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Line 6a: Enter the average net book value of the real and Line 9, column 3: For each partner who was a resident
tangible personal property owned and located in a Detroit domiciled in a Detroit Renaissance Zone, enter the partner’s
Renaissance Zone. If the business was located in the share of income from sale or exchange of property. For all
Renaissance Zone for less than a year, a monthly average basis other partners, enter partner’s share of income from a sale or
is to be used. exchange of property located in a Detroit Renaissance Zone.
Line 6b: Enter the gross annual rent multiplied by 8 for rented Line 9, column 4: For each partner who was a resident
real property located in a Detroit Renaissance Zone. domiciled in a Detroit Renaissance Zone, enter the partner’s
share of income from rents and royalties. For other partners
Line 6d: Enter compensation paid to employees for work or
enter partner’s share of rent and royalty income from property
services performed within a Detroit Renaissance Zone.
located in Detroit Renaissance Zone.
Line 8, line 9 and line 10: The partner identified on these lines
will use the same letter designations (a, b, c, d and e) as used on Line 9, column 5: For each partner who was a resident
domiciled in a Detroit Renaissance Zone, enter the partner’s
Form 5458.
share of income from other partnerships and other income.
More than five partners: If reporting for more than five
Line 9, column 6: For each partner who was a resident
partners, the taxpayer will complete multiple copies of Form
domiciled in a Detroit Renaissance Zone, enter the partner’s
5459, page 2, to account for all partners. The taxpayer may also
guaranteed payments to partners.
choose to attach a separate document detailing the required
information for all partners (line 8, line 9 and line 10) in lieu Line 10, column 2: Multiply line 10, column 1, by the
of completing multiple copies of page 2. However, all other appropriate phase out deduction percentage from the table
partnership information must be completed using the required below:
Form 5459.
REDUCED DEDUCTION TABLE
Line 8, column 2: Enter the net operating loss deduction
If this tax period begins in the: The allowable deduction % is:
claimed on each partner’s individual Detroit income tax return
(Form 5118, 5119 or 5120, as applicable). Third (or greater) year before the 100 percent (1.00) of line 10,
final year of designation as a column 1.
Line 8, column 3: Enter the retirement plan deduction claimed Renaissance Zone
on each partner’s individual Detroit income tax return that was Second year before the final 75 percent (0.75) of line 10,
based upon income from the partnership. year of designation as a column 1.
Renaissance Zone
Line 9, column 1: For partners that were qualified residents Year immediately preceding the 50 percent (0.50) of line 10,
domiciled in a Detroit Renaissance Zone during the tax year, final year of designation as a column 1.
enter the beginning and ending dates of qualification. Renaissance Zone
Final year of designation as a 25 percent (0.25) of line 10,
Line 9, column 2: For each partner who was a resident Renaissance Zone column 1.
domiciled in a Detroit Renaissance Zone, enter the partner’s No deduction is allowed after the expiration of the Renaissance
share of the interest and dividend income. For all other Zone designation.
partners, enter a zero.
Line 10, column 3: Carry the total of all partners to Form
5458, line 11a, column 2.
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