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Returning Member
posted Jan 16, 2022 2:35:30 PM

Living in Pontiac MI but working in Detroit MI

If you live in Pontiac, MI and work in Detroit, MI do you have to pay income tax to both cities and how much?

0 4 1192
4 Replies
Level 8
Jan 16, 2022 4:01:23 PM

You will pay 1.20% to Detroit and 1% to Pontiac.  If you lived and worked in Detroit, you would pay 2.4% to Detroit.

Returning Member
Jan 17, 2022 12:11:50 PM

Thanks. Is this calculated from Adjusted Gross Income?

Expert Alumni
Jan 17, 2022 12:33:50 PM

No,, the Detroit city tax return applies to compensation for work done in the city for nonresidents.  The Pontiac MI resident tax return does not use the Adjusted Gross Income.   @FM23

Level 8
Jan 17, 2022 5:22:36 PM

If you worked from home in 2021, check your Detroit wages. Make sure you are not being taxed for the days you worked outside Detroit. You can claim a refund if Detroit city tax was withheld on days when you did not work in Detroit.

 

To adjust your Detroit wages for days worked outside Detroit in TurboTax Online:

  1. Select State in the left column
  2. Continue with Michigan
  3. Keep going to the screen A few things before we wrap up your state taxes
  4. START Michigan City Tax Returns
  5. Make sure Detroit is checked on the screen Live or Work in Any of These Cities?
  6. On Detroit Wages, click EDIT next to your company
  7. On Detroit Wage Adjustment, select Working Days Allocation under Adjustment Type
  8. Fill in the information in Allocation of Detroit Wages

Allocation of Detroit Wages