PDF document

- 1 -

Michigan Department of Treasury
4908 (Rev. 03-21), Page 1 of 2                                                                                                                                     This form cannot be used  
                                                                                                                                                                   as an amended return;  
                                                                                                                                                                   use the CIT Amended Return  
2021 MICHIGAN Corporate Income Tax Annual Return                                                                                                                   for Financial Institutions  
                                                                                                                                                                   (Form 4909).
for Financial Institutions
Issued under authority of Public Act 38 of 2011.                                               (MM-DD-YYYY)                                                                (MM-DD-YYYY)

1.  Return is for calendar year 2021 or for tax year beginning:                                                                           and ending:
2a.  Taxpayer Name or Designated Member (DM) if a UBG (print or type)                                     Federal Employer Identification Number (FEIN)

2b. Top-tiered parent entity filing the Federal Financial Institutions Examination Council (FFIEC) report Top-tiered parent entity FEIN

2c. Street Address of Taxpayer or DM                                                                      7. Organization Type

City                                             State    ZIP/Postal Code      Country Code                   Fiduciary                                        C Corp/         S Corp/ 
                                                                                                                                                               LLC C Corp      LLC S Corp
3. Principal Business Activity                            4. NAICS Code                                   8a. Affiliated Group Election year (MM-DD-YYYY) (see instructions)

5. Business Start Date in Michigan               6. If a Final Return, Enter Effective End Date
                                                                                                              Check if filing Michigan Unitary Business Group (UBG) 
                                                                                                          8b. return. (Include Form 4910.)

  9.  Apportionment Calculation:     a.          Michigan Gross Business(if no Michigan Gross Business,       enter zero) ..              9a.                                                  00
                                     b.          Total Gross Business ................................................................... 9b.                                                  00
                                     c.          Apportionment Percentage.  Divide line 9a by line 9b .................                   9c.                                                  %

PART 1: FRANCHISE TAX

10.   Total Equity Capital. If less than zero, enter zero ............................................................................................         10.                             00

  11. Average daily book value of Michigan obligations. If less than zero, enter zero .............................................                            11.                             00

12.   Average daily book value of U.S. obligations. If less than zero, enter zero .....................................................                        12.                             00

13.   Subtotal. Add lines 11 and 12 .......................................................................................................................... 13.                             00

14.   (Net Capital) Subtract line 13 from line 10.......................................................................................................       14.                             00

15.   Authorized insurance company subsidiary: enter actual capital fund amount .................................................                              15.                             00

16.   Minimum regulatory amount required ..............................................................................................................        16.                             00

17.   Multiply line 16 by 125% (1.25) .......................................................................................................................  17.                             00

18.   Enter the lesser of line 15 or line 17 ................................................................................................................  18.                             00

19.   Tax Base (Net Capital for Current Taxable Year). Subtract line 18 from line 14 ..............................................                            19.                             00

20.   Apportioned Tax Base. Multiply line 19 by percentage on line 9c ...................................................................                      20.                             00

21.   Tax Liability. Multiply line 20 by 0.29% (0.0029). If less than or equal to $100, enter zero ...........................                                 21.                             00

22.   Total Recapture of Certain Business Tax Credits from Form 4902 ..................................................................                        22.                             00

23.   Total Tax Liability. Add lines 21 and 22 .........................................................................................................       23.                             00

+ 0000 2021 42 01 27 8                                                                                                                                             Continue and sign on Page 2.

- 2 -

Enlarge image

2021 Form 4908, Page 2 of 2
                                                                                          Taxpayer FEIN

PART 2: PAYMENTS AND TAX DUE

24.   Overpayment credited from prior return (MBT or CIT) ....................................................................................                         24. 00

25.   Estimated tax payments ..................................................................................................................................        25. 00

26.   Tax paid with request for extension .................................................................................................................            26. 00

27.   Michigan tax withheld ......................................................................................................................................     27. 00

28.   Total Payments. Add lines 24 through 27 ........................................................................................................                 28. 00

29.   TAX DUE. Subtract line 28 from line 23. If less than zero, leave blank ...........................................................                               29. 00

30.   Underpaid estimate penalty and interest from Form 4899, line 38 ..................................................................                               30. 00

31.   Annual Return Penalty (see instructions) ........................................................................................................                31. 00

32.   Annual Return Interest (see instructions) ........................................................................................................               32. 00

33.   PAYMENT DUE.  If line 29 is blank, go to line 34. Otherwise, add lines 29 through 32 ..................................                                          33. 00

PART 3: REFUND OR CREDIT FORWARD
34.   Overpayment. Subtract lines 23, 30, 31 and 32 from line 28. If less than zero, leave blank 
      (see instructions) ............................................................................................................................................. 34. 00

35.   CREDIT FORWARD. Amount on line 34 to be credited forward and used as an estimate for next tax year ..                                                            35. 00

36.   REFUND. Subtract line 35 from line 34 ...........................................................................................................                36. 00

Taxpayer Certification.  I declare under penalty of perjury that the information in    Preparer Certification.  I declare under penalty of perjury that this
this return and attachments is true and complete to the best of my knowledge.          return is based on all information of which I have any knowledge.
                                                                                       Preparer’s PTIN, FEIN or SSN
      By checking this box, I authorize Treasury to discuss my return with my preparer.
Authorized Signature for Tax Matters                                                   Preparer’s Business Name (print or type)

Authorized Signer’s Name (print or type)                 Date                          Preparer’s Business Address and Telephone Number (print or type)

Title                                    Telephone Number

             Return is due April 30 or on or before the last day of the 4th month after the close of the tax year.
WITHOUT PAYMENT - Mail return to:        WITH PAYMENT - Pay amount on line 33                    Make check payable to “State of Michigan.” 
                                         and mail check and return to:                           Print taxpayer’s FEIN, the tax year, and “CIT” 
 Michigan Department of Treasury         Michigan Department of Treasury                         on the front of the check. Do not staple the 
 PO Box 30803                            PO Box 30804                                            check to the return.
 Lansing MI  48909                       Lansing MI  48909

+ 0000 2021 42 02 27 6

- 3 -

Enlarge image

                                          Instructions for Form 4908 
       Corporate Income Tax (CIT) Annual Return for Financial Institutions

Purpose                                                                michigan.gov/treasuryforms.
To calculate tax liability of a financial institution for CIT.         NOTE: A UBG may include financial institutions, insurance 
                                                                       companies,  and  standard  taxpayers.  A  group  containing  a 
Every  financial  institution  with  nexus  with  Michigan  must 
                                                                       mixture of these three taxpayer types may be required to file 
file an annual return.  See MCL 206.653 for nexus thresholds. 
                                                                       two  or  more  returns  to  properly  report  the  activities  of  the 
However, a taxpayer whose tax liability is less than or equal to 
                                                                       different taxpayer types within the group.
$100 does not need to file a return or pay the tax.
                                                                       Financial institution means any of the following:
Effects of Public Act 460 of 2018
                                                                       i.  A bank holding company, a national bank, a state chartered 
Effective  with  tax  years  beginning  in  2019,  PA  460  of  2018   bank, a state chartered savings bank, a federally chartered 
alters  the  definition  of  total  equity  capital  for  a  financial savings  association,  or  a  federally  chartered  farm  credit 
institution.                                                           system institution.
Total equity capital  is  the  amount  reported  by  the  financial    ii. Any entity, other than an entity subject to the tax imposed 
institution,  or  in  the  case  of  a Unitary Business Group          under  Chapter  12  (insurance  company),  that  is  directly 
(UBG) of financial institutions, the top-tiered parent entity, on      or  indirectly  owned  by  an  entity  described  in  (i)  and  is  a 
certain  regulatory  forms  designated  by  the  Federal  Financial    member of the UBG.
Institutions  Examination  Council  (FFIEC)  and  filed  with          iii.  A UBG of entities described in (i) or (ii), or both.
the office of the comptroller of currency, the Federal Deposit 
Insurance Corporation (FDIC), or the Federal Reserve System.           NOTE: Because the definition of financial institution for CIT 
                                                                       purposes  includes  any  entity  (except  an  insurance  company) 
A financial institution will use the FFIEC regulatory report for       that  is  owned  by  a  bank  or  other  entity  (as  described  above) 
the period ending with the financial institution’s fiscal year end.    and is a member of a UBG with its owner, this may cause an 
Likewise, for a unitary business group of financial institutions,      entity that is not commonly thought of as a financial institution 
the  taxpayer  uses  the  FFIEC  regulatory  report  for  the  period  to  be  treated  as  one  for  return  filing  purposes.  A  UBG  of 
ending with the top-tiered-parent entity’s fiscal year end. If the     financial  institutions  must  file  a  combined  return  on  Form 
financial institution or top-tiered parent entity does not submit      4908 that includes each member of the group that is a financial 
a report for the period ending that coincides with its fiscal year     institution.
end, the taxpayer should use the last FFIEC regulatory report 
issued during its fiscal year.                                         Taxpayer Certification
                                                                       A  return  filed  by  a  UBG  must  be  signed  by  an  individual 
The  Michigan  Department  of  Treasury  provides  additional 
                                                                       authorized to sign on behalf of the DM. Provide the telephone 
guidance  on  these  changes  in  Revenue  Administrative 
                                                                       number of that individual at the DM’s office.
Bulletin  (RAB)  2019-22,  available  at michigan.gov/treasury. 
Select “Reports & Legal” near the top of the page, then click          The Affiliated Group Election
on  “Revenue  Administrative  Bulletins.”  RABs  are  posted 
                                                                       The  affiliated  group  election  allows  a  group  of  persons  that 
according to the year in which they are issued.
                                                                       satisfy the definition of “affiliated group,” (see below) to elect to 
Instructions for Unitary Business Groups                               be treated as a UBG under the CIT even if those persons do not 
                                                                       satisfy the relationship test of MCL 206.611(6). The relationship 
All  financial  institution  members  of  a  Unitary  Business         test is discussed in the “UBGs and Combined Filing” section of 
Group (UBG) must file a combined Form 4908 for the group               Form 4907, and online at www.michigan.gov/taxes.
with a Designated Member (DM) that must be the controlling 
                                                                       The term affiliated group means that term as defined in section 
member of the group, unless the controlling member does not 
                                                                       1504  of  the  IRC except that 1)  the  term  includes  all  United 
have nexus with Michigan. If that is the case, the controlling 
                                                                       States  persons  that  are  corporations,  insurance  companies, 
member may appoint a group member with nexus to serve as 
                                                                       or financial institutions, other than a foreign operating entity, 
the DM.
                                                                       and 2) the entities listed in (1) are commonly owned, directly 
NOTE:  The  DM  may  be  an  entity  other  than  the  top-tiered      or indirectly, by any member of such affiliated group and other 
parent entity if the top-tiered parent entity does not have nexus      members  of  which  more  than  50  percent  of  the  ownership 
with Michigan. In that case, the top-tiered parent entity’s total      interests with voting rights or ownership interests that confer 
equity capital and tax year is still used to calculate the tax base.   comparable rights to voting rights of the member is directly or 
                                                                       indirectly owned by a common owner or owners.
UBGs: Complete the  CIT Unitary Business Group Combined 
Filing Schedule for Financial Institutions (Form 4910) before          A taxpayer makes the election by affirmatively indicating so on 
beginning Form 4908.                                                   the annual return (see line 8a). The affiliated group members 
                                                                       are  treated  as  members  of  a  UBG  for  all  purposes. Once an 
For  more  information  on  UBGs,  see  the    CIT Forms and 
                                                                       election is made, it is irrevocable and binding for the tax 
Instructions for Financial Institutions  (Form  4907),  or  go 
                                                                       year plus the next 9 tax years. See MCL 206.691(2) for more 
online  to  the  Department  of  Treasury  Web  site  at www.
                                                                       information.
                                                                                                                                  9

- 4 -

Enlarge image

Line-by-Line Instructions                                               for the financial institutions. Enter the FEIN of the DM of the 
                                                                        financial group.
Lines not listed are explained on the form.
                                                                        Line 2b: For use by UBGs only: Enter the name of the top-
Dates must be entered in MM-DD-YYYY format.                             tiered parenty entity filing the FFIEC report, and that entity’s 
For periods less than 12 months,  see  “General  Information            FEIN. This may be different from the entity named in line 2a if 
for  Financial  Institutions”  in  the  Michigan  CIT  for  Financial   the top-tiered entity does not have nexus with Michigan.
Institutions booklet, Form 4907.                                        Line 2c: Enter the street address of the taxpayer or, in the case 
Amended Returns:   To  amend  a  current  or  prior  year  return,      of a UBG, the DM.
complete  the CIT Amended Return for Financial Institutions             FOREIGN FILERS: Complete the address fields as follows:
(Form 4909) that is applicable for that year, and attach a separate 
sheet  explaining  the  reason  for  the  changes.  Include  a  copy       Address: Enter the postal address for this taxpayer.
of  an  amended  federal  return  or  a  signed  and  dated  copy  of      City:  Enter  the  city  name  for  this  taxpayer.  DO  NOT 
the  Internal  Revenue  Service  (IRS)  audit  report,  if  applicable.    include the country name in this field.
Submit  a  complete  amended  return  including  all  necessary 
attachments. Do not include a copy of the original return with             State: Enter the two-letter state or province abbreviation. 
your amended return. Find detailed instructions on Form 4909.              If there is no applicable two-letter abbreviation, leave this 
                                                                           field blank.
Line  1: Unless a calendar year, enter the beginning and ending 
dates (MM-DD-YYYY) that correspond to the taxable period                   ZIP/Postal Code: Enter the ZIP Code or Postal Code.
as reported to the IRS.                                                    Country Code:  Enter  the  two-letter  country  code 
Tax  year  means  the  calendar  year,  or  the  fiscal  year  ending      provided in this tax booklet.
during the calendar year, upon the basis of which the tax base          Line  3: Enter  a  brief  description  of  the  principal  types  of 
of a taxpayer is computed. If a return is made for a fractional         financial services in which the taxpayer is engaged.
part of a year, tax year means the period for which the return 
covers. Generally, a taxpayer’s tax year is for the same period         Line  4: Enter  the  entity’s  six-digit  North  American  Industry 
as is covered by its federal income tax return.                         Classification  System  (NAICS)  code.  For  a  complete  list  of 
                                                                        six-digit NAICS codes, see the U.S. Census Bureau Web site 
Line  2a:  Enter  the  taxpayer’s  name  and  Federal  Employer         at www.census.gov/eos/www/naics/, or enter the same NAICS 
Identification Number (FEIN) in the appropriate fields. Be sure         code used when filing the entity’s federal Form 1120, Schedule 
to use the same account number on all forms. The taxpayer FEIN          K, federal Form 1120S, or federal Form 1065.
from page 1 must be repeated in the proper location on page 2.
                                                                        UBGs: Enter here the NAICS for the principal activity of the 
For  CIT, taxpayer  means  a  corporation,  insurance  company,         group.  If  no  principal  activity  is  available,  enter  the  NAICS 
financial  institution,  or  a  UBG  liable  for  tax,  interest,  or   code used when filing the DM’s federal Form 1120, Schedule 
penalty.                                                                K; federal Form 1120S; or federal Form 1065.
NOTE:  Unless  already  registered,  taxpayers  must  register          Line  5: Enter the start date of first business activity in Michigan.
with  the  Michigan  Department  of  Treasury  before  filing  a 
tax  return.  Taxpayers  are  encouraged  to  register  online  at      Line  6: Enter  the  date,  if  applicable,  on  which  the  taxpayer 
www.michigan.gov/businesstaxes.  Taxpayers  that  register              went out of business.
with  Treasury  online  receive  their  registration  confirmation      Line 7:  Check  the  box  that  describes  the  DM’s  organization 
within seven days.                                                      type.  A  Trust  or  a  Limited  Liability  Company  (LLC)  should 
If  the  taxpayer  does  not  have  an  FEIN,  the  taxpayer    must    check the appropriate box based on its federal return.
obtain  an  FEIN  before  filing  the  CIT.  The  Web  site             NOTE:  For CIT purposes, a disregarded entity is treated as a 
www.michigan.gov/businesstaxes      provides  information  on           part of its owner.
obtaining an FEIN.
                                                                        Line 8a:  Enter  here  the  end  date  —  in  an  MM-DD-YYYY 
Returns received without a registered account number will               format  —   of  the  tax  year  in  which  the  affiliated  group 
not be processed until such time as a number is provided.               election  was  first  made.  The  election  lasts  10  years  and  is 
Enter the two-digit abbreviation for the country code. See the          irrevocable.
list of country codes in Form 4907.                                     Calendar year filers that made this election beginning 2013, and 
Any refund or correspondence from this return will be sent to           fiscal  filers  that  made  this  election  beginning  with  the  2013-
the address used on this form. The taxpayer’s primary address           14 fiscal year, completed the Michigan Corporate Income Tax 
in Treasury files, identified as the legal address and used for all     Affiliated Group Election to File as a Unitary Business Group 
purposes  other  than  refund  and  correspondence  on  a  specific     (Form 5114) to make the election. Enter here the end date — in 
CIT return, will not change unless the taxpayer files a Notice of       an MM-DD-YYYY format — of the tax year for which Form 
Change or Discontinuance (Form 163).                                    5114 was filed.
UBGs: In the Taxpayer Name field, enter the name of the DM              Taxpayers  that  first  made  this  election  beginning  calendar 
                                                                        year  2014  or  later do not  use  Form 5114,  which  is  now 

10

- 5 -

Enlarge image

discontinued.  Instead,  make  the  election  on  this  line  of  the             which the loan is secured is not located within any one 
return filed for the first year of the election, by entering the end              state but the borrower is located in Michigan.
date of that filing period in an MM-DD-YYYY format.                           ○ For a loan not secured by real property, the borrower is 
Line  8b: Check this box if filing a Michigan UBG return and                      located in Michigan.
include Form 4910.                                                          • Receipts from services are in Michigan if the recipient of the 
                                                                            services receives all of the benefit of the services in Michigan. If 
Lines  9a through 9c:  A  taxpayer  may  apportion  on  lines 
                                                                            the recipient of the services receives some of the benefit of the 
9a through 9c only if its business activities are subject to tax 
                                                                            services in Michigan, the receipts are included in the numerator 
both within and outside of Michigan. A financial institution is 
                                                                            of the apportionment factor in proportion to the extent that the 
subject to tax in another state, as that term is used here, only if:
                                                                            recipient receives benefit of the services in Michigan.
• It is subject to a Business Privilege Tax, a Net Income Tax, a 
                                                                            • Receipts  from  investment  assets  and  activities  and  trading 
Franchise Tax measured by net income, a Franchise Tax for the 
                                                                            assets  and  activities,  including  interest  and  dividends,  are  in 
privilege of doing business, or a corporate stock tax or a tax of 
                                                                            Michigan if the financial institution’s customer is in Michigan. 
the type imposed under the Income Tax Act in that other state; 
                                                                            If the location of the financial institution’s customer cannot be 
OR
                                                                            determined, both of the following apply:
• That  other  state  has  jurisdiction  to  subject  the  financial 
                                                                              ○ Interest, dividends, and other income from investment 
institution to one or more of the taxes listed above regardless 
                                                                                  assets  and  activities  and  from  trading  assets  and 
of  whether  that  state  does  or  does  not  subject  the  financial 
                                                                                  activities,  including,  but  not  limited  to,  investment 
institution to such a tax.
                                                                                  securities;  trading  account  assets;  federal  funds; 
Gross Business  means  the  sum  of  the  following  less  transactions           securities  purchased  and  sold  under  agreements 
between those entities included in a UBG:                                         to  resell  or  repurchase;  options;  futures  contracts; 
                                                                                  forward  contracts;  notional  principal  contracts  such 
i.  Fees,  commissions,  or  other  compensation  for  financial 
                                                                                  as  swaps;  equities;  and  foreign  currency  transactions 
  services.
                                                                                  are  in  Michigan  if  the  average  value  of  the  assets  is 
ii. Net  gains,  not  less  than  zero,  from  the  sale  of  loans  and          assigned to a regular place of business of the taxpayer 
  other intangibles.                                                              in  Michigan.  Interest  from  federal  funds  sold  and 
iii. Net gains, not less than zero, from trading in stocks, bonds,                purchased  and  from  securities  purchased  under  resale 
  or other securities.                                                            agreements  and  securities  sold  under  repurchase 
iv. Interest charged to customers for carrying debit balances of                  agreements  are  in  Michigan  if  the  average  value  of 
  margin accounts.                                                                the assets is assigned to a regular place of business of 
                                                                                  the taxpayer in Michigan. The amount of receipts and 
v.  Interest and dividends received.
                                                                                  other  income  from  investment  assets  and  activities  is 
vi. Any other gross proceeds resulting from the operation as a                    in Michigan if assets are assigned to a regular place of 
  financial institution.                                                          business of the taxpayer in Michigan.
Gross Business is in Michigan to the extent:                                  ○ The  amount  of  receipts  from  trading  assets  and 
                                                                                  activities,  including,  but  not  limited  to,  assets  and 
• Receipts from credit card receivables including interest and 
                                                                                  activities  in  the  matched  book,  in  the  arbitrage  book, 
  fees  or  penalties  in  the  nature  of  interest  from  credit  card 
                                                                                  and  foreign  currency  transactions,  but  excluding 
  receivables  and  receipts  from  fees  charged  to  credit  card 
                                                                                  amounts  otherwise  sourced  in  this  section,  are  in 
  holders  such  as  annual  fees  are  in  Michigan  if  the  billing 
                                                                                  Michigan if the assets are assigned to a regular place of 
  address of the credit card holder is located in Michigan.
                                                                                  business of the taxpayer in Michigan.
• Credit  card  issuer’s  reimbursement  fees  are  in  Michigan 
  if  the  billing  address  of  the  credit  card  holder  is  located  in • Interest  charged  to  customers  for  carrying  debit  balances 
  Michigan.                                                                   on margin accounts without deduction of any costs incurred 
                                                                              in carrying the accounts is in Michigan if the customer is 
• Receipts  from  merchant  discounts  are  in  Michigan  if  the 
                                                                              located in Michigan.
  commercial domicile of the merchant is in Michigan.
                                                                            • Interest from loans secured by real property is in Michigan 
• Loan  servicing  fees  are  in  Michigan  under  any  of  the 
                                                                              if  the  property  is  located  in  Michigan,  if  the  property  is 
  following circumstances:
                                                                              located both within Michigan and one or more other states 
  ○ For a loan secured by real property, if the real property                 and more than 50 percent of the fair market value of the real 
      for which the loan is secured is in Michigan.                           property is located in Michigan, and if more than 50 percent 
  ○ For a loan secured by real property, if the real property                 of the fair market value of the real property is not located 
      for which the loan is secured is located both in Michigan               within any one state but the borrower is located in Michigan.
      and in one or more other states and more than 50 percent              • Interest  from  loans  not  secured  by  real  property  is  in 
        of the fair market value of the real property is located in           Michigan if the borrower is located in Michigan.
      Michigan.                                                             • Net  gains  from  the  sale  of  loans  secured  by  real  property 
  ○ For  a  loan  secured  by  real  property,  if  more  than  50            or  mortgage  service  rights  relating  to  real  property  are  in 
        percent of the fair market value of the real property for             Michigan if the property is in Michigan, if the property is 
                                                                              located both within Michigan and one or more other states 

                                                                                                                                           11

- 6 -

Enlarge image

and more than 50 percent of the fair market value of the real line 14, and enter the totals here.
property is located in Michigan, or if more than 50 percent
Line 12: United States obligations means all obligations of
of the fair market value of the real property is not located in
the United States exempt from taxation under 31 USC 3124(a)
any one state, but the borrower is located in Michigan.
or exempt under the United States constitution or any federal
• Net gains from the sale of loans not secured by real property
statute, including the obligations of any instrumentality or
or any other intangible assets are in Michigan if the
agency of the United States that are exempt from state or local
depositor or borrower is located in Michigan.
taxation under the United States Constitution or any statute of
• Receipts from the lease of real property are in Michigan if the United States.
the property is located in Michigan.
• Receipts from the lease of tangible personal property are in UBGs: Sum the entries of all UBG members from Form 4910,
Michigan if the property is located in Michigan when it is line 15, and enter the totals here.
first placed in service by the lessee. Line 15: Enter the equity capital included in the financial
• Receipts from the lease of transportation tangible personal institution equity capital (and included in line 10) of an
property are in Michigan if the property is used in Michigan insurance company owned by the taxpayer, to the extent that
or if the extent of use of the property in Michigan cannot the equity capital (the financial institution’s investment) is
be determined but the property has its principal base of included in line 10. Consider only insurance companies as
operations in Michigan. defined in MCL 206.607 and subject to the Michigan’s CIT
UBGs: Carry amount from Form 4910, Part 2A, line 2C, to line premiums tax, which does not include captive insurance
9a, and the amount from Form 4910, line 3C, to line 9b. companies. For purposes of this deduction, equity capital is
calculated in accordance with Generally Accepted Accounting
PART 1: FRANCHISE TAX Principles.
The following tax base calculation involves a five-year average
UBGs: Sum the entries of all UBG members from Form 4910,
of net capital. Enter data from the current year and four most
line 16, and enter the totals here.
recent tax years to complete the five-year table. For purposes
of this table, treat a partial year as a full year. If the current Line 16: Enter the minimum regulatory capitalization
and four preceding tax years include any short periods, the requirements of the insurance company, which are fixed
years printed in column headings for this part will not apply statutory minimums set forth in Michigan’s Insurance Code of
accurately. For example, a financial institution has a fiscal year- 1956.
end of June 30 and its current tax year is a short year ending
UBGs: Sum the entries of all UBG members from Form 4910,
September 30, 2021. That financial institution reports the
line 17, and enter the totals here.
periods ending September 30, 2021, June 30, 2021, June 30,
2020, June 30, 2019, and June 30, 2018. Line 18: Enter the lesser of line 15a or line 15c.
Line 10: Total equity capital is defined as the amount reported UBGs: Sum the entries of all UBG members from Form 4910,
by the financial institution or, in the case of a unitary business line 19, and enter the totals here.
group of financial institutions, the top-tiered parent entity, on
PART 2: PAYMENTS AND TAX DUE
certain regulatory forms designated by the FFIEC and filed
with the office of the comptroller of currency, the FDIC, or the Line 24: Enter overpayment credited from prior MBT or CIT
Federal Reserve System. The appropriate regulatory form from return.
which total equity capital is reported depends on the size and UBGs: Sum the entries of all UBG members on Form 4910,
nature of the reporting entity. The forms currently designated line 22.
by the FFIEC and required by the CIT are:
Line 25: Enter the total estimated CIT tax paid with the CIT
• The consolidated financial statement for holding companies, Quarterly Tax Return (Form 4913) or the amount of estimated
FR Y-9C. CIT tax paid through Electronic Funds Transfer. Include all
• The parent company only financial statements for small payments made on returns that apply to the tax year included in
holding companies, FR Y-9SP. this return.
• To the extent that FR Y-9C or FR Y-9SP are not filed for the UBGs: Sum the entries of all UBG members on Form 4910,
tax year, the consolidated reports of condition and income, call line 23.
reports, FFIEC 031, 041, or 051.
Line 26: Enter tax paid with the Application for Extension of
If any of these reports is no longer designated by FFIEC for Time to File Michigan Tax Returns (Form 4).
filing, a financial institution will report that amount of total
equity capital reported on a successor form or a report similar UBGs: Sum the entries of all UBG members on Form 4910,
in content and designated by the FFIEC. line 24.
Line 11: Michigan obligations means a bond, note, or other Line 27: Report here Michigan Tax withheld for deferred
obligation issued by a governmental unit described in Section 3 compensation plans, life insurance and/or lottery annuities
of the Shared Credit Rating Act, Public Act 227 of 1985, MCL issued to a business account number through MCL 206.703(1).
141.1053. Taxpayers can enter the Michigan Tax withheld reported on the
W-2G and/or 1099R.
UBGs: Sum the entries of all UBG members from Form 4910,

- 7 -

Enlarge image

UBGs: Sum the entries for all members on Form 4910, line 25, Reminder: Taxpayers must sign and date returns. Tax
and enter the totals here. preparers must provide a Preparer Taxpayer Identification
Number (PTIN), FEIN or Social Security number (SSN), a
Line 30: If penalty and interest are owed for failure to make
business name, and a business address and phone number.
sufficient and timely estimated payments, complete the CIT
Penalty and Interest Computation for Underpaid Estimated Other Supporting Forms and Schedules
Tax (Form 4899) to compute penalty and interest due. If a
taxpayer chooses not to file this form, Treasury will compute Federal Forms: Attach copies of these forms to the return.
penalty and interest and bill for payment. (Form 4899 is • The consolidated financial statement for holding companies,
available on the Web at www.michigan.gov/taxes.) FR Y-9C.
Line 31: Refer to the “Computing Penalty and Interest” • The parent company only financial statements for small
section in Form 4907 to determine the annual return penalty holding companies, FR Y-9SP.
rate and use the following Overdue Tax Penalty worksheet. • To the extent that FR Y-9C or FR Y-9SP are not filed for the
tax year, the consolidated reports of condition and income,
call reports, FFIEC 031, 041, or 051.
WORKSHEET – OVERDUE TAX PENALTY
A. Tax due from Form 4908, line 29 ........ 00 • A report similar in content and designated by the FFIEC.
B. Late/extension or insufficient
payment penalty percentage ................ %
C. Multiply line A by line B ..................... 00
Carry amount from line C to Form 4908, line 31.

Line 33: Use the following worksheet to calculate Overdue Tax
Interest.

WORKSHEET – OVERDUE TAX INTEREST
A. Tax due from Form 4908, line 29 ........ 00
B. Applicable daily interest percentage .... %
C. Number of days return was past due ...
D. Multiply line B by line C ....................
E. Multiply line A by line D .................... 00
Carry amount from line E to Form 4908, line 32.

NOTE: If the late period spans more than one interest rate
period, divide the late period into the number of days in each
of the interest rate periods identified in the “Computing Penalty
and Interest” section in Form 4907, and apply the calculations
in the Overdue Tax Interest worksheet separately to each
portion of the late period.
Combine these interest subtotals and carry the total to Form
4908, line 32.
PART 3: REFUND OR CREDIT FORWARD
Line 34: If the amount of the overpayment, less any penalty
and interest due on lines 30, 31 and 32 is less than zero, enter
the difference (as a positive number) on line 33.
NOTE: If an overpayment exists, a taxpayer must elect a
refund of all or a portion of the amount and/or designate all or
a portion of the overpayment to be used as an estimate for the
next CIT tax year. Complete lines 35 and 36 as applicable.
Line 35: If the taxpayer anticipates a CIT liability in the
filing period subsequent to this return, some or all of any
overpayment from line 34 may be credited forward to the next
tax year as an estimated payment. Enter the desired amount to
use as an estimate for the next CIT tax year.
Line 36: Enter the amount of refund requested.

PDF file checksum: 756380510

(Plugin #1/9.12/13.0)