Every state that has a sales tax has
a companion tax for purchases
made outside that state by catalog,
telephone, or Internet. In Michigan,
that companion tax is called the “use
tax,” but might be described more
accurately as a remote sales tax
because it is a 6 percent tax owed on
purchases made outside of Michigan.
Use tax is due on catalog, telephone,
or Internet purchases made from
out‑of‑state sellers as well as
purchases while traveling in foreign
countries when the items are to be
brought in to Michigan. Use tax must
be paid on the total price (including
shipping and handling charges).
Line 1: For purchases of $0-$1,000, if
you know the amount, multiply your
total purchases times 6 percent (0.06)
and enter the amount on Line 1, or
For purchases under $1,000, if you
have incomplete or inaccurate receipts
to calculate your purchases, you may
use Table 1 - Use Tax to estimate your
taxes. (See the following example.)
Line 1 should contain a number
unless you made no purchases under
$1,000 subject to the use tax. If we
later determine that you owe use tax,
you may be subject to penalty and
interest.
Line 2: In all cases, if a single
purchase is $1,000 or more, you
must pay 6 percent use tax on those
purchases.
