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Michigan treasury offers installment plan to businesses deferring tax payments amid pandemic

Businesses deferring sales, use and withholding due to the coronavirus pandemic have a new option for repayment

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(WDIV)

LANSING, Mich. – The Michigan Department of Treasury announced Tuesday a new payment plan for business taxpayers deferring their sales, use and withholding (SUW) taxes amid the coronavirus (COVID-19) pandemic.

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The installment payment plan allows business taxpayers to pay their outstanding balance in its entirety or in monthly payments over the next six months with no penalties or interest, officials said. Taxpayers that have deferred payments from February, March, April and May are eligible to participate in the installment plan. Quarterly filers are also eligible to participate.

The state treasury previously announced that payments on SUW taxes during these months could be deferred without any penalties or interest due to the pandemic.

“Michigan businesses are looking for ways to continue operating during and after this crisis and we know that many have taken advantage of tax payment extensions,” said State Treasurer Rachael Eubanks. “Providing an installment payment option enables businesses to spread out their obligations over the next six months without incurring additional cost. Taxpayers are encouraged to pay their entire balance if able to do so.”

Officials say both monthly and quarterly filers must submit their outstanding returns for deferred months by June 20 to establish their installment balance. Businesses are not required to submit any documents to or contact the state treasury to participate in the plan.

SUW tax deadlines for July and beyond must be filed and paid as normally scheduled, officials said.

Read the full announcement from the state treasury on their website here.

Click here to read our latest coverage on the COVID-19 pandemic.


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