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Multistate Tax Alert: Michigan Governor Signs Bills Replacing the Business Tax with a Corporate Income Tax

Also eliminating the three-factor apportionment election and implementing individual income tax changes


On May 16, 2011, we issued two Tax Alerts summarizing the Michigan Legislature’s passage of legislation repealing the Michigan Business Tax (and replacing it with a Corporate Income Tax effective January 1, 2012), eliminating the Multistate Tax Compact three-factor apportionment election beginning January 1, 2011, and implementing various Individual Income Tax changes. Earlier today, Michigan Governor Rick Snyder signed this legislation into law.

The attached Tax Alert reports on the governor’s signature of the various bills and includes our two earlier Tax Alerts that summarize these Michigan law changes.

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