4574: Refundable Credits (2025)
Michigan · Michigan Treasury · Used for tax years 2025
Michigan Form 4574 reports refundable credits for the 2025 Michigan Business Tax. It totals credits such as the Personal Property Tax Credit, MEGA Employment Tax Credit and Farmland Preservation Credit, then carries the total to Form 4567 or Form 4590.
Who files this form
Use 2025 Michigan Form 4574 to claim the Michigan Business Tax refundable credits listed on the form. These include personal property tax, Worker’s Disability Supplemental Benefit, Next Energy Payroll, farmland preservation, film production, and certain MEGA and anchor company credits.
The Next Energy Payroll Credit is available only to businesses located within an alternative energy renaissance zone. Skip credit sections you are not claiming, as directed on the form.
What you'll need
Have your taxpayer name and Federal Employer Identification Number (FEIN) or TR Number ready. Depending on the credits you claim, you will also need:
- Personal Property Tax Credit: Property taxes paid on eligible industrial, telephone, or natural gas pipeline property in the current MBT tax year.
- WDSB Credit: The credit amount allowed by the Workers’ Compensation Agency.
- Next Energy Payroll Credit: The zone property’s street address, city, parcel number, and total payroll for research, development, or manufacturing employees who work primarily within the zone.
- MEGA Employment Tax Credit: The MEDC Annual Tax Credit Certificate. Attach it to the form.
- Farmland Preservation Credit: The amount from Form 4594, line 29.
- Credits calculated on Form 4584: Amounts from line 35a for the MEGA Federal Contract Credit, line 70a for the Anchor Company Payroll Credit, line 78a for the Anchor Company Taxable Value Credit, and line 86a for the MEGA Poly-Silicon Energy Cost Credit and miscellaneous MEGA battery credits.
- MEGA Photovoltaic Technology Credit: The credit amount from the MEDC certificate, which the form says to attach, or the assigned credit amount.
- Film Production Credit: The credit amount from the Michigan Film Office’s Post-Production Certificate of Completion, which the form says to attach, or the assigned credit amount.
Common mistakes
- Do not enter amounts on lines 13, 14, or 19. Those credits are no longer available. Leave those lines blank and follow the printed skip directions.
- Do not claim the Next Energy Payroll Credit for a business outside an alternative energy renaissance zone. The form limits this credit to businesses located within a zone.
- Do not overlook certificate attachments. The form marks the MEDC Annual Tax Credit Certificate, MEDC Photovoltaic Technology certificate, and Michigan Film Office Post-Production Certificate of Completion for attachment when using those certificate amounts.
- Follow the skip directions for credits you are not claiming.
Questions people ask
How is the Personal Property Tax Credit calculated?
Multiply property taxes paid on eligible industrial personal property by 35%, eligible telephone personal property by 13.5%, and eligible natural gas pipeline property by 10%. Add those results on line 7. The tax payments must be from the current MBT tax year.
How is the Next Energy Payroll Credit calculated?
Enter total payroll for research, development, or manufacturing employees who work primarily within the alternative energy renaissance zone on line 10. Multiply that amount by 4.25% and enter the result on line 11.
Where do I get the WDSB Credit amount?
On line 8, enter the Worker’s Disability Supplemental Benefit Credit allowed by the Workers’ Compensation Agency.
Where does the total refundable credit amount go?
Add lines 7, 8, 11, 12, 15, 16, 17, 18, 20, 21, and 22. Enter the total on line 23, then carry it to Form 4567, line 64, or Form 4590, line 37.