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New Member
posted Mar 5, 2024 5:22:15 PM

Does a Michigan LLC still have to file state and federal if it did not generate any income at all over the last tax year?

Hi guys!

 

The title says it all.

 

I heard somewhere that a Michigan based LLC does not need to file state or federal tax returns if it did not generate income during that tax year. Is this true?

 

I do believe I still have to file a Sales, Use and Withholding though.

 

Thank you in advance.

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1 Best answer
Expert Alumni
Mar 5, 2024 6:06:31 PM

An LLC does not have to file a federal tax return if it has no income and no expenses to report, unless it has selected to be taxed as an S-Corporation.   A single member LLC is considered a disregarded entity by the IRS for tax purposes, and you file your business income and expenses on Schedule C as a part of your personal tax return.  There is no Michigan state return for a single member LLC that isn't taxed as an S-Corp.  If you're a multi-member LLC you are taxed as a partnership and file Form 1065, if filing is required. 

 

Every Michigan limited liability company is required to file an Annual Statement each year which is due February 15 each year, with a filing fee of $25.

2 Replies
Expert Alumni
Mar 5, 2024 6:06:31 PM

An LLC does not have to file a federal tax return if it has no income and no expenses to report, unless it has selected to be taxed as an S-Corporation.   A single member LLC is considered a disregarded entity by the IRS for tax purposes, and you file your business income and expenses on Schedule C as a part of your personal tax return.  There is no Michigan state return for a single member LLC that isn't taxed as an S-Corp.  If you're a multi-member LLC you are taxed as a partnership and file Form 1065, if filing is required. 

 

Every Michigan limited liability company is required to file an Annual Statement each year which is due February 15 each year, with a filing fee of $25.

New Member
Mar 5, 2024 7:26:59 PM

Thank you a ton. This helped a lot.