the federal W-2. See Form 447 for information about

This booklet includes instructions and worksheets to

magnetic media reporting. Address your magnetic media to:

calculate your tax due and prepare returns for sales, use, and

withholding taxes. Most taxpayers collect and pay tax at the

Michigan Department of Treasury

6 percent rate and don’t need a worksheet with a 4 percent

Return Processing Division

Magnetic Media Unit - SUW

column. Taxpayers who still collect at the 4 percent rate will

Lansing, MI 48930

receive a different set of worksheets and an annual return with

both the 4 percent and 6 percent columns. If you don’t receive

ANNUAL RETURN (Form 165): Line-by-Line

the worksheets and need them, contact Customer Service at

Instructions

(517) 636-6925.

Lines not listed are explained on the form.

Keep the completed worksheets for your records and for

IMPORTANT: This is a return for Sales Tax, Use Tax, and

possible audit. Do not ﬁ le your worksheet in place of ﬁ ling a

Withholding Tax. If the taxpayer inserts a “zero” on (or leaves

monthly, quarterly, or annual return. Filing the wrong form

blank) any line for reporting Sales Tax, Use Tax, or Withholding

delays crediting information and payments to your account.

Tax, the taxpayer is certifying that no tax is owed for that tax

type. If it is determined that tax is owed, the taxpayer will be

General Instructions – Annual Return (Form 165)

liable for the deﬁ ciency as well as penalty and interest.

Filing Requirements

NOTE: If you pay only income tax withholding or ﬁ le

You must ﬁ le Form 165 if you are registered for sales tax,

annually and do not have deductions, use the simpliﬁ ed

use tax, or income tax withholding in the State of Michigan.

instructions on page 8.

Monthly and quarterly ﬁ lers must ﬁ le Form 165 on a calendar-

year basis (not your ﬁ scal year).

Sales and Use Tax

Taxpayers who had multiple active account numbers (TR,

Lines 1 through 9: Monthly and quarterly ﬁ lers, in each

ME, and/or FEIN) in a tax year are required to ﬁ le separate

column add the entries from all your worksheets for the year

annual returns for each account number assigned. Identify the

and enter the totals on the corresponding line on Form 165.

registered tax types for each account number and include only

Taxpayers who ﬁ le annually, follow the line-by-line instructions

those tax ﬁ gures on the corresponding annual return. If you

for the monthly and quarterly worksheet, beginning on page 11.

have an outside payroll or accounting agency, coordinate this

ﬁ ling responsibility with them.

Line 11: Monthly and quarterly ﬁ lers, enter the total discounts

allowed for the year in each column. Total the amounts from

If during the year your accumulated sales, use, and withholding

the monthly or quarterly worksheet line 11 in each column.

taxes become $750 or more, you must notify Treasury to

Include discounts from Form 2189 and Vehicle Dealer

change your ﬁ ling status and provide you with the appropriate

Supplemental Report (Form 92).

tax returns.

Taxpayers ﬁ ling annually receive a discount if the return is ﬁ led

Form 165 must be signed and dated by the taxpayer. The

timely. The discount applies only to 2/3 (0.6667) of the sales

taxpayer must also include their title. This may be the owner,

and/or use tax collected at the 6 percent tax rate. Use Chart 1

ofﬁ cer, member, manager, or partner. No other person may sign

on page 8 to ﬁ gure your discount.

for the taxpayer in the taxpayer’s signature box.

If you opened for business late in the year or ended your

W-2 Wage and Tax Statements

business early in the year, the $6 per month discount is allowed

You must furnish W-2 statements to your employees by

only for the months you were in business. No discount is

January 31. Refer to “Correcting W-2 Errors” on page 6 for

allowed if the return is ﬁ led after February 28.

amending W-2 statements.

Line 13: Enter the total amount of each tax paid after discounts

Employers with Michigan employees must report W-2

Michigan Sales, Use, And Withholding Tax Forms And Instructions Page 7

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