New Developments for Tax Year 2013, Michigan Department of Treasury, December 2013
The Michigan Department of Treasury has addressed various personal income tax developments for tax year 2013. The annual mailing of tax instruction booklets is limited to those taxpayers filing paper returns; however, all forms and instructions are available online.
The developments highlighted include the following:
The tax rate for 2013 is 4.25%.
The 2013 personal exemption allowance is $3,950, and the special exemption allowance is $2,500.
Available for taxpayers age 68 and over, the dividends, interest and capital gains deduction is limited to $10,767 for single filers and $21,534 for joint filers and must be reduced by the pension subtraction.
Pension and retirement benefits are taxed differently depending on the birth year of the recipient.
Modification lines are added to the tax form for oil and gas expenses and income.
Same-sex couples filing a joint federal return must file as single in Michigan.
If military members are serving in a combat zone on April 15, 2014, then they will have 180 days after leaving the combat zone to file a tax return without interest and penalty.
The standard allowances and income ceilings for the home heating credit are provided.
Taxpayers are reminded that they have until April 15, 2014, to file or amend 2009 tax year returns.