Many tax jurisdictions no longer accept electronic filings and/or deposits with account information in an Applied For status. If not remedied, customers may be assessed penalties, interest fees, and/or additional repercussions by governing agencies. |
Tax Management Overview
Many of the items on this page are maintained by your company in the Toast Payroll Tax Center. We highly recommend visiting this page at least once a quarter so you can complete outstanding tasks and help enable a successful quarterly tax filing. Failure to provide this information risks Toast Payroll's ability to remit/file on your behalf, which may result in financial penalties for your company. Visit Toast Payroll: Manage Payroll Taxes to learn all about the Tax Center.
After applying for and receiving your state tax account number(s), payment frequency, unemployment rate, or once you complete your third-party administrator (TPA) linking, log into Toast Payroll and select Taxes from the left-hand navigation. Complete any available tasks here, including Form 8655, missing Social Security numbers, and more.
Taxes and Forms Toast Payroll Supports/Remits in Michigan
To calculate applicable taxes on payroll, the Toast Payroll system uses Work Tax Locations to indicate the employee work location and the address on the employee profile. Toast Payroll then remits and files to the respective agencies included on the forms below per the agency requirements.
The state of Michigan has reciprocal agreements with the following states: IL, IN, KY, MN, OH, and WI. This means that employees with a personal residential address indicated on their Toast Payroll profile in any of these states may have taxes withheld by that state instead of Michigan.
State Income Tax (SIT)
MI 5080/160 Sales, Use, and Withholding Taxes Monthly/Quarterly Return (withholding portions only)
MI 5081 Sales, Use, and Withholding Taxes Annual Return (withholding portions only)
State Form W-2 Wage and Tax Statement
State Unemployment (SUTA)
Form UIA 1028 Employer's Quarterly Wage/Tax Report
Local
Various city returns apply to the work tax location
Other
Taxes We Don't File
See Taxes We Don't Process for a listing of some taxes our system doesn't currently support.
Michigan Form 5080/5081 is used for Sales, Use, and Withholding taxes. Toast Payroll will file this form with the withholding tax information only and will leave the sales and use sections blank. It is the business's responsibility to handle the reporting to the state of the sales and use tax by filing a separate Form 5080/5081 as applicable. Michigan is able to combine the filing Toast Payroll does with withholding information and the filing the business does with sales and use tax information.
Where to Find Copies of Tax Filings Processed in Toast Payroll
Quarterly tax packages are found within the Toast Payroll system under Reports > Tax Filing. These reports are typically available the third full week of the month following each quarter-end. Toast Payroll will only generate tax packages for quarters in which a customer was actively processing payroll within the Toast Payroll system.
Note: Toast Payroll may not be able to complete and/or submit tax filings where the Toast Payroll system reflects missing, erroneous, or incomplete information in a customer's account. Copies of tax return submissions do not guarantee that a return was submitted to or accepted by an applicable agency. Additional fees may apply.
Register for Your ID - Withholding and Unemployment Taxes
Registration with the state sets up your tax account, identified by an Employer Identification Number (EIN). This number enables Toast Payroll to file electronically on your behalf. Failure to provide this information risks Toast Payroll's ability to remit/file on your behalf, which may result in financial penalties for your company.
Information You'll Need to Register
Federal Employer Identification Number (FEIN)
Legal business name
Incorporation name
Corporate address
Name, address, and telephone number of the officer of the company
Location address
How to Register - Income Tax Withholding
Register on the Michigan Treasury Online (MTO) website OR by mail using Form 518. Online registration is authenticated within 10-15 minutes of application submission whereas Michigan requires 4-6 weeks for mail processing. Instructions for setting up an online account are below.
For online registration, create a profile on the MTO website by selecting Create My User Profile on the right side of the page and following the steps to set up a profile and password.
Upon email confirmation of profile creation, use the created credentials to log into MTO. Once logged in, select Start A New Business (e-Registration) from the Tax Services options.
Complete the required information. For the question regarding a payroll service, note that Toast will provide a prefilled POA after going live with Toast Payroll, if necessary.
For assistance registering, or for any questions regarding the process, Michigan's Registration Unit can be reached at (517) 636-6925.
The Michigan withholding tax account number will match the business's Federal Employer Identification Number (FEIN).
The account number format matches FEIN format: ##-#######
Provide the following information to Toast Payroll. It is best to take a screenshot or save as a document and include these in your email:
Account identification/proof of registration
Payment frequency
If a customer has not gone live in the Toast Payroll system, this information should be entered in the onboarding platform or sent to an Onboarding Consultant. Customers who are already live should navigate to Settings > Payroll > Tax Accounts and add the appropriate information.
How to Register - State Unemployment
Register online on the Michigan Unemployment Insurance Agency (MiWAM) website.
Under the Online Services for EMPLOYERS section, select Register a Business
Select Start eRegistration
Enter the requested information
Customers typically receive an Employer Account Number within a few days of registering online. This is frequently referred to as a Michigan SUTA Employer Identification Number (EIN).
The account number is in a 10-digit format: ##########
Provide the following information to Toast Payroll. It is best to take a screenshot or save as a document and include these in your email:
Employer Account Number (Michigan SUTA EIN)
Unemployment rate
If rates are not provided, the Toast Payroll system will apply state-designated new employer rates to a customer's account settings.
If a customer has not gone live in the Toast Payroll system, this information should be entered in the onboarding platform or sent to an Onboarding Consultant. Customers who are already live should navigate to Settings > Payroll > Tax Accounts and add the appropriate information.
How to Register - Local Taxes
Several localities in Michigan levy an income tax in addition to state income tax on residents and non-residents working in specific cities. Toast Payroll will calculate and withhold the taxes based on the address on the employee profile and/or the employee profile's assigned work tax location. Toast Payroll will also handle the payment of these taxes.
Registration is the responsibility of the company and must be done for each locality they are subject to. Select a link for a city/locality below for more information on their local tax regulations and how to register. If you are not yet live in the Toast Payroll system, this information should be sent to your Onboarding Consultant. Customers who are already live should navigate to Settings > Payroll > Tax Accounts and add or update the appropriate information.
Find Your ID and Rate - Already Registered
The Employer Identification Number (EIN) identifies a tax account to the state and enables Toast Payroll to file returns electronically on a company's behalf. Failure to provide this information may result in Toast Payroll's inability to remit withheld funds or submit returns on a company's behalf. Additional fees may apply.
Income Tax Withholding
If a company is already registered for an income tax withholding account in Michigan, the Michigan withholding tax account number will match the company's Federal Employer Identification Number (FEIN). Toast Payroll will input the FEIN provided as the Michigan tax withholding account number.
For questions regarding Michigan state income tax withholding, call (517) 636-6925.
The account number format matches FEIN format: ##-#######. Navigate to Settings > Payroll > Tax Accounts to add this information.
Unemployment Tax
If you've already registered for a Michigan Employer Account Number (also known as a Michigan SUTA EIN), this number and tax rates can typically be found by:
Accessing the Michigan Unemployment Insurance Agency (MiWAM) website
Reviewing notices sent by the Michigan Department of Labor and Economic Opportunity (LEO)
Calling LEO at (855) 484-2636 (option 5)
Emailing LEO at taxsupport@michigan.gov
A Michigan UIA account number is in a 10-digit ########## format. Add your employer identification number and any payment frequency or tax rate information by navigating to Settings > Payroll > Tax Accounts.
Unemployment Tax Rate
An unemployment withholding tax rate is determined by the state and can change each year based on a number of factors. Visit the Michigan Department of Labor website for more information on the calculation of a Michigan unemployment withholding tax rate.
Michigan issues unemployment rates on Form UIA 1771, Tax Rate Determination for the Calendar Year, annually. Rates can be found at the bottom of the form.
Updated Michigan unemployment withholding tax rate information can be added to Toast Payroll by navigating to Settings > Payroll > Tax Accounts.
Link Toast as Your Third-Party Administrator (TPA)
Toast Payroll will reach out if additional information is necessary to link the company account as a third-party administrator in Michigan. Terminate any filing or TPA linking relationship with any prior providers.
This content is for informational purposes and is not intended as legal, tax, HR or any other professional advice. Please contact an attorney or other professional for advice.