2021 ProSeries/Michigan Readme
Release 2021.330
Contents
What's new for ProSeries/Michigan
Forms
Electronic filing
Additional Information
Items addressed in this release
- Total Household Resources Worksheet - Updates for Non-Gambling winnings reported on the federal return.
Items addressed in previous releases
- Form MI-1040 - Updates for amended returns with an overpayment on the original return.
- Schedule 1 - Calculations enhanced for part-year filers with active duty military income.
- Schedule NR - An error message was updated for filers with military wages.
- Form 4884 - Calculations have been updated for Tier 3 filers and filers who receive retirement benefits from a deceased spoouse.
- Form 1040CR - Calculations have been updated for deceased filers number of residency days.
- Form 5049 - An error message was updated for married filing separate filers.
- Form 5118, City of Detroit Resident Income Tax Return - Other additions have been updated to include the Archer MSA deduction included on the federal return.
- Federal Form 8915-F - Updates in relation to Federal Form 8915-F have been finalized.
- Common City Income Tax Form CF-1040 - Updates for tax payments made to the city of Port Huron.
- General Error Messages - An error message was updated to now allow the direct debit date up to April 18, 2022.
What's new for ProSeries/Michigan
The following items are new for tax year 2021:
- Tier 2 Michigan Standard Deduction. If the older of you or your spouse (if married filing jointly) was born during the period January 1, 1946 through December 31, 1952, and reached the age of 67 before December 31, 2020, you may deduct $20,000 for single or married filing separately filers or $40,000 for joint filers against all income, rather than solely against retirement and pension income.
- Tier 3 Michigan Standard Deduction. If the older of you or your spouse (if married filing jointly) was born during the period January 1, 1953 through January 1, 1955, and reached the age of 67 on or before December 31, 2021, you may deduct the personal exemption amount and taxable Social Security benefits, military compensation (including retirement benefits), Michigan National Guard retirement benefits and railroad retirement benefits included in adjusted gross income (AGI), or claim a deduction against all income, of $20,000 for a return filed as single or married filing separately, or $40,000 for a married filing joint return.
- Surviving Spouse Benefits. A surviving spouse who was born after 1945 and has reached the age of 67, has not remarried, and claimed a subtraction for retirement and pension benefits on a return jointly filed with the decedent in the year they died, may elect to claim the larger of (a) the survivor’s Michigan Standard Deduction or (b) the retirement and pension benefits subtraction based on the older deceased spouse’s year of birth subject to the limits available for a single filer.
- Flow-Through Entity Tax Credit A member of a flow-through entity that elected to pay the Michigan flow-through entity tax may claim a refundable credit, and will report an addition.
- Deduction for Wagering Losses A taxpayer may be eligible to deduct wagering losses claimed on their federal return as an itemized deduction.
Forms
The Michigan Department of Treasury has approved for filing all forms and
schedules included in ProSeries/Michigan.
Electronic filing
You can file returns electronically with this version of ProSeries/Michigan.
Important: Electronic filing is available in this release
of ProSeries/Michigan.
For a list of forms that can be e-filed, go to What's New This Year in Help Center.
Additional Information
Check all returns after printing
The Michigan City Departments of Treasury scan computer-generated forms to
quickly process the income tax returns it receives. To meet the requirements for
producing computer-generated forms, ProSeries is required to limit the width of
the tax information printed on forms that are scanned. In certain cases, data
you entered may be truncated. After completing a tax return, review the
information that prints (for example, mailing address information), make any
necessary changes, and reprint the return before mailing it.
About bar codes on printed city returns
Some Michigan cities use bar codes on computer-printed tax forms. This
special formatting allows the city taxing authorities to process returns more
quickly and efficiently. On-screen, you'll see only a representation of
the bar code on the lower part of the form. This image is static and does
not change based on the information in the return. However, when you print the
return, the bar code appears as a large rectangular box on the first page of the
form. The width of the bar code is constant; the height varies according to the
data in the return. In general, the more complex the return, the larger the
printed bar code.
Returns that contain special formatting may be processed at a different
location than manually prepared returns. Therefore, the filing instructions that
print with the city return may contain a mailing address that's different from
the mailing address in the package that is sent to taxpayers. Be sure to have
your clients mail their returns to the address in the filing instructions that
print with the return.
Important: Because the bar code image is a function of the data in the
tax return, it's important that you reprint the page with the bar code if
changes are made to any part of the return. Also, do not print blank copies of
the main form and prepare them manually. The Michigan city taxing authority may
attempt to scan the form and reject it.
End of ReadMe file for ProSeries/Michigan