Michigan Sales Tax

The current state sales tax rate in Michigan (MI) is 6%. A sales tax is a fee levied on the sale of certain products and services that is paid to a governing body (state or local). Sales tax was first imposed in the United States in 1921, but it can be traced all the way back to ancient Egypt, where paintings illustrate the collecting of taxes on goods. In 1933, Michigan became the first state to enact a broad state transaction privilege tax. Since then, the percentage has climbed to 6%. You function as an agent of the state of Michigan as a business owner selling taxable goods or services by collecting transaction privilege tax from customers and remitting it to the Department of Revenue. This is a crucial aspect that should be emphasized. The Department of Revenue owns any transaction privilege tax collected from residents. It is your obligation as a business owner to manage the transaction privilege tax you collect in order to comply with state rules and avoid penalties and interest.

Sales Tax Rates in Michigan by County