Michigan Sales Tax Guide

A step-by-step guide to understanding Michigan sales tax rules.

Overview

Managing sales and use tax in Michigan can be complicated for small business owners and tax professionals. If you're collecting sales tax in The Mitten, you'll need to understand how and when to file and remit those tax dollars. Our guide to Michigan sales and use tax will help you establish a solid foundation in sales tax management. In it, we'll discuss collecting, filing, and remitting tax dollars to the Michigan Department of Treasury.

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Table of Contents

1
An Overview of Michigan Sales Tax

Understanding where, when, and how to collect Michigan sales tax is no easy task. Whether you're collecting tax dollars at the point-of-sale or collecting Michigan internet sales tax, our guide will break down the sales tax compliance process into focused, easy to understand chapters.

2
Michigan Sales Tax Nexus

Understanding whether you need to collect, file, and remit Michigan sales tax depends on a concept known as nexus. In this chapter, we'll take a look at situations that may trigger in Michigan such as storing inventory in the state, hiring state residents, and click-through nexus.

3
Registering to Collect Michigan Sales Tax

You'll want to get started establishing Michigan sales tax compliance by understanding how to get your business registered for the necessary sales tax permit. We'll walk you through the process and help you understand when is the best time to get your business registered in Michigan.

4
Collecting Sales Tax in Michigan

After you've registered your business with the Michigan Department of Treasury, you're ready to begin collecting sales tax. We'll review topics such as Michigan sales tax exemptions, sales tax holidays, and determining state and local sales tax rates.

5
Filing Michigan Sales Tax Returns

Now that you're business is registered with the Michigan Department of Treasury and collecting sales tax, you'll need to file tax returns in an ongoing basis. We'll help you gain a deep understand of the process of filing sales tax returns. Topic covered include filing frequencies, filing on behalf of a client, and what happens if you file late.

6
Michigan Sales Tax Filing Due Dates

Every business that registers to collect Michigan sales tax will be assigned a filing frequency. In this chapter, we'll take a look at the filing frequencies and associated due dates supported by the Michigan Department of Treasury.

7
Late Filing Penalties, Fines & Interest

We know, mistakes happen and, from time to time, sales tax filing deadlines are missed. In this chapter, we'll take a look at what penalties you may be required to pay should you miss your assigned Michigan sales tax filing date. We'll also consider interest charges for late sales tax payments.

8
Sales Tax on Michigan Shipping & Handling

The rise of the internet economy has made it possible for buyers around the world to order your products. Did you know shipping and handling may be taxable? In this chapter we'll cover sales tax on shipping and handling in Michigan. You'll want to pay attention here because there are some important details pertaining to invoicing you'll want to understand.