Michigan Home Heating Credit Instruction Booklet

Home Heating Credit Instruction Booklet
2023 MI-1040CR7 Book
MICHIGAN 2023

MI-1040CR-7
Home Heating Credit Claim

W W W. M I FA S T F I L E . O R G
E-file your Michigan Home Heating Credit Claim (MI-1040CR-7) and eliminate
many of the errors that lengthen processing times. E-filed returns are usually
processed within 14 business days. Allow 14 days before checking the status of
your e-filed return.
Visit www.MIfastfile.org for a list of e-file resources, how to find an e-file
provider, and more information on free e-file services.

FILING DEADLINE. The deadline for filing your 2023 home heating credit is

September 30, 2024. The filing of an extension for income taxes does not extend the
due date for the home heating credit.

IMPORTANT INFORMATION. Michigan’s home heating credit is funded by

the federal Low-Income Home Energy Assistance Program block grant. If you need
assistance paying for your home heating costs, file the home heating credit claim
with or without a Michigan Individual Income Tax Return (MI-1040). The credit
may be issued directly to your heat provider, or may be issued directly to you as a
draft or check. Your credit may be larger or smaller than the credit you received last
year because the amount of money Michigan receives from this grant varies every
year. For general information visit www.michigan.gov/heatingassistance.

FILING DUE DATE:

SEPT EMBER 30, 2024
W W W. M I C H I G A N . G OV/ TA X E S
Issued under Public Act 281 of 1967. This booklet is intended as a guide to
help you prepare your credit claim. It does not take the place of the law.

Tax Information and Assistance
Tax Assistance

Forms

The Michigan Department of Treasury (Treasury) offers
a variety of services designed to assist you, and most are
available 24 hours a day, seven days a week.

Find tax forms using the Internet and Telephone Options
listed on this page. Commonly used forms are also
available at most public libraries, Northern Michigan
post offices, and Michigan Department of Health and
Human Services (MDHHS) county offices.

IMPORTANT: To obtain information about your
account using the Internet and Telephone Options listed
below, you will need the following information from
your return:
• Social Security number (SSN) of the primary filer
(the filer listed first on the return)
• Tax year of the return
• Adjusted gross income (AGI) or total household
resources
• Filing status (single, married filing jointly, married
filing separately).
Internet Options
www.michigan.gov/iit

Find the following information on this website:
• Current year forms and instructions
• Answers to many tax preparation questions
• Most commonly used tax forms
• Free assistance in preparing your return
• Other tax resources.
Select “IIT eService” where you can:
• Select “Guest Services” to:
• Check the status of your return
• Check estimated payments you made during the
year
• Select “Account Services” to:
• Change your address
• Access letters sent by Treasury
• Check responses to letters you have sent to Treasury
• Submit specific account requests
• You have the option to ask a question by choosing
“Create a service request”
• You must provide a valid email address to submit
a question.
Telephone Options
517-636-4486
Automated Information Service

With Treasury’s automated phone system, you can:
• Request the status of your refund
• Check the status of letters you have sent to Treasury
• Request information on estimated payments
• Order current tax year forms.
While most questions can be answered by the Automated
Information Service, customer service representatives
are available from 8 a.m. to 4:30 p.m., Monday through
Friday.
Assistance is available using TTY through the Michigan
Relay Service by calling 711.
2

Additional Help
If you need help completing your credit form, contact
your local community service agency or senior citizen
center to find out if a volunteer tax assistance program is
available in your area.
Completing Your Forms
Review your claim for the following common errors that
may delay your refund:
• The MI-1040CR-7 is a two-page form; both pages
must be completed and filed to be processed
• Illegible writing
• Transposing numbers in the SSN
• Entering figures on wrong lines
• Math errors
• Filling in lines if they do not apply to you or if the
amount is zero
• Missing, incomplete, or applied for Social Security
number. If your household member does not have an
SSN, apply for one through the Social Security
Administration. Do not report them on your
MI-1040CR-7, line 17, until you have received their
SSN.
• Failing to report total household resources from all
sources, both taxable and nontaxable
• Failing to reduce the heating credit by 50 percent
when heat is included in your rent.
Before you mail your claim, review it carefully and
make sure it is complete. Keep a copy of your claim and
all schedules for six years.
Mail your claim to: Michigan Department of Treasury
Lansing, MI 48956
You can file a home heating credit for the
current tax year only.

Identity Theft
Tax-related identity theft occurs when someone
uses your Social Security number to file a tax return
claiming a fraudulent refund. Refer to the “Identity
Theft” section on page 4 of the MI-1040 booklet or visit
www.michigan.gov/identitytheft for more information.

General Information
Important Information for All Claimants
This booklet contains forms and instructions to file
and calculate your home heating credit. Please read
these instructions carefully. The request for your Social
Security number is authorized under United States Code
(USC) Section 42. Social Security numbers are used by
Treasury to conduct matches against benefit income
provided by the Social Security Administration and other
sources to verify the accuracy of the home heating and
property tax credit claims filed, for mandatory federal
reporting requirements and to deter fraudulent filings.
Social Security numbers must be provided for all
household members. Household members include the
filer, spouse, dependents and all other individuals who
normally live with you that are not dependents. All Social
Security numbers must be valid and assigned to a U.S.
citizen or qualified alien. When full nine-digit Social
Security numbers are not provided or are invalid, the
credit will be denied.
You may claim a home heating credit if you owned or
rented a homestead in 2023 regardless if you currently
receive Family Independence Program (FIP) assistance or
other public assistance.
If you receive FIP assistance, State Disability Assistance
(SDA), or you are enrolled with the MDHHS for direct
payment, by law Treasury must send your credit directly
to your heat provider.
If your heat is provided by DTE Energy, Consumers
Energy, or SEMCO Energy Gas, your home heating
credit may be sent directly to your heat provider.
(See instructions for line 18 on page 7.)
If, at the time you file this claim, your heating costs are
included in your rent, your credit must be reduced by 50
percent. Your credit will be issued as a check, rather than
an energy draft (see MI-1040CR-7, lines 10 and 41).
If you file an income tax return (MI-1040), do not staple
your home heating credit claim to the MI-1040. Fold it
and leave it loose in the envelope. You cannot apply your
home heating credit to your income tax liability.
If you file a property tax credit claim (Michigan
Homestead Property Tax Credit Claim (MI-1040CR) or
Michigan Homestead Property Tax Credit for Veterans
and Blind People (MI-1040CR-2)) without an MI-1040,
you should include your home heating credit claim with
the property tax credit claim form.
Who May Claim a Credit
This credit helps low income families pay their home
heating costs. To see if you may claim a credit, answer
the following questions:
• Are you a full-time student who is claimed as a
dependent on another person’s income tax return?
• Did you live in a licensed care facility for the entire
year? (See “Licensed Care Facilities” on page 5.)

If you answered yes to either of these questions, you
cannot claim a home heating credit. If you answered no
to both questions, the following must apply in order to be
eligible for a credit:
• Your homestead must be in Michigan, and
• You must own a home or have a lease agreement to
pay rent for the home where you live.
• You cannot live in college- or university-operated
housing (including dormitories, residence halls, or
apartments)
• Your household resources must be within the income
limits listed in Tables A and B on page 19.
You can have only one homestead at a time and you
must be the occupant as well as the owner or renter.
Your homestead can be a rented apartment or a mobile
home on a lot in a mobile home park. A vacation home or
income property is not considered your homestead.
Your homestead is in your state of domicile. Domicile is
the place where you have your permanent home. It is the
place to which you plan to return whenever you go away.
College students and others whose permanent homes are
not in Michigan are not Michigan residents. Domicile
continues until you establish a new permanent home.
If you owned or rented only part of the year, you must
prorate your credit. See “Part-Year Resident or Occupied
Homestead Less Than 12 Months” on page 5.
Spouses who share a home are entitled to only one
home heating credit based upon the number of allowable
exemptions in the household or the heating costs for the
home, and joint total household resources.
If you were separated for all or part of the year and file
a joint federal or Michigan income tax return with your
spouse, your credit claim is based upon either the heating
costs of only one home or the number of exemptions in
each household. The total household resources must be
the combined income of both spouses for the entire year.
Spouses who maintain separate homes for the entire
year and do not file joint federal or Michigan income
tax returns may each claim a credit based upon
their separate heating costs or exemptions and total
household resources. Include Married Filing Separately
and Divorced or Separated Claimants Schedule
(Form 5049), which can be found on Treasury’s website.
If you were separated or divorced during 2023 and do not
file joint income tax returns, your credit must be based
on your share of the heating costs or exemptions before
separation, plus your exemptions and individual heating
costs after separation. Include a schedule showing your
computation and Form 5049.
When to File
The final date for filing a 2023 home heating credit is
September 30, 2024. (Your claim must be postmarked
by September 30, 2024) The filing of an extension
for income taxes does not extend the due date for the
home heating credit. File early to receive priority
processing.
3

Amending Your Credit Claim
File a new claim form and check the Amended Return
box at the top of page 1 of the form. If applicable, include
a copy of your heat statement(s).
NOTE: An amended MI-1040CR-7 claim requesting
an additional refund will not be accepted after
September 30, 2024.
Exemptions
You may claim one exemption for each of the following:
• Yourself, unless you are eligible to be claimed as a
dependent on someone else’s return
• Your spouse, unless you are filing a married filing
separately claim
• Your children who live with you, even if their support
comes from FIP assistance or someone else. If you do
not have custody of your children, you cannot claim
them on your MI-1040CR-7, even if you can claim
them on your MI-1040
• Any other dependent who lives with you and for
whom you provided more than half of their support.
A special exemption may be taken if you, your spouse or
your dependents qualify. Special exemptions are available
for individuals that are deaf, disabled or blind. An
additional exemption is available for qualified disabled
veterans. If your dependent files a credit claim, you or
your dependent, but not both, may claim the dependent’s
exemption(s). See instructions for line 16.
Deceased Claimants
If the taxpayer died during 2023, the personal
representative may claim the standard heating credit but
may not claim the alternate heating credit. If your spouse
died in 2023, use the same number of exemptions you
would have used had your spouse lived all year.
The surviving spouse may file a joint claim for 2023.
Write your name and the deceased’s name and both Social
Security numbers on the MI-1040CR-7. Write “DECD”
after the deceased’s name. You must report the deceased’s
income. Sign the claim on the deceased’s signature line,
write “Filing as surviving spouse.” Enter the deceased’s
date of death in the “Deceased Taxpayer” box on the
bottom of page 2 of the form.
If filing as a personal representative or claimant for
a single deceased taxpayer or when both taxpayers are
deceased:
• You must include a U.S. Form 1310 or Michigan Claim
for Refund Due a Deceased Taxpayer (Form MI-1310)
• Enter the name(s) of the deceased person(s) in the
Filer’s and/or Spouse’s name fields with “DECD” next
to the name(s) and the representative’s or claimant’s
name, title and address in the home address field
• Use the deceased’s Social Security number on the
form
• Enter the date(s) of death in the designated boxes on
the bottom of page 2
• You must prorate for the number of days from
January 1 until the date of death. See page 5 for more
information on prorating the credit.
4

Total Household Resources
Total household resources are the total income (taxable
and nontaxable) of both spouses or of a single person
maintaining a household. They are AGI, excluding net
business and farm losses, net rent and royalty losses, and
any carryover of a net operating loss, plus all income
exempt or excluded from AGI.
Total household resources include the following items
not listed on the form:
• Capital gains on the sale of your residence regardless
if the gains are exempt from federal income tax
• Compensation for damages to character or for
personal injury or sickness
• An inheritance (except an inheritance from your
spouse)
• Proceeds of a life insurance policy paid on the death of
the insured (except benefits from a policy on your
spouse)
• Death benefits paid by or on behalf of an employer
• Minister’s housing allowance
• Forgiveness of debt, even if excluded from AGI
(e.g., mortgage foreclosure)
• Reimbursement from dependent care and/or medical
care spending accounts
• Scholarships, stipends, grants, and payments, except
government payments, made directly to third parties
such as an educational institution or subsidized
housing project
NOTE: COVID-related government cash grants paid
directly to students in higher education institutions are
included in total household resources.
• Forgiven Paycheck Protection Program loans, include
the amount of the forgiven loan reduced by business
expenses related to payroll, rent and utilities that were
not deducted in determining AGI.
Total household resources do NOT include:
• Net operating loss deductions taken on your federal
return
• Payments received by participants in the foster
grandparent or senior companion program
• Energy assistance grants
• Government payments made directly to a third party
(e.g., payments to a doctor, GI Bill benefits, payments
from a PELL grant and the 2023 MSHDA COVID
Emergency Rental Assistance Program (CERA) to the
extent not included in AGI).
NOTE: If payment is made from money withheld
from your benefit, the payment is part of total
household resources. (For example, the MDHHS may
pay your rent directly to the landlord.)
• Money received from a government unit to repair or
improve your homestead
• Surplus food or food assistance program benefits
• State and city income tax refunds and homestead
property tax credits
• Chore service payments (these payments are income
to the provider of the service)
• The first $300 from gambling, bingo, lottery, awards,
or prizes

• The first $300 in gifts of cash or merchandise
received, or expenses paid on your behalf (rent, taxes,
utilities, food, medical care, etc.) by parents, relatives,
or friends
• Amounts deducted from Social Security or Railroad
Retirement benefits for Medicare premiums
• Life, health, and accidental insurance premiums paid
by your employer
• Loan proceeds
• Inheritance from a spouse
• Life insurance benefits from a spouse
• Payments from a long-term care policy made to a
nursing home or other care facility
• Most payments from The Step Forward Michigan
program
• Compensation for wrongful imprisonment
For more information on Total Household Resources,
visit www.michigan.gov/taxtotalhouseholdresources.
Special Provisions for Farmers
If you received a farmland preservation tax credit in
2023, you must include it in total household resources.
You may subtract the business portion of your homestead
property tax credit if you included it in taxable farm
income.
Licensed Care Facilities
If you live in a licensed care facility, generally you
do not qualify for the home heating credit. Licensed
care facilities include adult foster care homes, licensed
homes for the aged, nursing homes, and substance abuse
treatment centers. If you lived in a licensed care facility
only part of the year, you could qualify for a partial
credit for the period you lived outside the facility. See
“Part-Year Resident or Occupied Homestead Less Than
12 Months” on this page.
If your spouse lives in a licensed care facility and you
live in the family homestead, you may still qualify for a
credit. File a joint credit claim and do not check a box
on line 15.
Subsidized senior citizen apartments are not licensed
care facilities. If you live in a subsidized senior citizen
apartment, you may apply for a credit.
Standard Credit
The standard credit computation uses standard
allowances established by law. Use Table A on
page 19 to find the standard allowance for the number of
exemptions you claimed.
Shared Housing Standard Allowance

If you share a home but are not the owner or you do
not have a contract to pay rent, you cannot claim a
credit.
When two or more single adults share a home, each may
claim a credit if each has contracted to pay rent or owns a
share of the home. Each should file a home heating credit
based on his or her total household resources and his or

her share of the standard allowance. First, determine the
standard allowance from Table A on page 19 by adding
the personal exemptions of all the claimants sharing a
home. Divide this standard allowance by the number of
claimants in the home.
Example: Three men share an apartment. Each has
a signed lease and pays 1/3 of the rent. The standard
allowance for three exemptions is $958. Each person
must use a standard allowance of $319 ($958 ÷ 3 = $319)
to compute his credit.
If you are eligible for a special exemption, compute
your standard allowance following this example:
Example: Gertrude and Betty share a home and each
pays one half of the rent. Gertrude is age 59, and Betty
is age 65 and totally and permanently disabled. They file
separate MI-1040CR-7 claims. They must first divide
$760 (the standard allowance for two exemptions) by two.
Gertrude’s allowance is $380 ($760 ÷ 2 = $380). Because
Betty qualifies for a special exemption for being disabled
(she is entitled to a disabled exemption until she is eligible
for full Social Security at age 66 and 4 months), she may
add the difference between the standard allowance for
three ($958) and the standard allowance for two ($760) to
$380.
$958 - $760 = $198 + $380 = $578
$578 is the standard allowance for Betty.
If you are eligible for a dependent exemption,
compute your standard allowance following this
example:
Example: Marlin and Brody share an apartment.
Each person has signed the lease agreement and pays
one-half of the rent in 2023. The standard allowance for
two exemptions is $760. Each person must use a standard
allowance of $380 ($760 ÷ 2 = $380) to compute the
credit.
Brody is eligible for a dependent exemption for his son,
Logan, so he would then compute his credit as follows:
The standard allowance as computed above is $380. Then
add the difference between the standard allowance for
three ($958) and the standard allowance for two ($760) to
$380.
$958 - $760 = $198 + $380 = $578
$578 is the standard allowance for Brody.
Part-Year Resident or Occupied Homestead Less
Than 12 Months

You must prorate your standard allowance for the
number of days you owned or rented and occupied
your Michigan homestead. For example, you moved to
Michigan on September 1. It is 122 days from September 1
to December 31. Divide 122 by 365 days and multiply
the result by your standard allowance. Enter the prorated
standard allowance on line 38 of your claim.
If you are a part-year resident, you must include all
income received from any sources while a Michigan
resident in total household resources.
5

Alternate Credit
The alternate credit uses heating costs to compute
a home heating credit. Add the amounts you were
billed for heat from November 1, 2022 through
October 31, 2023 (see instructions for line 14). If you
buy bulk fuel (oil, coal, wood, or bottled gas), add your
receipts to get your total heating cost. Treasury may
request receipts to verify your heating costs. If your
claim is for less than 12 months or your heating costs
are currently included in your rent, you cannot claim
an alternate credit. You may claim heating costs on your
Michigan homestead only. You may not claim heating
costs on a vacation home or a home outside of Michigan.
For assistance in determining the credit for which you
may qualify, visit www.michigan.gov/heatingassistance.
Credit Payments
If you are responsible for paying your heating bills,
State law requires Treasury to issue your credit in the
form of a State of Michigan Energy Draft. You can only
use the draft to pay heat bills. Give the draft to your
enrolled heat provider who will apply it to current or

future heating bills for your home. If the amount of your
draft is more than you owe, you may request a refund of
the difference by checking the box on line 18. See the
instructions for line 18 on page 7 for more information.
If you receive a draft and your heat provider is not
enrolled in Michigan’s energy assistance program, your
heat is in someone else’s name, or if you use bulk fuel
and have already bought your energy supply for the year,
return the draft with a note of explanation to Treasury.
Treasury will review your explanation and, if appropriate,
reissue your credit in the form of a check. It may take 120
days or more to issue a check to replace the draft. If you
are notified of denial, you have the right to a hearing.
If you receive FIP assistance or other MDHHS benefits
or you are enrolled with MDHHS for direct payment, the
law requires your credit to be sent directly to your heat
provider, who will then apply it to your account.
If your heat is provided by DTE Energy, Consumers
Energy, or SEMCO Energy Gas, your home heating
credit may be sent directly to your heat provider.
(See instructions for line 18 on page 7.)

Line-by-Line Instructions for MI-1040CR-7

Lines not listed are explained on the form.
Amended Return box: If amending your 2023 credit,
check the box at the top of the form. See page 4.
Lines 1, 2 and 3: Enter your name(s), current address,
and full nine-digit Social Security number(s). If you are
married filing separately, enter both Social Security
numbers but do not enter your spouse’s name. All Social
Security numbers must be valid and assigned to a U.S.
citizen or qualified alien. When full nine-digit Social
Security numbers are not provided or are invalid, the
credit will be denied.
Line 4: Enter your two-digit county code from the
County Code Table on page 19.
Line 5: Check each box to indicate if the filer and/
or spouse is a U.S. citizen or qualified alien. Qualified
alien means an individual who is lawfully admitted
for permanent residence under the Immigration
and Nationality Act and all others as defined under
8 USC 1641. The information is required under the
federal Personal Responsibility and Work Opportunity
Reconciliation Act (PRWORA).
Line 6: Enter your heat provider name code from Table 1 on
page 10. If you have heat included in your rent, ask your
landlord to identify the heat provider for your homestead.
Line 7: Enter your three-digit heat type code from
Table 2 on page 10. The heat type entered here must be
for your primary household heating source. If you have
heat included in your rent, ask your landlord to identify
the heat type for your homestead.
Line 8: Filing Status. Check the box to identify your
filing status. All couples who are married under the laws
of the State of Michigan, or under the laws of another
state, and are treated as married for federal tax purposes
must claim either married filing jointly or married filing
separately status on the home heating credit. If you file
6

a joint federal return, you must file a joint home heating
credit. Married couples who live together all year and
file returns as married filing separately must check the
box for joint filing status and include the total household
resources of both spouses. An individual who became
separated from their spouse during the tax year but is
still married as of December 31 and who filed a return
as married filing separately should check the married
filing separately box and include Form 5049. If you filed
your federal return as head of household or qualifying
surviving spouse, you must file the home heating credit as
single.
Line 9: Residency. Check the box that describes your
Michigan residency for 2023. If you and your spouse
had a different residency status during the year, check a
box for each of you. If you checked box c, enter the dates
of Michigan residency in 2023. You must then prorate
your standard allowance following the instructions on
page 5 for “Part-Year Resident or Occupied Homestead
Less Than 12 Months”. If you are a nonresident, you are
not eligible for the home heating credit; do not file this
form. College students and others whose permanent
homes are not in Michigan are not Michigan residents.
Line 10: If your heating costs are included in your rent,
you must check the box on line 10 and complete line 41 of
the form to receive a check. Failure to do so will result in
your credit being issued as a draft. You will then have to
return the draft with a note of explanation to Treasury. It
may take 120 days or more to issue a check to replace the
draft.
Line 11: Based on information you provide in this
application, you may be qualified for other support
programs. Check this box if you would like the State of
Michigan to investigate and alert you to any opportunities
for other assistance.

Line 14: If you checked the box on line 10 or the
taxpayer died during the tax year and the credit is being
claimed by a personal representative or claimant, skip
this line. If you were not a full-year Michigan resident
and/or were not billed for 12 months’ heating costs
between November 1, 2022 and October 31, 2023, skip
this line. Otherwise, enter the heating costs you were
billed from November 1, 2022 to October 31, 2023 on
your Michigan homestead. Many fuel companies include
the total heating cost for those 12 months on the October
bill. If you cannot find your bills or the information is not
on your October bill, contact your heat provider.
Line 15: If you lived in one of the care facilities listed
on line 15 for all of 2023, you are not eligible for a home
heating credit and should not file this form. If you are
married and your spouse lived in a licensed care facility
while you lived in your homestead, do not check a box.
Also, do not check the “Licensed Home for the Aged”
box if you live in subsidized senior citizen housing.
See “Licensed Care Facilities” on page 5.
Line 16: Exemptions.
Line 16a: Personal Exemption. Enter “1” if you are
single or married filing separately; “2” if you are married
filing jointly.
Line 16b: Michigan Special Exemptions: Deaf, Blind,
or Certain Disabilities. Complete this line, claiming
only one exemption per person as it applies to you, your
spouse and your dependents. If your dependent files a
credit claim, you or your dependent, but not both, may
claim the dependent’s special exemption. You qualify
for this exemption if you are deaf, blind, hemiplegic,
paraplegic, quadriplegic, or totally and permanently
disabled.
• Deaf means the primary way you receive messages is
through a sense other than hearing (e.g., lip reading
or sign language).
• Blind means your better eye permanently has
20/200 vision or less with corrective lenses, or your
peripheral field of vision is 20 degrees or less.
• Totally and permanently disabled means disabled as
defined under Social Security Guidelines 42 USC
416. If you were age 66 by June 30, 2023, you may
not claim an exemption as totally and permanently
disabled.
Line 16c: Qualified disabled veteran. Taxpayers may
claim an extra exemption if the taxpayer or spouse is a
qualified disabled veteran, or a dependent of the taxpayer
is a qualified disabled veteran. To be eligible for the
additional exemption an individual must be a veteran
of the active military, naval, marine, coast guard, or air
service who received an honorable or general discharge
and has a disability incurred or aggravated in the line
of duty as described in 38 USC 101(16). This additional
exemption may not be claimed on more than one credit
claim.
Line 16g: Dependent Adults. Include dependents
over the age 18 who live with you and for whom you
provided more than half of their support. If your
dependent files a credit claim, you or your dependent, but
not both, may claim an exemption for the dependent.
Line 17: To comply with the federal Personal
Responsibility and Work Opportunity Reconciliation Act
(PRWORA), the names, Social Security numbers, and

status as a dependent and U.S. citizen or qualified alien
for all household members must be reported. Use the
chart provided to enter this information. For purposes of
this chart, household members include:
• All those claimed as dependent children on lines 16d
through 16f
• All those claimed as dependent adults other than
your spouse on line 16g
• All other individuals living with you and not
already included on lines 16d through 16g.
Include individuals temporarily absent from the
homestead due to illness or employment. Do not
include individuals absent from the homestead for
90 consecutive days or more during 2023. Do not
include individuals who are filing a separate form for
their own home heating credit.
For each household member, enter their SSN in column B.
If the SSN is left blank, the credit will be denied. Enter
the years of age in column C. For children 12 months and
under, enter one year in column C. Check all the boxes in
column D that apply to each household member.
If you have more than four household members, complete
the Michigan Home Heating Credit Claim MI-1040CR-7
Supplemental (Form 4976) on page 15.
Line 18: If your heat is provided by DTE Energy,
Consumers Energy, or SEMCO Energy Gas, your home
heating credit may be sent directly to your heat provider.
If the credit amount exceeds your heat account balance,
check this box to receive a refund from your heat
provider for the overpayment, when eligible.
If you received heating assistance from MDHHS, a
governmental agency, or a nonprofit organization in
the 12 months prior to the receipt of your home heating
credit, your heat provider will apply your credit to any
outstanding balance still remaining on your account.
If, after nine months, a refund balance still remains on
account with your heat provider, your heat provider will
issue a refund to you. If you have not received heating
assistance in the past 12 months, your heat provider will
first apply your credit to any outstanding balance on your
account and then issue any remaining balance to you
as a refund. The home heating credit is not considered
heating assistance for determining when you may receive
a refund.
Heat Provider Contact Information
Consumers Energy....................................1-800-477-5050
www.consumersenergy.com
DTE Energy ..............................................1-800-477-4747
www.dteenergy.com
SEMCO Energy Gas .................................1-800-624-2019
www.semcoenergygas.com
Total Household Resources
You must complete lines 19 through 37 on MI-1040CR-7
even if you filed a homestead property tax credit claim
(MI-1040CR or MI-1040CR-2). Include all taxable and
nontaxable income you and your spouse received in 2023.
If your family lived in Michigan and one spouse earned
wages outside Michigan, include the income earned both
in and out-of-state in your total household resources.
7

Line 19: Enter all compensation received as an employee.
Include strike pay, supplemental unemployment benefits
(SUB pay), sick pay, or long-term disability benefits,
including income protection insurance and any other
amounts reported to you on Form W-2.
Line 20: Do not include business dividend and interest
income reported as a distributable share on your federal
Schedule K-1. See line 21 instructions.
Line 21: Enter the amount to the extent included in AGI
from:
• U.S. Schedule C (Profit or Loss from Business)
• Part II (Ordinary Gains and Losses) of the
U.S. Form 4797
• Part II (Income or Loss from Partnerships and
S Corporations) and Part III (Income or Loss from
Estates and Trusts) of the U.S. Schedule E
• U.S. Schedule F (Profit or Loss from Farming)
• Include income items reported as a distributive share.
If the total is negative enter “0.” Include amounts from
sources outside Michigan. Include the above federal
schedules with your claim.
Line 22: Enter the amount to the extent included in AGI
from:
• Part I (Income or Loss from Rental Real Estate and
Royalties) of the U.S. Schedule E
• Part IV (Income or Loss from Real Estate Mortgage
Investment Conduits (REMIC)) of the U.S. Schedule E
(rents, royalties)
• Part V (Net farm rental income or (loss) from
Form 4835) of the U.S. Schedule E.
If the total is negative enter “0.” Include amounts from
sources outside Michigan. Include the above federal
schedules with your claim.
Line 23: Enter all annuity, retirement, pension, and
individual retirement account (IRA) benefits. This should
be the taxable amount shown on your U.S. Form 1099-R.
If no taxable amount is shown on your U.S. Form 1099-R,
use the amount required to be included in AGI. Enter
zero if all of your distribution is from your contributions
made with income previously included in AGI. Include
reimbursement payments such as an increase in a
pension to pay for Medicare charges. Also include the
total amount of any lump sum distribution including
amounts reported on your U.S. Form 4972. Do not include
recoveries of after-tax contributions or amounts rolled
over into another plan (amounts rolled over into a Roth
IRA must be included to the extent included in AGI).
You must include any part of a distribution from a Roth
IRA that exceeds your total contributions to the Roth
IRA regardless of whether this amount is included in
AGI. Assume that all contributions to the Roth IRA are
withdrawn first. NOTE: Losses from Roth IRAs cannot
be deducted.
Line 24: Enter net capital gains and losses. This is the
total of short-term and long-term gains less short-term
and long-term losses from your U.S. Schedule D (losses
cannot exceed $3,000 if single or married filing jointly or
$1,500 if married filing separately). Include gains realized
on the sale of your residence whether or not these gains
are exempt from federal income tax.
8

Line 25: Enter alimony received and other taxable
income. Only include alimony received if due to a divorce
granted prior to 2019. Other taxable income includes:
awards, prizes, lottery, bingo, and other gambling
winnings over $300; farmland preservation tax credits
if not included in net farm income on line 21; and
forgiveness of debt to the extent included in federal AGI
(e.g., mortgage foreclosure).
Line 26: Enter all Social Security, Supplemental
Security Income (SSI), and/or Railroad Retirement
benefits. Include death benefits and amounts received
for minor children or other dependent adults who live
with you. Report the amount actually received. Medicare
premiums reported on your Social Security or Railroad
Retirement statement should be deducted.
Line 27: Enter child support and all payments received
as a foster parent. NOTE: If you received a 2023
Custodial Party (CP) End of Year Statement (FEN-851)
showing child support payments paid to the Friend of the
Court, enter the child support portion here and include a
copy of the statement. Also see line 32 instructions.
Line 28: Enter all unemployment compensation received
during 2023.
Line 29: Enter the value over $300 in gifts of cash or
merchandise received, or expenses paid on your behalf
(rent, taxes, utilities, food, medical care, etc.) by parents,
relatives, or friends. This includes the amount of financial
support you received if you are claimed as a dependent
on someone else’s return. Do not include government
payments made directly to third parties such as an
educational institution or subsidized housing project.
Line 30: Enter other nontaxable income. This includes:
• Nongovernmental scholarship, stipend or grant
payments paid directly to an educational institution
• Compensation for damages to character or for personal
injury or sickness
• An inheritance (except an inheritance from your
spouse)
• Proceeds of a life insurance policy paid on the death of
the insured (except benefits from a policy on your
spouse)
• Death benefits paid by or on behalf of an employer
• Minister’s housing allowance
• Forgiveness of debt to the extent not included in federal
AGI (e.g., mortgage foreclosure)
• Reimbursement from dependent care and/or medical
care spending accounts.
For more information, see “Total Household Resources”
on page 4.
Line 31: Enter
workers’
compensation,
service
connected disability compensation and pension benefits
from the Veterans Administration. Veterans receiving
retirement benefits should enter the benefits on line 23.
Line 32: Enter the total payments made to your
household by MDHHS and all other public assistance
payments such as state adoption subsidies. Your 2023
Client Annual Statement (DHS-1241) mailed by MDHHS
in January 2024 will show your total MDHHS payments.
Your statement(s) may include the following: FIP
assistance, State Disability Assistance (SDA), Refugee

Assistance, Repatriate Assistance, and vendor payments
for shelter, heat, and utilities.
NOTE: If you received a 2023 FEN-851 (include a copy),
subtract the amount of child support payments entered on
line 27 from the total MDHHS payments and enter the
difference here.
Line 34: Enter
total
adjustments
from
your
U.S. Form 1040, Schedule 1. Describe adjustments
to income. These adjustments reduce total household
resources and include some of the following:
• Payments to IRAs, SEP, SIMPLE, or qualified plans
• Student loan interest deduction
• Moving expenses incurred by members of the Armed
Forces on active duty and, due to a military order,
move into or within Michigan because of a
permanent change in station. Moving expenses when
moving out of Michigan cannot be included in “Other
Adjustments” to reduce total household resources.
• Deduction for self-employment tax
• Self-employed health insurance deduction
• Penalty on early withdrawal of savings
• Alimony paid if deductible on your U.S. Form 1040
• Jury duty pay you gave to your employer
• Archer Medical Savings Account (MSA) deduction
• Health Savings Account (HSA) deduction
• Any other adjustments to gross income included on
your 2023 U.S. Form 1040, Schedule 1.
Line 35: Enter health insurance premiums, Health
Maintenance Organization (HMO) premiums, or other
insurance premiums you paid for yourself and your
family. Include the following premiums:
• Medical insurance
• Dental insurance
• Vision insurance
• Prescription drug plan
• Automobile insurance (medical care portion only).
Do not include any insurance premiums deducted on
line 26 or line 34, amounts paid for income protection
insurance (long-term disability), long-term care
insurance, or amounts paid by an employer with pre-tax
payroll contributions.
You must reduce an insurance premium by the
federal premium tax credit received under the
Patient Protection and Affordable Care Act. Use
the 2023 U.S. Premium Tax Credit Form 8962
to calculate the net insurance premium. The
annual total insurance premium (line 11(a) of
U.S. Form 8962 or the sum of lines 12(a) through 23(a) of
U.S. Form 8962) less the total premium tax credit (line
24 of U.S. Form 8962) may be claimed.
Your Credit
There are two ways to compute a home heating credit:
the standard credit and the alternate credit. If you are
eligible to claim either credit, figure your credit both
ways and claim the larger amount.
Lines 38 through 40: Standard credit. See Table A on
page 19. Find the number of exemptions you are allowed

and the corresponding income ceiling amount. If your
total household resources are less than this amount, you
are eligible to use this method to calculate your credit.
Example: You and your spouse have three dependent
children, so you are allowed five exemptions. Your total
household resources are $15,000. This is less than the
$38,671 income ceiling for five exemptions. Complete the
form using the standard credit method.
If you are a part-year resident or occupied your
homestead
less than 12 months, see page 5 for
information on how to prorate your standard allowance.
Line 41: If your heat is included in your rent at the
time you file this claim, you must reduce your computed
standard credit by 50 percent (0.50). Multiply line 40 by
0.50. Enter this amount on lines 41 and 46.
Lines 42 through 45: Alternate credit. If your claim
is for less than 12 months or your heat cost is included
with your rent, you are not eligible to use the alternate
credit method.
If your total household resources are less than the
maximum income for your number of Michigan
exemptions, you may claim this credit. See Table B on
page 19.
Example: You are single, have one dependent child and
your 70-year old father is also your dependent. You are
allowed three exemptions. Your annual heat costs were
$1,100 and your total household resources are $5,500.
This is less than $29,661 the maximum income for three
exemptions.
Line 46: If you completed line 41, you must enter that
amount here. Otherwise, enter the larger amount from
line 40 or line 45.
Line 47: Multiply the amount on line 46 by
56 percent (0.56) (the percentage of federal home heating
assistance funds available for this year) and enter here.
This is the amount of your 2023 home heating credit.
When You Have Finished

 Sign your return

Review your claim to make sure your name(s), Social
Security number(s), address, and all other important
information are on the claim. If the return is completed
by a tax preparer he or she must include the name,
address, telephone number of the firm he or she
represents, and preparer tax identification number or
federal employer identification number. Check the box
to indicate if Treasury may discuss your return with your
preparer.
The Taxpayer Protection Act requires paid preparers
to sign the return and provide his or her preparer
tax identification number. Additional information
on the Taxpayer Protection Act is available at
www.michigan.gov/taxes.
A paid preparer must not engage in any fraudulent tax
activity. Any concerns related to fraudulent activity
of a paid preparer may be reported to the Michigan
Department of Treasury, Fraud Unit, P.O. Box 30140,
Lansing, MI 48909. Any tax-related identity theft
concerns, see page 4 of the MI-1040 booklet.
9

Table 1: Heat Provider Name Codes.

with code numbers to the left of the names.
Electric Heat
901832
901748
900203
0900213
0900257
900815
900550
901334
901413
901142
901207
900656
9999999

Cherryland Electric Cooperative
City of Bay City
Cloverland Electric Cooperative
Consumers Energy
DTE Energy
Great Lakes Energy Cooperative
Indiana Michigan Power Company
Lansing Board of Water and Light
Tri County Electric Cooperative
Upper Peninsula Power Company
Wisconsin Electric Power Co.
Xcel Energy/Northern States Power Company
Other

Fuel Oil
901212
900486
900115
900166
900347
900231
900238
900292
900360
900415
900573
5264520
902042
901297
900764
900863
900992
1321795
901181
6951893
9999999

American Gas & Oil
Blarney Castle
Bowman Gas & Oil Co
Cass City Oil & Gas
CF Fick & Sons
Coyne Oil
Crystal Flash
Ellsworth Farmers Exchange
Forward Energy
Gary Oil Company
Johnson Oil Co.
Keweenaw Petroleum Services
Krist Oil Co
Marlette Oil & Gas
Naser Oil & Propane
Peterson Oil Co.
Scotland Oil Co.
Suburban Propane LP
Webster & Garner
Wesco Inc.
Other

Table 2: Heat Type Codes
100
200
300
400
500

10

Electric Heat
Fuel Oil
Natural Gas
Propane/LP Gas
Wood and Other Heat Types Not Listed

Heat Provider Name Codes are listed alphabetically within each heat type

Natural Gas
900198
0900213
0900720
1111171
900908
0901035
6541563
901247
900656
9999999

Citizens Gas Fuel Co.
Consumers Energy
DTE Energy
Michigan Gas Utilities (MGU)
Presque Isle Electric & Gas Cooperative
SEMCO Energy Gas
Superior Energy Co. LLC
Wisconsin Public Service Corp
Xcel Energy/Northern States Power Company
Other

Propane/LP Gas
96531

Amerigas

900098

Blarney Castle

3460040

Blue Flame

900347

CF Fick & Sons

9913090

Coyne Propane

900238

Crystal Flash

900292

Ellsworth Farmers Exchange

900793

Ferrellgas

6187524

Fischer LP Gas

900360

Forward Energy

3914321

Fruitport LP Gas

0900416

Gas Production Company Inc.

44650

Heintz Propane

7468172

Irons Bottle Gas Inc.

42923

Suburban Propane LP

3225004

Sunrise Gas

7889343

Tall Pines Propane

5118611

Tapper Propane

901131

Tri Gas Dist Co.

1573603

UP Propane LLC

4939245

Ziehm LP Gas

9999999

Other

Wood and Other Heat Types
Not Listed
96492
8244138
4289
24034
195425
202175
3425749
672
8451
200734
9424005
1930205
8922999
2121270
2100252
6873115
669
160747
202769
2155410
9999999

B. Decare
B. Kirschner
B. Moeke
Cooks Forest Products
Countryside Firewood
DT Firewood
Enchanted Acres
Family Farm and Home
Hauger Forest Products
Hess Corn Energy Products
J. Blades
J. Helsel
K. Sadler
Kellys Tree Service
K. Walraven
Lutke Forest Products
M. Heikkinen
Mid Michigan Tree Service
Ryan’s Firewood Processing
Services by Tim
Other

TABLE A: 2023 Home Heating Credit Standard Allowance
NOTE: If you lived in your homestead for less than 12 months, you must prorate
your standard allowance (see instructions).

Standard
Income
Allowance
Ceiling
$562
$16,043
$760
$21,700
$958
$27,357
$1,156
$33,013
$1,354
$38,671
$1,552
$44,329
+ $198 for each
+ $5,657 for each
exemption over 6
exemption over 6
TABLE B
Exemptions and Maximum Income for the Alternate Credit Computation

Your Exemptions
(from line 16h)
0 or 1
2
3
4
5
6

Maximum
Income
$17,534
$23,595
$29,661
$31,818

Your Exemptions
(from line 16h)
0 or 1
2
3
4 or more

COUNTY CODE TABLE
01
02
03
04
05
06
07
08
09
10
11
12
13
14
15
16
17
18
19
20
21

Alcona
Alger
Allegan
Alpena
Antrim
Arenac
Baraga
Barry
Bay
Benzie
Berrien
Branch
Calhoun
Cass
Charlevoix
Cheboygan
Chippewa
Clare
Clinton
Crawford
Delta

22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42

Dickinson
Eaton
Emmet
Genesee
Gladwin
Gogebic
Grand Traverse
Gratiot
Hillsdale
Houghton
Huron
Ingham
Ionia
Iosco
Iron
Isabella
Jackson
Kalamazoo
Kalkaska
Kent
Keweenaw

43
44
45
46
47
48
49
50
51
52
53
54
55
56
57
58
59
60
61
62
63

Lake
Lapeer
Leelanau
Lenawee
Livingston
Luce
Mackinac
Macomb
Manistee
Marquette
Mason
Mecosta
Menominee
Midland
Missaukee
Monroe
Montcalm
Montmorency
Muskegon
Newaygo
Oakland

64
65
66
67
68
69
70
71
72
73
74
75
76
77
78
79
80
81
82
83

Oceana
Ogemaw
Ontonagon
Osceola
Oscoda
Otsego
Ottawa
Presque Isle
Roscommon
Saginaw
St. Clair
St. Joseph
Sanilac
Schoolcraft
Shiawassee
Tuscola
Van Buren
Washtenaw
Wayne
Wexford

19

Michigan Department of Treasury
Lansing, MI 48922

PRSRT STD
U.S. POSTAGE PAID
Mich. Dept. of Treasury

Index
Page

Alternate Credit................................................6
Claiming a Credit.............................................3
Computing a Credit..........................................9
Credit Payments ...............................................6
Deceased Claimants .........................................4
Direct Deposit of Refund ...............................17
Farmers, Special Provisions.............................5
General Information.........................................3
How to Contact Treasury .................................2
Important Information for All Claimants.........3
Licensed Care Facilities...................................5
Line-by-Line Instructions ................................6
Part-Year Resident Owner’s or Renter’s
Standard Allowance .....................................5
Shared Housing Standard Allowance...............5
Standard Credit ................................................5
Total Household Resources..........................4, 7
Forms

MI-1040CR-7, Home Heating Credit Claim 11
4976, MI-1040CR-7 Supplemental ................15
3174, Direct Deposit of Refund......................17

20

Help With Child Care Costs
If your family income is at or below levels established by the
Michigan Department of Education, you may be eligible for help
with child care costs. For example, a family of three with an income
of less than $49,692 may qualify for partial payment of child care
costs. Contact any local Michigan Department of Health and Human
Services office or your Great Start to Quality Resource Center for
assistance in the application process. For more details about the Child
Development and Care program, visit www.michigan.gov/childcare.
To find a licensed or registered child care provider in your area, visit
www.greatstarttoquality.org.
Winter Protection Plan
If you are a low income or senior citizen customer of a natural gas or
electric utility company, regulated by the Michigan Public Service
Commission and would like to participate in the Winter Protection Plan,
a payment deferral program that provides winter shut off protection
from November 1 to March 31, contact your local energy supplier or the
Michigan Public Service Commission at 1-800-292-9555 for details.
Low Interest Home Improvement Loans
Energy bills too high? The Michigan State Housing Development
Authority (MSHDA) offers low interest home improvement loans
(4 percent to 8 percent) to qualified homeowners. You can borrow up
to $25,000 without any equity, and add insulation, replace your furnace,
install energy efficient windows, and pay for other eligible energy
improvements. For more details, visit www.michigan.gov/mshda, then
click on the Home Improvement link. You may also call 517-373-8017.
Affordable Rental Housing
Looking for affordable rental housing?
Go to www.MichiganHousingLocator.com. It is the best source
for affordable rental housing across the State. It’s a free resource for
property owners and renters with over 240,000 unit listings.