4572: Charitable Contribution Credits (2024)
Michigan · Michigan Treasury · Used for tax years 2024
Michigan Form 4572 calculates the 2024 Michigan Business Tax charitable contribution credits for community and education foundations, homeless shelters and food banks, public contributions, and arts and culture. It reports donation amounts, credit amounts, and tax remaining after
Who files this form
Use 2024 Form 4572 if you are a standard Michigan Business Tax (MBT) taxpayer claiming charitable contribution credits. Calculate the credits here and carry them to the MBT Nonrefundable Credits Summary (Form 4568).
- Financial institutions and insurance companies are not eligible for these credits.
- A taxpayer making a valid certificated credit election may also claim these credits. Only taxpayers with an awarded certificated credit that has not been fully claimed or used may elect to be MBT taxpayers.
- Unitary business groups complete one Form 4572 for the group. These credits and their limits are calculated on a group basis.
What you'll need
Have the following information and forms available:
- Form 4567, MBT Annual Return: Use the name and account number from page 1 and the tax amount from line 53.
- Form 4568, MBT Nonrefundable Credits Summary: You will need amounts from lines 9 and 16 and will transfer the calculated credits back to this form.
- Donation amounts for each credit you are claiming, including cash donations for the Homeless Shelter/Food Bank Credit.
- Certified foundation codes for the Community and Education Foundations Credit. If you donated to more than two foundations, attach a list identifying the additional foundations.
- The Arts and Culture worksheet printed with the form, if claiming that credit, to calculate the donation amount for line 16.
How to file
Include completed Form 4572 as part of your tax return filing. Transfer the credits to Form 4568 as directed:
- Form 4572, line 5 to Form 4568, line 10.
- Form 4572, line 9 to Form 4568, line 11.
- Form 4572, line 14 to Form 4568, line 17.
- Form 4572, line 19 to Form 4568, line 18.
The supplied text does not provide a mailing address or e-filing directions.
Common mistakes
- Leaving out a valid foundation code: The Community and Education Foundations Credit will not be allowed without one.
- Combining Arts and Culture categories to meet the minimum: Contributions may be combined within a category, but Category A and Category B contributions cannot be combined to reach the $50,000 minimum.
- Claiming the Public Contribution Credit when also subject to the Michigan Income Tax Act: Those taxpayers may not claim this credit under the MBT.
- Entering negative remaining tax: Where directed, enter zero if the subtraction produces an amount below zero.
- Not matching Form 4568: Form 4572, line 10 must equal Form 4568, line 12. Form 4572, line 20 must equal Form 4568, line 19.
Questions people ask
What donations qualify for the Community and Education Foundations Credit?
Donations to the endowment fund of a certified community foundation or education foundation qualify for a partial credit. A list of certified foundations, if applicable, will be posted as a Revenue Administrative Bulletin at www.michigan.gov/treasury under “Reports and Legal Resources.”
Does the Homeless Shelter/Food Bank Credit cover noncash donations?
The form specifies cash donations to qualifying homeless shelters, food kitchens, food banks, or other entities whose primary purpose is providing overnight accommodations, food, or meals to indigent persons.
How are the first three credits limited?
The Community and Education Foundations Credit and the Homeless Shelter/Food Bank Credit each equal the least of 50% of the donation amount, $5,000, or 5% of the tax on Form 4567, line 53. The Public Contribution Credit equals the least of 50% of the donation amount, $5,000, or 5% of Form 4572, line 11.
How is the Arts and Culture Credit calculated?
Use the worksheet to determine line 16. Include a category’s total contributions only if they exceed $50,000. Subtract $50,000 from line 16, entering zero if the result is negative, then multiply by 50%. The credit is the least of that result, $100,000, or the tax on line 15.