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MAIL TO:

INSTRUCTIONS FOR FILING FORM S-1040

INCOME TAX - 2020

WHO MUST FILE: ALL PERSONS HAVING $750 OR MORE OF CITY TOTAL INCOME (LINE 15)
MUST FILE A RETURN.

EXEMPTION CREDIT: $750 FOR EACH EXEMPTION. INDIVIDUALS 65 OR OLDER AND/OR
LEGALLY BLIND WILL BE ALLOWED AN ADDITIONAL EXEMPTION.
IF CHILDREN ARE CLAIMED ON PARENTS’ RETURN THEY MAY ALSO
TAKE A $750 EXEMPTION CREDIT.
.
RATE: CITY RESIDENTS ARE TAXED AT 1.50%(.015) NON-RESIDENTS ARE TAXED AT .75%(.0075)

FILING DATE: YOUR RETURN MUST BE POST-MARKED BY April 30, 2021. INTEREST AND
PENALTIES, AS PROVIDED BY LAW ($2.00 MINIMUM), WILL BE ASSESSED ON
ALL LATE PAYMENTS.

PAYMENT: IF THE TAX DUE IS ONE DOLLAR ($1.00) OR MORE, IT MUST BE PAID WITH YOUR
RETURN. YOU MAY AUTHORIZE PAYMENT BY ELECTRONIC FUNDS WITHDRAWAL
OR MAKE CHECK OR MONEY ORDER PAYABLE TO: TREASURER, CITY OF
SAGINAW. MAIL YOUR RETURN AND PAYMENT WITH EARNINGS STATEMENT(S)
SHOWING SAGINAW TAX WITHHELD (FORM W-2).

ESTIMATED TAX PAYMENT: REQUIRED BY LAW TO PAY QUARTERLY ESTIMATES IF YOUR TAX
RETURN PAYMENT IS OVER $100 DUE TO INSUFFICIENT TAX
WITHHELD OR NO WITHHOLDING. SEE LAST PAGE INSTRUCTIONS
TO AVOID UNDERPAYMENT PENALTY.

ATTACH SCHEDULES: REFUNDS WILL NOT BE ISSUED WITHOUT COPIES OF
FEDERAL SCHEDULES TO SUPPORT ALL FIGURES ON
LINES 4 – 11 AND 16 – 21.

RENAISSANCE ZONE: IF ELIGIBLE FOR 2020 RENAISSANCE ZONE TAX EXEMPTION,
ATTACH ORIGINAL QUALIFYING CERTIFICATE TO THE RETURN. SOME
RENAISSANCE ZONES ARE REDUCED OR HAVE EXPIRED, PLEASE SEE
CERTIFICATE.

FIREWORKS DONATION: PLEASE CONTRIBUTE ONE DOLLAR ($1.00) OR MORE.

MAIL PAYMENTS, REFUNDS & ZERO RETURNS TO: INCOME TAX OFFICE
1315 S. WASHINGTON AVE
SAGINAW MI 48601

FOR ASSISTANCE OR PAYMENT BY CREDIT/ DEBIT CARD: INFORMATION MAY BE
OBTAINED IN 3 WAYS.

1. VISIT OUR WEBSITE AT WWW.SAGINAW-MI.COM
2. VISIT US AT THE INCOME TAX OFFICE IN CITY HALL, ROOM 105.
3. PHONE US AT (989) 759-1650.

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 INSTRUCTIONS FOR PAGE 1 – 2020 S-1040                                        MARRIED PERSONS – JOINT OR SEPARATE RETURNS 
 WHO MUST FILE                                                                 
 The City of Saginaw Individual Income Tax Return, Form S-1040, is            Married persons may file either a joint return or separate return.  If   
 to be filed by every individual who has $750 or more total income on         a joint return is filed, all income of both husband and wife must be 
 Line 15, Page 1 of the S-1040.  The filing of a declaration of estimated     included and both must sign it, and both names must be listed in    
 tax does not excuse a taxpayer from filing an annual return even             the heading, such as “John A. and Mary B. Doe”.   
 though there is no change in the declared tax liability nor additional       If separate returns are filed, neither spouse can claim the other    
 amount due.  Estates and trusts, partnerships and corporations shall file    as a dependent on their separate return.  However, you can claim   
 on forms provided for their specific use.  Filing must be made on            the exemption for your spouse only if your spouse had no taxable 
 City of Saginaw forms.  Other cities’ forms are not acceptable.              income and was not the dependent of another taxpayer. Children  
 The fact that a taxpayer is not required to file a federal income tax        and other dependents can only be claimed by the spouse who   
 return does not relieve them from filing a City of Saginaw tax return.       claims such dependents under the Federal Internal Revenue Code. 
     COMPLETING YOUR RETURN                                                   If one spouse has a different tax status than the other, each spouse 
 •   First complete the name and address, and be certain that your            must file a separate return based on each one’s residency for 2020.  
     social security number has been entered correctly.                        THE ONLY ALLOWABLE DEDUCTIONS ARE :
 •   If taxpayer or spouse is deceased attach a copy of the death          A.  EMPLOYEE BUSINESS EXPENSES  
     certificate.•                                                            Employee business expenses allowable under the Saginaw  
 •   Show residency status for 2020.  If you were a resident only part        Income Tax Ordinance differ from the I.R.S. allowance:  
     of 2020 use S-1040TC in this booklet or see instructions for              1.    Expenses of travel, meals and lodging while away from     
     Partial Residency Tax Table on Page 4.                                         home for services as an employee. 
 •   Enter income from the Federal return in Column I.                         2.   Expenses as an outside salesperson, who works away  
 •   Enter amounts of income NOT subject to Saginaw income tax                      from employer’s place of business (does not include             
     under the “Not subject to tax” column and identify in schedules                driver-salesperson whose duty is service and delivery). 
     on Page 2.  Subtract the “Not subject to tax” column from “federal        3.   Expenses of transportation  (BUT NOT TRANSPORTATION  
     return” column and enter difference in “Income subject to tax”                 TO AND FROM WORK). 
     column. If there are no exclusions, use “income subject to tax”           4.   Expenses reimbursed under an expense account, if  
     column only.  ALL FIGURES MUST BE ROUNDED TO THE                               the reimbursement has been included in gross earnings. 
     NEAREST DOLLAR.  Support figures with schedules.                         IMPORTANT:  Business expenses on line 4 of Form 2106 are not  
 •   Multiply $750 by the number of allowed exemptions, which                 an allowable deduction on the Saginaw return unless the  
     includes an extra exemption for an individual 65 or older, and/or        taxpayer qualifies as an outside salesperson. 
     legally blind.  Individuals claimed on parents’ return may claim          
     themselves.                                                           B.  SELF-EMPLOYMENT RETIREMENT and I.R.A. PLANS. 
 •   Multiply Line 25 by proper tax rate for tax liability.                    
 •   Be sure Saginaw tax withheld as shown on attached Forms W-2           C.  MOVING EXPENSE Deduction is suspended except  
     agrees with credit taken on Line 27.                                        for certain active duty Armed Forces members who have  
 •   Credit for payments on 2020 Declaration of Estimated Tax should             a permanent change of station and move from their last post 
     be actual amounts paid to the City of Saginaw                               of duty to their home within the City of Saginaw.  Attach  
 •   Take credit on Line 29 for tax paid to another city, limited to             federal Form 3903, if qualified. 
     .0075 Saginaw’s non-resident rate.  Attach a copy of that city’s         
     return.                                                               D.  ALIMONY to the extent includable in the former spouses      
 •   Add Lines (27-29) and enter on Line 30.                                     adjusted gross income under the Federal Internal Revenue.   
 •   If your tax credits (Line 30) are less than your tax liability (Line     
     26), show amount you owe (Line 31) and PAY.                              IMPORTANT:  B thru D above is limited to the amount taken  
 •   Electronic Funds Withdrawal.  Must check box marked Pay                  on your federal return and in proportion to taxable income under        
     Tax Due – Electronic funds withdrawal.                                   the Saginaw Income Tax Ordinance.  A copy of the federal 
     Write routing numbers in box a and account numbers in box b.             schedule(s) supporting such deductions must be attached.   
     Check only 1 box for account type.                                       
 •   If Line 30 is more than Line 26, show overpayment on Line 32.            EXEMPT INCOME 
 •   Enter the amount of refund you would like applied to 2021               The following income is not taxable to either a resident or  
 •    Subtract amount applied to 2021 tax return.  Subtract $1.00 or          non-resident and should be excluded by both: 
     more if you would like to donate to the fireworks. This is your           •    Gifts, bequests, and non-profit bingo winnings. 
     refund.  Allow at least 45 days for refund check.                         •    Qualified proceeds from insurance, annuities, pensions,          
 •   Direct Deposit of Refund.  Must check box marked Refund –                      retirement plans and social security. 
     Direct Deposit.  Complete Box a and b. Check only 1 box for               •    Welfare relief, unemployment compensation/benefits,  
     account type.                                                                    workers’ compensation and sub pay. 
 •   The taxpayer and spouse (if a joint return) MUST SIGN THE                 •    Interest from Federal, State and City Obligations  
     RETURN.  Please print name and phone number of tax preparer.                   (US Bonds, Municipal Bonds and Treasury Bills). 
 DOCUMENTATION REQUIREMENTS                                                    •    Amounts paid to any employee as reimbursement  
 Copies of all federal schedules and other documentation supporting                    for expenses necessarily and actually incurred by  
 income, losses and deductions must be attached to your return.                        him/her  in the actual performance of his/her services  
 Failure to attach federal schedules and documentation or                              and deductible as such by the employer. 
 attaching incomplete schedules and documentation will delay the               •    Compensation received for service in the armed forces of                
 processing of your return and may result in deductions being                       the United States, including the reserves. 
 disallowed.                                                                   •    Subchapter S corporation ordinary business income(loss). 
                                                                               •    State and City Refunds.

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RESIDENT NON-RESIDENT
Line 1-Wages, Salaries, Tips, Bonuses, Sick Pay, Buyouts etc. Line 1-Wages, Salaries, Tips, etc.
Pages 1&2 and Schedule 1 of the Federal Return must be attached A non-resident is taxed only on earnings received for work done or
to all returns in order to verify income. A resident is taxed on ALL services performed in the City of Saginaw. Compensation paid to a
earnings, including salary, bonus, separation and incentive payments, non-resident for work performed outside the City of Saginaw should
tips, commissions and other compensation for services rendered, be excluded, based on the percentage of time worked in and out of
REGARDLESS WHERE EARNED. EXAMPLE: Taxpayer lives Saginaw. During the COVID shutdown, if you worked from home
in the City of Saginaw but works in Alpena and receives his paycheck outside the City for hours’ equivalent to your regular work shift (Use
from the home office in New York City, 100% of his compensation is Schedule A, Page 2). Severance, vacation, holiday, sick, family leave
taxable. Attach all Form W-2s. and bonus payments are taxable on the same ratio as normal earnings.
Line 2-Interest and Dividends If you were paid by your employer, but did not work from home,
Interest and Dividends are taxable the same as the Federal return these wages are taxed as normal wages. If non-resident couple files
except margin interest and interest on U.S. Bonds, Treasury Bills and jointly, one of who works in the city and the other outside the city,
Notes is excluded on Schedule B. The amount from Federal 1040, the compensation of the spouse working outside shall be excluded.
page 1, Line 2b, U.S. Agency Bonds are taxable Attach Forms W-2, showing Saginaw tax withheld.
Line 4-Business Income (Attach Federal Schedule C) Line 2-Interest and Dividends. NOT TAXABLE to non-residents.
All self-employment income is taxable. Job Credits and additional Line 4-Business Income (Attach Federal Schedule C)
depreciation due to Investment Credit adjustment are deducted from If the business activity is not entirely within the City of Saginaw,
Federal taxable income. attach a note to explain computation or you may obtain Schedule
Line 5 & 6-Sale or Exchange of Property (Attach Schedule D) S-1040BC by downloading the form from www.saginaw-mi.com.
Long and short term capital gains and losses are to be reported in the In determining the average percentage, a factor shall be excluded
same manner as the Federal return except that portion occurring before from the computation only when such factor does not exist
July 1, 1965, shall be excluded. The exclusion shall be computed by anywhere and, in such cases, the sum of the percentages shall be
the difference between the purchase price and fair market value at July divided by the number of factors actually used.
1, 1965 (June 30 closing price for traded securities) or by prorating the Line 5 & 6-Sale or Exchange of Property (Attach Schedule D)
gain or loss on the basis of total months held to months in the non- Report only those gains and losses arising from property located in
taxable period. Include gains or losses from Federal Form 4797. the City of Saginaw. See instructions under “Resident” for method
Line 7-Individual Retirement Account. (Attach 1099R) Individual of prorating gains/losses and record transactions in Schedule D.
Retirement Account distributions received after reaching 59 ½ and An estate or trust will pay the tax for a non-resident beneficiary and
conversions to Roth IRA are not taxable unless early distributions. such income is not taxable on the Saginaw return.
Line 8-Pension Distributions (Attach 1099R) Line 7-Individual Retirement Account.
Enter amounts from Federal 1040, Line 4b. Pensions are not taxable Individual Retirement Account distributions are NOT taxable.
unless early distributions. However, the portion a premature IRA distribution, in relation to
Qualified Retirement Plan Distributions (Attach 1099R) city income (Form 1099-R, Box 7, Code 1) is taxable to a nonresident.
Social security and annuities are not taxable. Line 8-Pension Distributions
Line 9-Supplemental Income (Attach Federal Schedule E) Qualified Pension plans are not taxable. Qualified Retirement Plan
Enter on this line, Column I, the total amount shown on the Federal Distributions are not taxable. However, premature distributions
Schedule 1, line 5. For Income not subject to tax, Complete Schedule (those received prior to qualifying for retirement) are taxable.
E on Page 2 and enter total to Page 1 of Form S-1040, Line 9, in Line 9-Supplemental Income (Attach Federal Schedule E)
column “Income not subject to tax”. Losses on passive income is the Rents on units outside the City of Saginaw and partnerships located
same as Federal Form 1040, except Sub Chapter “S” Corp are not outside the City of Saginaw are excluded. Indicate name, location
deductible. and Federal ID# on Schedule E. Losses on passive income are the
Line 10-Subchapter S Corporation Distributions. same as Federal Form 1040. However losses on passive income of
Actual distributions of Subchapter earnings (dividends) are taxable the Sub Chapter “S” Corporation are not deductible.
same as the Federal, except margin interest is deducted on Schedule B. Line 10-Subchapter S Corporation Distributions.
Line 14-Miscellaneous (Attach Schedule 1) THIS IS NOT TAXABLE TO NONRESIDENTS.
Enter amount from Federal Form 1040 Schedule 1, Line 8. Line 14-Miscellaneous (Attach Support)
Included in this line would be jury duty, stock savings plans, ESOP See instructions under “Resident”. Sick pay is taxable in proportion
payout, all gambling winnings and other miscellaneous income. to taxable wages. Any miscellaneous income for services performed
Line 16-22-DEDUCTIONS outside the City of Saginaw should be excluded.
See “Instructions for Page 1” for allowable Adjustments. Enter total Gambling winnings are not taxable.
“Adjustments to Income” from Federal Form 1040. Must attach Form Line 16-22-DEDUCTIONS
2106 for employee business expense; Form 3903 for moving expenses See instructions under “Resident”. If your earnings from Line 1
and federal Schedule 1 for all other adjustments. (IRA, SEP, above have been prorated through use of the percentage shown on
Alimony, etc.). Line 1 (d) of Schedule A, use the same percentage to prorate these
Line 26– Tax adjustments. However, if another method was used to prorate
Residents are taxed on 100% of their earnings at 1.50%. earnings use this same method to prorate your adjustments.
Partial year residents are taxed on: Line 26 – Tax
- 100% of earnings while a resident at 1.50% Non-residents are taxed on 100% of city earnings at .75%.
- 100% of city earnings while a non-resident at .75% Partial year residents are taxed on:
- Partial Residency Tax Rate Table-use only if total income -100% of earnings while a resident at 1.50%.
for all year (12 months) was in the City of Saginaw -100% of city earnings while a non-resident at .75%.
If your tax situation does not fit any of the above use S-1040TC -Partial Residency Tax Rate Table- use only if total income
included in this instruction booklet. for all year (12 months) was in the City of Saginaw
If your tax situation does not fit any of the above use S-1040TC
included in this instruction booklet.

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PAYMENTS AND CREDITS PARTIAL RESIDENCY TAX RATE TABLE
Line 27-Total Tax Withheld by Employers IMPORTANT: USE TABLE BELOW IF TOTAL INCOME
Enter total Saginaw Tax withheld as shown on City or Local copy of FOR ALL YEAR, (FROM JANUARY 1stTO DECEMBER 31 )st
Forms W-2 which are attached. Be sure that totals of the WAS EARNED IN THE CITY OF SAGINAW.
ATTACHED copies agree with Line 27. W-2 must be legible.
Line 28-Payments on 2020 Declaration of Estimated Tax NUMBER OF MONTHS YOU
Take credit for all payments made on 2020 estimated tax forms WERE A RESIDENT PERCENTAGE
including the last payment due in January 2021. ½ Month 0.7812
Line 29-Other Credits 1 Month 0.8125
A Saginaw resident who earns income from another taxing 1 ½ Month 0.8438
municipality shall be allowed a credit against Saginaw income tax for 2 Month 0.8750
the amount paid to the other taxing city with a limit of .0075. Attach a 2 ½ Month 0.9062
copy of that city income tax return as proof of payment. 3 Month 0.9375
Enter tax paid on your behalf by a partnership of which you are a 3 ½ Month 0.9687
partner, or payments made on a tentative return.
4 Month 1.0000
TAX DUE OR REFUND
4 ½ Month 1.0313
Line 31-Amount You Owe
5 Month 1.0625
If Line 26 is larger than Line 30, subtract Line 30 from Line 26, the
difference is the amount that you owe to the City of Saginaw. Partial 5 ½ Month 1.0937
payments will be accepted after the return is filed and proper 6 Month 1.1250
arrangements are made. Make check or money order payable to 6 ½ Month 1.1562
Treasurer, City of Saginaw and mail to: Income Tax Office, 1315 7 Month 1.1875
S Washington Ave, Saginaw, MI 48601. To pay by Credit/Debit 7 ½ Month 1.2188
card please visit WWW.SAGINAW-MI.COM 8 Month 1.2500
Note: If your payment is over $100.00, you may be required to file a 8 ½ Month 1.2812
Form S-1040ES. See estimated tax instructions. 9 Month 1.3125
Line 32-This is the Amount You Overpaid 9 ½ Month 1.3437
If Line 30 is larger than Line 26, subtract line 26 from Line 30. The 10 Month 1.3750
difference is the amount you overpaid. 10 ½ Month 1.4063
Line 33 – The Amount to Apply to Next Year’s Tax Return 11 Month 1.4375
Indicate the amount of your refund you would like 11 ½ Month 1.4687
credited to 2021. 12 Month 1.5000
Line 34 – Please donate at least $1.00 to the Saginaw Fireworks. Example: The taxable income was $20,000 for the year.
Line 35 - This is Your Refund Taxpayer’s total income for all year (12 months) was in the city.
Subtract Line 33 and 34 from line 32, the difference is your refund The taxpayer lived in the city as follows:
amount. Refunds may be directly deposited or issued by a refund 1) January 1 to April 10 (3 ½ months)
check. Refunds of less than one dollar ($1.00) will not be made. .9687 X 1% X $20,000 or .009687 X $20,000 = $193.74 tax due
Refunds will be made as quickly as possible. *Please wait until after
June 15, 2021 before making inquiry. 2) January 1 to October 25 (10 months)
1.3750 X 1% X $20,000 or .013750 X $20,000 = $275.00 tax due
DECLARATION OF ESTIMATED TAX
If you expect that your Saginaw Income in 2021, not subject to 3) August 17 to December 31 (4 ½ months)
withholding, will be more than $6,667 for a resident or $13,333 for a 1.0313 X 1% X $20,000 or .0130313 X $20,000 = $206.26 tax due
non-resident (after deduction of exemption credits) on which the tax
will be over $100.00, you must file a Declaration of Estimated Tax for 4) May 2 to September 28 (5 months)
2021 by April 30, 2021 and pay at least one-fourth (25%) of the 1.0625 X 1% X $20,000 or .010625 X $20,000 = $212.50 tax due
estimated 2021 tax with your Declaration.
Pay the balance in three (3) equal installments to be paid on June 30, Taxpayer who was a resident part of the year and lived outside and
2021, September 30, 2021 and January 31, 2022. You may amend worked outside the city the balance of the year, shall use the rate of
your estimate at the time of making a quarterly payment. Declaration 1.50% on the earnings as a resident only.
of Estimated Tax forms may be obtained at the Income Tax Office or
on-line at www.saginaw-mi.com. Taxpayer, moving into or out of the city during the year, but total
No estimate is required if 70% of current or prior year’s tax is paid income for all year (12 months) was in the city must use the table
prior to filing by withholding or credit. PENALTIES AND above. One to 15 days is to be considered one-half (1/2) month and
INTEREST WILL BE CHARGED IF YOU ARE UNDERPAID. 16 to 31 days is to be considered a full month. Determine length of
CHARGES FOR LATE PAYMENTS residency in the city to the half month and locate tax rate factor in
All tax payments, remaining unpaid after they are due, are liable to a the table. Multiply by taxable income to determine tax due.
penalty of 1% per month, not to exceed a total penalty of 25%, and
ASSISTANCE
bear interest at the rate of 1% above the prime rate on an annual basis.
If you have any questions or if you need assistance in preparing your
The minimum combined charge for interest and penalty shall be $2.00.
return you may contact us 3 ways:
AMENDED RETURNS-An amended return shall be filed when it is
1. Visit our website at www.saginaw-mi.com
necessary to report additional income, pay additional tax due or claim
2. Phone us at (989) 759-1650
a refund, or within 90 days from final determination of a Federal tax
3. Visit us at the Income Tax Office, City Hall, Room 105
liability which also affects city income tax liability. Use S-1040 form

and mark “AMENDED” in left upper corner.
Provide reason for amendment with appropriate Federal schedules. WE WILL NOT PREPARE YOUR TAX RETURN.

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