Key tax accounting considerations of the Michigan corporate income tax legislation and the repeal of the Michigan business tax

Michigan legislation enacted May 25, 2011, repeals the two-prong Michigan business tax (MBT) and implements a corporate income tax (CIT), effective January 1, 2012, for most taxpayers. The MBT remains in effect for MBT taxpayers with “certificated” MBT credits that timely elect to claim certificated credits until those credits are exhausted, with certain exceptions. [H.B. 4361, H.B. 4362, H.B. 4479, enacted 5/25/2011]