Michigan Insurance Company Annual Return for Michigan Business and Retaliatory Taxes

Insurance Company Annual Return for Michigan Business and Retaliatory Taxes
4588, 2024 Insurance Company Annual Return for Michigan Business and Retaliatory Taxes
Michigan Department of Treasury
4588 (Rev. 04-24), Page 1 of 2

2024 Insurance Company Annual Return for
Michigan Business and Retaliatory Taxes

Check if this is an
amended return.
See instructions.

Issued under authority of Public Act 36 of 2007.
1. Taxpayer Name

2. Federal Employer Identification Number (FEIN) or TR Number

Address (Number, Street)
City

Check if
new address.
(See instructions)

State

ZIP/Postal Code

3.

Check if Foreign Insurer

Country Code 4. State of Incorporation (use 2 letter abbreviation)

DIRECT PREMIUMS WRITTEN IN MICHIGAN

5.

00

10.
11.

00
00

12. Disability insurance premiums written in Michigan, not including credit or disability income insurance,
OR $190,000,000, whichever is less.....................................................................................................................

12.

00

13. Gross direct premiums from all lines of insurance carrier services
received everywhere.....................................................................................
13.
00
14. Phase out.......................................................................................................
14.
280,000,000 00
15. Subtract line 14 from line 13. If less than zero, enter zero............................
15.
00
16. Exemption reduction. Multiply line 15 by 2..............................................................................................................
17. Subtract line 16 from line 12. If less than zero, enter zero......................................................................................
18. Adjusted Tax Base. Subtract line 17 from line 11....................................................................................................
19. Michigan Business Tax Before Credits. Multiply line 18 by 1.25% (0.0125).......................................................

16.
17.
18.
19.

00
00
00
00

5.
6.
7.
8.
9.
10.
11.

Gross direct premiums written in Michigan.............................................................................................................
Premiums on policies not taken.......................................................................
6.
00
Returned premiums on canceled policies........................................................
7.
00
Receipts on sales of annuities..........................................................................
8.
00
Receipts on reinsurance assumed...................................................................
9.
00
Add lines 6 through 9..............................................................................................................................................
Direct Premiums Written in Michigan. Subtract line 10 from line 5. If less than zero, enter zero......................

DISABILITY INSURANCE EXEMPTION

CREDITS

20. Enter amounts paid from 1/1/2023 to 12/31/2023 to each of the following
a. Michigan Workers’ Compensation Placement Facility...............................
20a.
00
b. Michigan Basic Property Insurance Association........................................ 20b.
00
c. Michigan Automobile Insurance Placement Facility..................................
20c.
00
d. Property and Casualty Guaranty Association............................................ 20d.
00
e. Michigan Life and Health Insurance Guaranty Association.......................
20e.
00
21. Add lines 20a through 20e...................................................................................................................................... 21.
22. a. Michigan Examination Fees...................................................................... 22a.
00
b. Credit. Multiply line 22a by 50% (0.50)............................................................................................................... 22b.
23. Tax Before Miscellaneous Nonrefundable Credits. Subtract lines 21 and 22b from line 19.............................. 23.
24. Miscellaneous Nonrefundable Credits from Form 4596, line 28............................................................................. 24.
25. Michigan Business Tax After Nonrefundable Credits. Subtract line 24 from line 23. If less than zero, enter zero... 25.
26. Recapture of Certain Business Tax Credits and Deductions from Form 4587, line 13............................................ 26.
27. Total Michigan Business Tax. Add lines 25 and 26............................................................................................. 27.
28. Corporate Income Tax Adjustment from Form 4974, line 20................................................................................... 28.
29. Tax Liability. Add lines 27 and 28........................................................................................................................... 29.

00
00
00
00
00
00
00
00
00

Return is due March 1, 2025.
WITHOUT PAYMENT: Mail return to:
Michigan Department of Treasury
PO Box 30783
Lansing MI 48909

+

WITH PAYMENT: Pay amount on line 58 and mail check and return to:
Michigan Department of Treasury
Make check payable to “State of Michigan.” Print taxpayer’s
PO Box 30113
FEIN or TR Number, the tax year, and “MBT” on the front of
Lansing MI 48909
the check. Do not staple the check to the return.

0000 2024 83 01 27 6

Continue and sign on Page 2

2024 Form 4588, Page 2 of 2

FEIN or TR Number

Foreign and alien insurers complete lines 30 through 46. Domestic insurers, go to line 47. Use column A to report burdens that would be imposed by the taxpayer’s state
of incorporation on a hypothetical Michigan company doing the same business in that state. Use column B to report actual burdens imposed by Michigan on the taxpayer.

TAXES

A — State of Incorporation

B — Michigan

X X X X X X X X

30. State of incorporation tax.......................................................................
31. Tax Liability from line 29.........................................................................

30.
31.

32.
33.
34.
35.
36.

Annual statement filing fee.....................................................................
Certificate of Authority renewal fee.........................................................
Certificate of Compliance.......................................................................
Certificate of Deposit..............................................................................
Certificate of Valuation............................................................................

32.
33.
34.
35.
36.

37.
38.
39.
40.
41.
42.

Other fees. Include a detailed schedule of fees....................................
Fire Marshall Tax....................................................................................
Second Injury Fund................................................................................
Silicosis and Dust Disease Fund............................................................
Safety Education and Training Fund......................................................
Other assessments. Include a detailed schedule of assessments........

37.
38.
39.
40.
41.

43.
44.
45.
46.
47.

Add lines 30 through 42.............................................................................. 43.
Accelerated and Certificated Refundable Credits (see instructions)...... 44. X X X X X X X X
Total Taxes, Fees and Assessments. Subtract line 44 from line 43........ 45.
Retaliatory Amount. Subtract line 45, column B, from column A. If less than zero, enter zero...............................
Total MBT Tax Liability. Add lines 29 and 46. Domestic insurers, enter amount from line 29..............................

46.
47.

00
00

48.
49.
50.
51.
52.
53.

Overpayment credited from prior MBT return..........................................................................................................
Estimated tax payments..........................................................................................................................................
There is no amount to be entered on this line. Skip to line 51................................................................................
Tax paid with request for extension.........................................................................................................................
Refundable Credits (see instructions).....................................................................................................................
Total Payments. Add lines 48 through 52. (If not amending, then skip to line 55.).................................................

48.
49.
50.
51.
52.
53.

00
00
X X X X X X X X 00
00
00
00

54.

00
AMENDED a. Payments made with original and/or prior amended returns.. 54a.
RETURN b. Overpayments from original and/or prior amended returns... 54b.
00
ONLY
c. Add lines 53 and 54a and subtract line 54b from the sum.... .................................................... 54c.

FEES AND ASSESSMENTS

TOTAL

X X X X X X X X

X
X
X
X
X

X
X
X
X
X

X
X
X
X
X

X
X
X
X
X

X
X
X
X
X

X
X
X
X
X

X
X
X
X
X

X
X
X
X
X

X X X X X X X X

42.

PAYMENTS, REFUNDABLE CREDITS AND TAX DUE

57. Annual return penalty (a)
% = (b)
00 plus interest of (c)
00 . Total........ 57d.
58. PAYMENT DUE. If line 55 is blank, go to line 59. Otherwise add lines 55, 56 and 57d.......................................... 58.

00
00
00
00
00

59. Overpayment. Subtract lines 47, 56 and 57d from line 53 (or line 54c, if amending).
If less than zero, leave blank (see instructions).....................................................................................................
60. CREDIT FORWARD. Amount on line 59 to be credited forward and used as an estimate for next MBT tax year.....
61. REFUND. Amount on line 59 to be refunded..........................................................................................................

00
00
00

55. TAX DUE. Subtract line 53 (or line 54c, if amending) from line 47. If less than zero, leave blank..........................
56. Underpaid estimate penalty and interest from Form 4582, line 38..........................................................................

55.
56.

OVERPAYMENT, REFUND OR CREDIT FORWARD

Taxpayer Certification.

I declare under penalty of perjury that the information in
this return and attachments is true and complete to the best of my knowledge.
By checking this box, I authorize Treasury to discuss my return with my preparer.
Authorized Signature for Tax Matters

Authorized Signer’s Name (print or type)
Title

+

0000 2024 83 02 27 4

59.
60.
61.

Preparer Certification.

I declare under penalty of perjury that this
return is based on all information of which I have any knowledge.
Preparer’s PTIN, FEIN or SSN

Preparer’s Business Name (print or type)

Date
Telephone Number

Preparer’s Business Address and Telephone Number (print or type)

Instructions for Form 4588
Insurance Company Annual Return for Michigan Business and Retaliatory Taxes
Purpose
To calculate the tax liability and to claim credits for insurance
companies for both Michigan Business and Retaliatory Taxes.
NOTE: Beginning January 1, 2012, only those taxpayers with
a certificated credit, which is awarded but not yet fully claimed
or utilized, may elect to be Michigan Business Tax (MBT)
taxpayers.   If a taxpayer files an MBT return and claims a
certificated credit, the taxpayer makes the election to file
and pay under the MBT until the certificated credit and any
carryforward of that credit are exhausted.

General Instructions
MBT Liability: Beginning January 1, 2012, a taxpayer
calculates MBT liability as the greater of MBT liability after
all credits, deductions, and exemptions or hypothetical CIT
liability minus deductions and credits available under that act
and minus certificated credits allowed under the MBT.   This
calculation of liability requires a taxpayer to calculate the
premiums tax base and apply available MBT credits, including
certificated credits, deductions, and exemptions available
under the MBT.   Then, the taxpayer will calculate the CIT
comparison on the Schedule of Corporate Income Tax Liability
for an Insurance Filer (Form 4974).  A taxpayer is permitted to
reduce hypothetical CIT liability by all deductions and credits
which would be allowed under that tax as well as the amount
of certificated credit allowed under the MBT.   The amount
of certificated credit allowed under the MBT is the amount
of nonrefundable credit needed to offset MBT liability or the
entire amount of a refundable credit.
If the taxpayer’s hypothetical CIT liability would be higher
than its MBT liability, the taxpayer will add the difference to
MBT liability on line 28 of this form (4588).   This is the CIT
adjustment.   If the result of both steps of the calculation is a
negative number, the taxpayer will receive a refund of the lower
negative; but a nonrefundable credit cannot be used to reduce
liability below zero. Remaining nonrefundable certificated credit
may be carried forward to succeeding tax years.
Amended Returns: To amend a current or prior year annual
return, complete the Form 4588 that is applicable for that year,
check the box in the upper-right corner of the return, and attach
a separate sheet explaining the reason for the changes. Include an
amended federal return or a signed and dated Internal Revenue
Service (IRS) audit document. Include all schedules filed with
the original return, even if not amending that schedule. Enter
the figures on the amended return as they should be. Do not
include a copy of the original return with your amended return.
A taxpayer may not amend to revoke the election to remain
taxable under the MBT. Once the taxpayer makes a valid election
to claim a certificated credit, the taxpayer must continue to file
the MBT until the credit and any carryforward of that credit are
exhausted.

Line-by-Line Instructions
Lines not listed are explained on the form.

Do not enter data in boxes filled with Xs.
Line  1: Enter the complete address and, if other than the
United States, enter the two-digit abbreviation for the country
code. See the list of country codes in the Michigan Business
Tax (MBT) Forms and Instructions for Insurance Companies
(Form 4592).
Any correspondence regarding the return filed and/or refund
will be sent to the address used here. Check the new address
box if the address used on this line has changed from the last
filing. The taxpayer’s primary address in the Department of
Treasury (Treasury) files, identified as the legal address and
used for all purposes other than refund and correspondence
on a specific MBT return, will not change until the customer
specifically makes the change on their Michigan Treasury
Online (MTO) account. Visit michigan.gov/mtobusiness for
more information.
Line  2: Use the taxpayer’s Federal Employer Identification
Number (FEIN) or the Michigan Treasury (TR) assigned
number. Be sure to use the same account number on all forms.
If the taxpayer does not have an FEIN or TR number,
the taxpayer must register before filing this form.
Taxpayers
are
encouraged
to
register
online
at
www.michigan.gov/mtobusiness. Click on the quick link “New
Business” for information on how to obtain an FEIN, which
is required to submit a return through e-file. Taxpayers usually
can obtain an FEIN from the IRS within 48 hours. Taxpayers
registering with the State online usually receive an account
number within seven days.
Returns received without a registered account number will not
be processed until such time as a number is provided.
Line  3: Check this box if the company is a foreign insurer.
Alien insurers are considered foreign insurers, unless their port
of entry is Michigan, in which case the company is considered
domestic for the filing of this return.
Line 4: Alien insurers, enter the two-letter postal code for the
U.S. state that is your port of entry.
Line  5: Enter all gross direct premiums written on property or
risk located or residing in Michigan.
Line  6: Enter premiums on policies not taken to the extent
these premiums were included in line 5.
Line  7: Enter returned premiums on canceled policies to the
extent these premiums were included in line 5.
Line  8: Enter receipts on sales of annuities to the extent these
receipts were included in line 5.
Line  9: Enter receipts on reinsurance premiums assumed to
the extent these receipts were included in line 5, and only if tax
was paid on the original premiums.
Line 12: Disability insurance is insurance of any person
against bodily injury or death by accident, or against disability
on account of sickness or accident including also the granting

11

of specific hospital benefits and medical, surgical and sickcare benefits to any person, family, or group, subject to such
limitations as may be prescribed with respect thereto. The
exclusion for disability insurance premiums does not include
credit insurance or disability income insurance premiums.
CREDITS
Line  20: Enter the amounts paid to the listed facilities
or associations from January 1, 2023, to December 31,
2023, including special assessments. Net the amounts paid
and refunds received during 2023 for the same facility or
association. If refunds received exceed the amount paid in the
year for the same facility or association, enter zero.
Line 20c: For tax years beginning on and after January 1,
2023, amounts paid to the MAIPF that are attributable to the
assigned claims plan shall not be included in the calculation of
this credit.
Line  22a: Enter the amount of Michigan Examination Fees
paid in 2024 (under Michigan Compiled Law 500.224).
Line  24: Enter the Miscellaneous Nonrefundable Credits from
Michigan Business Tax Miscellaneous Credits for Insurance
Companies (Form 4596), line 28.
Retaliatory Instructions
For foreign and alien insurers only; domestic insurers skip
lines 30 through 46.
Do not mail this return with the Michigan Annual Financial
Statement, and do not send the annual statement filing fee
with this return. The taxpayer will be billed separately for the
annual statement filing fee by the Department of Insurance and
Financial Services.
Foreign insurers must pay to Michigan the same type of
obligation a similar Michigan insurer is required to pay in the
company’s state of domicile. Enter all items that are required
of a Michigan insurance company. Some taxes and obligations
imposed in other states may have no corresponding requirement
in Michigan; however, this does not relieve the foreign insurer
from the obligation of computing and paying the tax.
Do not include the following Michigan assessments,
or comparable assessments in the company’s state of
incorporation, in the retaliatory calculation:
•	
•	
•	
•	
•	
•	
•	

Michigan Workers’ Compensation Placement Facility
Michigan Basic Property Insurance Association
Michigan Automobile Insurance Placement Facility
Property and Casualty Guaranty Association
Michigan Life and Health Insurance Guaranty Association
Catastrophic Claims Association
Assessment under Health Insurance Claims Assessment Act
(HICAA).

California insurers must include Bureau of Fraudulent Claims
assessments. New York domiciled companies must file and pay
a tentative retaliatory tax to Michigan by the annual due date,
March 1, 2023. An amended Form 4588 must be filed after
the actual CT33 is filed with New York. Transfer the CT33
numbers onto the amended Form 4588 and attach a copy of the
CT33 to substantiate the taxpayer’s claim.

12

Line  30: Enter the tax a Michigan company would pay
to the taxpayer’s state of incorporation if it conducted the
same amounts and types of business there as the taxpayer
is conducting in Michigan. Attach a copy of the state of
incorporation’s tax form on which this pro forma tax on the
hypothetical Michigan company was calculated.
Lines 32 through 42: In column A, “State of Incorporation,”
enter the amounts that would be paid by a hypothetical
Michigan insurance company doing the same types and
amounts of business in the taxpayer’s home state that the
taxpayer is doing in Michigan.
Lines 37 and 39 through 42: In column B, “Michigan,” enter
the actual amounts paid by the taxpayer to Michigan.
Line 42: Attach a detailed schedule of assessments.
Line 44: Enter the sum of accelerated and certificated
refundable credits:
•	 Accelerated credits: The amount from the Request for
Accelerated Payment for the Brownfield Redevelopment
Credit and the Historic Preservation Credit (Form 4889),
line 10. (If the taxpayer has filed more than one Form 4889
during the tax year, enter here the combined total of credits
claimed on all Forms 4889, line 10);  
•	 Certificated Refundable credits: The sum of  the  amounts
reported on Form 4596, lines 2, 3, and 4.
Line  46: Subtract line 45, column B, from line 45, column A.
If less than zero, enter zero. If line 45, column B, is a negative
number, add column A to the negative number in column B.
This will increase the retaliatory amount reported.
PAYMENTS, REFUNDABLE CREDITS, AND TAX DUE
Line  49: Enter the total tax paid with the quarterly estimated
tax returns.
Line  51: Enter any tentative payment of estimated tax made
with a request for an extension of time to file the return.
Line  52: If claiming a credit, enter the amount from Form
4596, line 5.
Amended Returns Only:
Line  54a: Enter payment made with the original return.
Line  54b: Enter overpayment received (refund received plus
credit forward created) on the original return.
Line  54c: Add lines 53 and 54a and subtract line 54b from
the sum.
Line  56: If penalty and interest are owed for not filing
estimated returns or for underestimating tax, complete
the MBT Penalty and Interest Computation for Underpaid
Estimated Tax (Form 4582) to compute penalty and interest
due. If a taxpayer chooses not to file Form 4582, Treasury will
compute penalty and interest and bill for payment. Form 4582
is available on the Web at www.michigan.gov/taxes.
Line  57: Enter the annual return penalty rate in line 57a. Add
the overdue tax penalty in line 57b to the overdue tax interest
in line 57c. Enter total in line 57d.

Refer to the “Computing Penalty and Interest” section in Form 4592
to determine the annual return penalty rate and use the following
Overdue Tax Penalty and Overdue Tax Interest worksheets.
WORKSHEET – OVERDUE TAX PENALTY
A. Tax due from Form 4588, line 55.........
B. Late/extension or insufficient
payment penalty percentage.................
C. Multiply line A by line B......................

00

•	 MBT Renaissance Zone Credit Schedule (Form 4595)
•	 MBT Miscellaneous Credits for Insurance Companies
(Form 4596)
•	 Proof of payment for any items listed in the “Michigan”
column for lines 39 through 42.

%
00

Carry amount from line C to Form 4588, line 57b.
A.
B.
C.
D.
E.

WORKSHEET – OVERDUE TAX INTEREST
Tax due from Form 4588, line 55.........
Applicable daily interest percentage ...
Number of days return was past due....
Multiply line B by line C .....................
Multiply line A by line D ....................

00
%
00

Carry amount from line E to Form 4588, line 57c.
Line 57c: NOTE: If the late period spans more than one
interest rate period, divide the late period into the number of
days in each of the interest rate periods identified under the
“Computing Penalty and Interest” section in Form 4592 and
apply the calculations in the Overdue Tax Interest worksheet
separately to each portion of the late period. Combine these
interest subtotals and carry the total to Form 4588, line 57c.
Line 59: If the amount of the overpayment, less any penalty
and interest due on lines 56 and 57d, is less than zero, enter the
difference (as a positive number) on line 58. If the amount is
greater than zero, enter on line 59.
NOTE: If an overpayment exists, a taxpayer must elect a
refund of all or a portion of the amount and/or designate all or
a portion of the overpayment to be used as an estimate for the
next MBT tax year. Complete lines 60 and 61 as applicable.
Line 60: If the taxpayer anticipates an MBT liability in the
filing period subsequent to this return, some or all of any
overpayment from line 59 may be credited forward to the next
tax year as an estimated payment. Enter the desired amount to
use as an estimate for the next MBT tax year.
Reminder: Taxpayers must sign and date returns. Tax
preparers must provide a Preparer Taxpayer Identification
Number (PTIN), FEIN or Social Security number (SSN), a
business name, and a business address and phone number.

Other Supporting Forms and Schedules
The following forms and their requested attachments should be
included as part of this return, as applicable:
•	 Michigan Historic Preservation Tax Credit (Form 3581)
•	 MBT Single Business Tax (SBT) Credit Carryforwards
(Form 4569)
•	 MBT Penalty and Interest Computation for Underpaid
Estimated Tax (Form 4582)
•	 MBT Election of Refund or Carryforward Credits
(Form 4584)
•	 MBT Schedule of Recapture of Certain Business Tax Credits
and Deductions (Form 4587)

13