The Michigan Department of Treasury recently issued additional taxpayer guidance about new state income tax return filing and payment deadlines, income tax extensions and estimated tax payments.
“We are continuously evaluating how we can assist residents and businesses during the COVID-19 pandemic,” State Treasurer Rachael Eubanks said. “Changing some of the state’s filing and payment deadlines can help individuals and businesses figure out their next steps. Individuals who are owed a tax refund should not wait to file their income tax returns.”
Under Executive Order 2020-26 signed by Gov. Gretchen Whitmer, all April 2020 state income tax filing deadlines in Michigan have been pushed back to July 2020 as a part of continued efforts to help Michiganders during the COVID-19 pandemic.
Individual income tax returns and payments due on April 15 are now due before midnight on July 15, 2020. Businesses that file corporate income tax annual returns by April 30 have until July 31 to file and pay.
All penalties and interest will be waived until the new deadlines in July 2020.
Businesses that pay corporate income taxes are typically larger businesses known as C Corporations. S Corporations and Limited Liability Corporations typically pay taxes through the state’s individual income tax.
Individual and Corporate Income Tax Extensions
Individual taxpayers who need additional time to file beyond the July 15 deadline can request an extension to Oct. 15, 2020. Taxpayers requesting additional time to file should estimate their tax liability and pay any taxes owed by July 15, 2020, to avoid additional interest and penalties.
A calendar-year corporate taxpayer requesting an eight-month extension to file a state corporate income tax return must submit that request and pay the appropriate amount of tax by July 31, 2020. The extended annual return remains due on December 31, 2020.
Estimated Tax Payments
With the April 15 estimated tax payment deadline previously extended until July 15, the state Treasury Department has also followed the Internal Revenue Service and is moving the second quarter June 15 estimated tax deadline to July 15. For most individual and business taxpayers, this means that both the first and second quarter estimated tax payments are now due July 15.
When submitting tax payments, businesses should include their Federal Employee Identification Number (FEIN). Individuals should write the last four digits of their Social Security number on the memo line of the check or electronic payment to ensure the payment can be matched to the account.
Payment vouchers should be included with tax payments when available.
Taxpayers who are owed a refund are encouraged to file their state income tax returns so they can receive their refunds. More information about e-filing is available at www.michigan.gov/mifastfile.