---
name: mi-sales-tax
description: Use this skill whenever asked about Michigan sales and use tax. Trigger on phrases like "Michigan sales tax", "MI sales tax", "MCL 205.51", "Michigan Treasury". ALWAYS load us-sales-tax first.
jurisdiction: US-MI
domain: sales tax
tax_year: 2024
---

# mi-sales-tax

## Section 1 -- Quick reference

**Quick reference**

| Field | Value |
| --- | --- |
| Jurisdiction | Michigan |
| State rate | 6.00% (flat -- no local sales tax) |
| Local taxes | None |
| Maximum combined rate | 6.00% |
| Sourcing | Destination-based (SST) |
| Economic nexus | $100,000 OR 200 transactions |
| Tax authority | Michigan Department of Treasury |
| Portal | https://www.michigan.gov/treasury |
| SST member | Yes (full member) |
| Skill version | 2.0 |

## Section 3 -- Transaction pattern library

**Transaction pattern library**

| Pattern | Taxable? | Notes |
| --- | --- | --- |
| General TPP | TAXABLE 6% |  |
| Clothing | TAXABLE | No exemption |
| Grocery food | EXEMPT |  |
| Prepared food | TAXABLE |  |
| SaaS | NOT TAXABLE | Michigan does not tax SaaS |
| Canned software (download) | TAXABLE | Prewritten software is TPP |
| Professional services | NOT TAXABLE |  |
| Manufacturing equipment | EXEMPT | Industrial processing exemption |
| Prescription drugs | EXEMPT |  |
| Resale | EXEMPT |  |

## Section 10 -- Prohibitions

- **Never add local tax** — NEVER add local tax -- Michigan has no local sales taxes.  _(Section 10 -- Prohibitions)_
- **Never treat SaaS as taxable** — NEVER treat SaaS as taxable in Michigan.  _(Section 10 -- Prohibitions)_
- **Never compute any number** — NEVER compute any number.  _(Section 10 -- Prohibitions)_

## Disclaimer

Informational only. Review by qualified professional required before filing.

## Disclaimer

This skill and its outputs are provided for informational and computational purposes only and do not constitute tax, legal, or financial advice. Open Accountants and its contributors accept no liability for any errors, omissions, or outcomes arising from the use of this skill. All outputs must be reviewed and signed off by a qualified professional (such as a CPA, EA, tax attorney, or equivalent licensed practitioner in your jurisdiction) before filing or acting upon.

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