10 June 2016 Law firm clients: Michigan legislature's approval of changes to flow-through entity income tax withholding that would take effect July 1 could affect law firms Law firms filing tax returns in Michigan could be affected by Michigan House Bill 5131 (HB 5131), which would remove the statutory requirement that flow-through entities withhold tax on the distributive share of taxable income of individual nonresident members or the distributive share of business income of members that are corporations or other flow-through entities. Instead, members of flow-through entities will be expected to calculate and remit their own quarterly estimated tax payments. The changes will be effective for tax years beginning on or after July 1, 2016. The governor, who received HB 5131 on May 31, 2016, is expected to sign the bill. Tax Alert 2016-1004 has details.
Document ID: 2016-1022 | |||||||||||
