Holiday shoppers, don’t forget the Use tax!

santa computerReminder!  If you make purchases online or via catalogs from out-of-state vendors, you may be responsible for Use tax!

With holiday shopping in full swing, remember use tax is due on any purchases made where the seller did not collect sales tax.  If you live in Michigan, or your business is in Michigan, the Use tax is 6% of the total purchase price, similar to sales tax.

For an individual, this tax is remitted when you file your 2013 Michigan income tax return.  Businesses are required to submit this at least once a year in February (or possibly more frequently).

Please keep an itemized list of purchases on which you were not charged sales tax by the seller.  When we prepare your 2013 tax return, please provide the total dollar amount of any purchases that you’re responsible for reporting and we will make sure it is properly reported.