Michigan Payroll Tax and Registration Guide

To ensure your company complies with Michigan’s payroll tax requirements, Beyond needs specific information before you can begin processing payroll:

  • State Employer ID Number and any state or local tax account numbers
  • Applicable tax rates – These are set by the state based on factors like your business type, size, and history
  • Third-Party Administrator (TPA) Authorization and Power of Attorney (POA) – Most state agencies require these before Beyond can file wage reports or make tax deposits on your behalf

 

You are responsible for supplying and keeping this information current. Without accurate and complete data, Beyond won’t be able to process filings or make payments properly. The company is not liable for penalties or interest related to missing or incorrect tax details.

Simplify State Tax Registrations with Middesk

Need help getting set up with state agencies? Beyond partners with Middesk to make it easier to manage your business's state registrations and stay compliant, no matter where your employees are located.

With Middesk, you can:
• Register for required tax IDs and agency accounts quickly and securely
• Manage all your state accounts through a single, user-friendly platform
• Track compliance and government correspondence directly from your dashboard
• Complete “foreign qualification” steps with the Secretary of State for multi-state compliance

Understand what you need to provide and what tax-related tasks Beyond takes care of for Michigan employers

What Beyond Needs from You

All Michigan Employers

Task

Purpose

Register with the Michigan Department of Treasury

Enables withholding tax filing and payments

Register with applicable local tax offices

Required if your employees live in cities with income tax

Register with the Michigan Department of Labor

Required to pay unemployment insurance taxes

Provide Beyond with your Michigan Withholding Tax ID

A 9-digit number issued by the Department of Treasury

Submit your E-File credentials (Sign-On ID + Access Code)

Needed to file returns electronically

Provide your Michigan Unemployment Insurance (UIA) Account Number

A 7-digit number issued by the Department of Labor

Submit your Michigan SUI Tax Rate

Sent annually by the Department of Labor

What Beyond handles for Michigan employers

Withholding Tax

  • Form 5080

    Monthly or Quarterly Sales, Use, and Withholding Tax Return
    • Filed on a monthly or quarterly basis

  • Form 5081

    Annual Sales, Use, and Withholding Tax Return
    • Filed once per year

  • Form 447

    Submission of Magnetic Media Reports for W-2, W-2G, and 1099 Forms to the State of Michigan
    • Annual filing

  • State W-2

    Wage and Tax Statement
    • Yearly requirement

Unemployment Insurance Tax

  • UIA 1028

    Employer’s Quarterly Wage and Tax Report
    • Submitted every quarter

Additional Requirement

  • New Hire Report

    Michigan New Hire Reporting
    • Submitted as needed

Where to Find Your Tax Account Info

Existing Employers in Michigan

If you’ve run payroll before, you should already have your required account numbers and tax rates. Look for:

  • Michigan Withholding Tax ID (same as your FEIN in most cases)
  • Unemployment Insurance (UIA) Account Number
  • Tax Rate Notice (UIA Form 1771) for your SUI and ESA rates

 

New Employers in Michigan

If you’re new to payroll in Michigan, you must register with both:

  • Michigan Department of Treasury (for withholding taxes)
    • Register online at Michigan Treasury Online (MTO)
  • Michigan Department of Labor and Economic Opportunity (for unemployment insurance)
    • Register via the UIA Employer Web Account Manager

 

Withholding Tax Details
You’ll receive your Withholding Tax ID, E-File credentials, and deposit schedule within 3–5 business days of registering with the Treasury.

Unemployment Tax Details
New employers typically begin with a 2.7% SUI rate (or 5% for construction) on a $9,000 wage base. The UIA sends your account number and rate within days of online registration.

Note: Employers who fail to stay current on tax filings or owe more than $25 in penalties may be assigned a higher wage base of $9,500.

City Withholding in Michigan

  • Some Michigan cities impose local income taxes on employees and employers. Your business must register with each applicable city and provide Beyond with your local tax account numbers.

    Cities with payroll tax requirements include:

    • Detroit
    • Grand Rapids
    • Flint
    • Lansing
    • Saginaw
    • Pontiac
    • Hamtramck
    • Highland Park
      (and others)

     

  • A full list is available on the Michigan Department of Treasury website.

Have employees working in other states?

If your business operates across state lines or has remote team members based in different states, it’s essential to make sure the proper state paperwork is completed for each location. Beyond takes care of filing the necessary forms in every state where your employees are on payroll, helping you stay compliant no matter where your team works.