Tag: income tax

Managing tax implications for professional athletes

Professional athletes can have unique income and expense circumstances to consider when tax filing season comes.  These typically high-income individuals must be extremely mindful of the tax implications associated with their careers. Doing so will not only help them maximize...

Department of Defense offers free tax filing resources for military members

Active military service can make tax filing challenging, especially if the service member is deployed or on an intensive training mission. MilTax is a Department of Defense program designed to lessen the burden on service members by offering free tax return...

Michigan state income tax rate decreasing by .20% in 2023 only

Michigan’s state income tax will decrease from 4.25% to 4.05% for one year, equating to a savings of approximately $50 for the average Michigan taxpayer. In 2015, Michigan enacted a law requiring a temporary reduction of the state income tax...

Annual Michigan Individual Income Tax System Maintenance Begins on Thursday

FYI: Effective after 5 p.m. on Thursday, Dec. 8, the state Treasury Department will suspend processing state individual income tax refunds due to annual tax processing system upgrades required for the upcoming 2023 tax filing season. Individuals will be able...

“Snowbirds” may want to establish residency in their low-tax Florida winter destination

Florida's sunny winter climate is not its only attraction for retirees from chilly northern climates; Florida is also one of only nine states without an income tax. For "snowbirds" who summer in a high-tax state up north, there is a...

Determining nexus for multi-state income tax filings for businesses

Establishing "nexus" of a corporation's business activity determines the state or foreign country which has jurisdiction to impose an income tax or franchise tax measured by net income.  For businesses generating revenue in multiple states, or doing activities that generate...

Online tool to register for monthly Child Tax Credit payments is now available

  • June 21, 2021
  • Maria Montie, CPA, MST, CVA, MAFF

The Treasury Department and the Internal Revenue Service have unveiled an online Non-filer Sign-up tool designed to help eligible families who don’t normally file tax returns register for the monthly Advance Child Tax Credit payments, scheduled to begin July 15....

State of Michigan will extend filing deadline to May 17 to match federal extension

The Michigan Department of Treasury will be extending the state tax filing deadline to match with the recently adjusted federal income tax deadline now set for May 17, 2021.  Because the extension is limited to the 2020 taxes, first quarter...

IRS waives penalty for underpayment of estimated income tax

  • January 14, 2019
  • David Shindel

The IRS recently announced that it will waive the Section 6654 penalty for the underpayment of estimated income tax for certain individuals who would otherwise be required to make estimated payments on or before January 15, 2019. The waiver is...

Where services revenue is sourced has changed for Michigan cities

The rules for where city sales for service-based businesses are sourced has changed, but the city of Detroit may appeal it. Honigman, the largest law firm in Detroit, wanted to source its services not based on where its attorneys were...