What is Going on with Sales, Use and Withholding Tax Payments?

June 4, 2020

Since the onset of the public health emergency the Michigan Department of Treasury has been delaying monthly sales, use and withholding (SUW) tax payments.  SUW tax payments that were due in and around the 20th of March, April and May will be due June 22nd

While the relief provided by the Department was welcomed it quickly became clear that these tax payments that were piling up could become problematic.  On May 21st, SB 935 and SB 936 were introduced at the request of the Michigan Chamber as a solution to smooth out the SUW payments that built up.  The legislation allows taxpayers to take SUW taxes due March through August and pay them by the end of the year.  It also will provide relief to accelerated filers who have not been included in relief provided by the Department.

On May 26th, the Michigan Department of Treasury issued a notice that allows taxpayers to enter 6-month installment plans to cover the SUW taxes that were due March through May. We are thankful to the Department for providing this option.

With legislators looking to provide greater relief as outlined in SB 935 and SB 936, the Michigan Chamber testified in support of the bills in committee yesterday and the bills were reported along party lines. 

Either through administrative or legislative relief, smoothing out backed up SUW payments will be extremely helpful to businesses as they look to reopen. 

For more information on SUW tax payments please contact Dan Papineau at dpapineau@michamber.com