The Michigan Corporate Income Tax (CIT) return is prepared for calendar-year, fiscal-year, and short-year corporations. From amounts on the federal return and entries on Michigan worksheets , the following forms and schedules are prepared:
| Form 4 | Application for Extension |
| Form 4901 | E-File Annual Return Payment Voucher |
| Form 4913 | Quarterly Return |
| Form 4891 | Annual Return |
| Form 4892 | Amended Return |
| Form 4905 | Insurance Return |
| Form 4906 | Amended Insurance Return |
| Form 4908 | Annual Return for Financial Institutions |
| Form 4909 | Amended Return for Financial Institutions |
| Form 4893 | Small Business Alternative Credit |
| Form 4894 | Schedule of Shareholders and Officers |
| Form 4911 | Schedule of Flow-Through Withholding |
| Form 4898 | CIT: Non-Unitary Relationships with Flow-Through Entities |
| Form 4900 | CIT: Unitary Relationships with Flow-Through Entities |
| Form 4903 | Withholding Opt-Out Schedule |
| Form 4902 | Schedule of Recapture of Certain Business Tax Credits |
| Form 4897 | CIT Data on Unitary Business Group Members |
| Form 4896 | CIT UBG Affiliates Excluded from Return of Standard Taxpayers |
| Form 4899 | Penalty and Interest Computation for Underpaid Estimated Tax |
| Form 4910 | CIT UBG Combined Filing Schedule for Financial Institutions |
A copy of federal Forms 1120, Schedule D and Schedule 4797 is attached to file with the CIT return.
Form 4, Application for Extension of Time to File Michigan Tax Returns, can be requested by entering "MI" in the "State Code" field in the Extension worksheet > Form 7004 Information section .
Use CIT General worksheet > Public Law 86-272 section to select activities that determine the business is protected under Public Law 86-272. If an activity is selected, a statement will be attached to Form 4891 for the business activity which is protected under Public Law 86-272.
A footnote entered in the Notes worksheet > Federal and States Footnotes section, with "8" in "State/City Use" appears in the CIT return.
The Michigan return starts with federal income. Do not use FS codes for income and expenses. For footnotes, do not use the combination "F" (FS code) and "MI" (state code). In a multi-state return, leave the FS code blank for a footnote to the federal and Michigan returns only. Just enter "MI" as the state code.
Michigan does not allow a Section 168(k) Bonus for depreciation. A "Net Bonus Depreciation Adjustment" is made to business income on Form 4891 for the federal and state depreciation difference.
Michigan does not allow a domestic production activities deduction. An adjustment is made to business income on Form 4891.
Municipal bond interest entered with a state code other than "MI" (or with no state code, if Michigan is not the home state) is reported on Form 4891 as an addition to business income.
Be sure to indicate the source of municipal bond interest by entering a state code with the amount.
Use the "State and City Tax Accrual Option" box in the State and City Tax Accrual Option field in the Return Options worksheet > Calculation Options section to carry the tax computed on the Michigan return to the federal return. If no such entry is made, the computed Michigan tax does not carry to the federal return. The tax can be entered as an expense in the Trade or Business Income and Expenses worksheet > Taxes and Licenses Detail section .
The CIT addback can be overridden in the Michigan CIT Income/Deductions worksheet > Additions section .
On the CIT return, state and city income tax refunds reduce the addback of either:
A. Per Michigan Department of Treasury, if apportioned or allocated gross receipts (annualized for a short year) are below the filing requirement of $350,000, there is no legal obligation to file a return or pay a tax. The filing threshold does not apply to insurance companies or financial institutions.
A. Yes. If either an estimated tax was paid and/or flow-through withholding payments are present.
A. If apportioned or allocated gross receipts are less than $350,000 and there is no recapture and there is a refund present, the program is assuming you are preparing a "refund only" return. Therefore, the calculations to Form 4891, Lines 12 through 43 and Lines 49 through 53 are skipped.
A. This feature uses Michigan MBT UBG Return Automated Feature worksheet to select the non-designated members that are to be included in the unitary return. The non-designated members can be corporations, S corporations, partnerships or individuals.
This method will be completed on the member's return that will be the designated member for the unitary group. The return that is to be the designated member will need an entry on Michigan General > CIT/MBT UBG Combined Filing Schedule worksheet. The non-designated members will not have an entry in this box. This input will need to be completed as applicable for each member that will be included in the UBG automated return.
On the designated member's return, Michigan MBT UBG Return Automated Feature worksheet will be used to select the non-designated members of the UBG. The designated member must be entered on the first line of the form. The non-designated members will be entered beginning on the second line. Add the members by double clicking in the Member Name or Client I.D. box and selecting the return from the picklist provided. The returns should be selected in the order they are desired for the return. By selecting the return, the information necessary to complete the member's share of the unitary return will be carried to the designated member's return.
Additional non-designated members that are to be included in the group that are not included on Michigan MBT UBG Return Automated Feature worksheet will be added to the unitary group using Michigan Corporate Tax > UBG > CIT UBG Member Information worksheet . These members will be referred to as the "keyed-in members". The member number entered here for the keyed-in members will be the same member number for the rest of the Michigan UBG input.
Michigan Corporate Tax > UBG > CIT UBG Member Information and CIT UBG Excluded Affiliates Information will need to be completed, as applicable, for the keyed-in members. The members that are entered on Michigan MBT UBG Return Automated Feature worksheet will have this information already present in the designated member return. The only additional input required for the members entered on Michigan MBT UBG Return Automated Feature worksheet would be on Michigan Corporate Tax > UBG >CIT UBG Form 4910 Financial Member's Elimination worksheet to enter the member's eliminations for financial institutions when filing Form 4910/4908.
| Product Support - support.cch.com/axcess Customer Support Knowledge Base - support.cch.com/kb Customer Support Contacts - support.cch.com/contact |