To claim exempt, write EXEMPT under line 4c. You may claim EXEMPT from withholding if: o Last year you had a right to a full refund of All federal tax income and o This year you expect a full refund of ALL federal income tax. NOTE: if you claim EXEMPT you must complete a new W-4 annually in February.
Employees may claim exemption from withholding only if they do not anticipate a Michigan income tax liability for the current year because their employment is less than full-time and the personal and dependency exemptions exceed their annual compensation. Any changes made to an MI-W4 makes the form invalid.
In general, payers must withhold 4.25 percent on all distributions that are subject to Michigan income tax, unless the payer receives a withholding certificate from a retiree that directs otherwise.
Because claiming Exempt has a clearly falsifiable attestation (that you had no tax liability in the prior year), it is generally a Bad Idea to falsely claim Exempt.
Ing to the IRS Tax Topic 751 on withholding, to claim exempt, you must have had no federal income tax liability last year and expect to have no federal income tax liability this year.
MI-W4 Employee's Michigan Withholding Exemption Certificate Boxes 1-5 – complete with social security number, birth date, name, address, driver's license number, and date of hire (if newly hired employee). Line 6 – Enter the number of personal and dependent exemptions you are claiming.
Note: The W-4 form 2024 steps are the same as the W-4 form 2025 steps. Step 1: Enter your personal information. Step 2: Account for all jobs you and your spouse have. Step 3: Claim your children and other dependents. Step 4: Make other adjustments. Step 5: Sign and date your form.
MICHIGAN WITHHOLDING EXEMPTION CERTIFICATE (Form MI-W4) Your employer is required to notify the Michigan Department of Treasury if you have claimed 10 or more personal or dependency exemptions or claimed that you are exempt from withholding.
In order to claim an exemption from sales or use tax, a purchaser must provide a valid claim of exemption to the vendor by completing one of the following: Michigan Sales and Use Tax Certificate of Exemption (Form 3372) Multistate Tax Commission's Uniform Sales and Use Tax Certificate.
Exemption from withholding An employee can also use Form W-4 to tell you not to withhold any federal income tax. To qualify for this exempt status, the employee must have had no tax liability for the previous year and must expect to have no tax liability for the current year.