Include all payments made with the original City of Detroit If the tax preparer is someone other than the taxpayer,
Income Tax return on line 18. If line 23 computes to be he or she must enter the business name, address and
an overpayment, it should be adjusted to reflect original telephone number of the firm he or she represents and
refunds and credits on the AMENDED RETURN Preparer Tax Identification Number (PTIN), Federal
WOR KSHEET. Employer Identification Number (FEIN), or Social
PART 7: Certication
Security number. Check the box to indicate if Treasury
may discuss your return with your tax preparer.
Sign and date your tax return. If filing a joint return, both
the filer and spouse must sign the return.
Line-by-Line Instructions for Form 5119,
2023 City of Detroit Nonresident Income Tax Return
Lines not listed are explained on the form.
• Totally and permanently disabled means disabled as
If you do not have income subject to City income tax in
defined under Social Security Guidelines 42 USC 416.
excess of total exemption amount for the City of Detroit, do
If you were age 66 by June 30, 2023, you may not
not file a City of Detroit Nonresident Income Tax Return
claim an exemption as totally and permanently
(Form 5119) unless you are filing to claim a refund of
disabled.
withholding tax paid to the City of Detroit.
PART 1: Income
Line 1: Only married filers may file joint returns. You
The following income is subject to tax:
must complete the address section of the City of Detroit
• Compensation received as an employee for work done
return. If one or both of the taxpayers is deceased, write
or services performed in the City of Detroit.
“DECD” after the decedent’s last name.
• Net profits of an unincorporated business or profession
Lines 2 and 3: Print your full Social Security number(s).
based on business activity conducted in the City of
Line 5: Place an “X” in the box to identify your filing
Detroit, whether or not such business or profession is
status. An individual who is married for federal purposes
located in the City of Detroit.
must either file a joint return with her/his spouse or file
• Net profits from rental of real or tangible personal
using the status married filing separately. If your status is
property located in the City of Detroit or gains on a
married filing separately (box c), print your spouse’s full
sale or exchange of real or tangible personal property
name in the space provided and be sure to print his or her
located in the City of Detroit.
full Social Security number on line 3. If you filed your
The following income is not subject to tax:
federal return as head of household or qualifying surviving
• Gifts, inheritances and bequests.
spouse, file your City return as single.
• Pensions and annuities, including disability pensions.
Line 6: Individuals who can be claimed as a dependent by
(Pre-retirement distributions are taxable.)
someone else cannot claim an exemption for themselves.
• Proceeds from insurance (except that payments from a
Place an “X” in the box if someone else can claim you as
health and accident policy paid for by your employer
a dependent. If taxable income is less than $600, no tax
are taxable to the same extent as provided by the
is due and any tax withheld will be refunded. If income
Internal Revenue Code).
exceeds that amount, the tax shall be computed on the full
• Unemployment compensation, Welfare relief payments,
amount.
supplemental unemployment benefits (sub-pay).
Line 8: Enter the number that applies to you and your
• Worker’s compensation or similar payments for death,
spouse only for lines 8a-8c. Enter the number that applies
injury or illness arising out of and in the course of an
to you, your spouse, and your dependents on lines 8d and
employee’s job.
8e, as of December 31, 2023.
• Interest, dividends and other forms of intangible
Line 8a: Enter “1” if you are single or married filing
income (when the receipts in interest and/or other
separately; “2” if you are married filing jointly. Do not
intangible income is part of a business, it shall be
claim an exemption on line 8a if you are a taxpayer eligible
considered as business income taxable to nonresidents
to be claimed as a dependent by another taxpayer.
and reported in Part 5).
Line 8b:
You qualify for this exemption if you are 65 years
• Military pay for members of the Armed Forces of the
of age or older. This applies for you and/or your spouse only.
United States and the National Guard.
Line 8c: You and/or your spouse qualify for this exemption
• Social Security income or benefits.
if you are deaf, blind, hemiplegic, paraplegic, quadriplegic,
Line 9:
Enter wages, salaries, tips, and other
or totally and permanently disabled.
compensation earned in the City of Detroit. Do not include
You may claim as many as apply to you and/or your spouse.
compensation received for service in the armed forces of
• Deaf means the primary way you receive messages is
the United States. Follow instruction (a) if you performed
through a sense other than hearing (e.g., lip reading or
all of your services in the City of Detroit. Use instruction
(b) if you performed part of your services in the City of
sign language).
Detroit and part of your services outside the City of
• Blind means your better eye permanently has 20/200
Detroit.
vision or less with corrective lenses or your peripheral
field of vision is 20 degrees or less.
7
a) Nonresidents who worked 100 percent of the year in the
City of Detroit enter total wages, salaries, commission, etc.
All of your wages, including vacation pay, holiday pay,
bonuses and disability income (except that portion which
can be excluded under the Internal
Revenue Code) are
taxable. All wages are considered to be from the location
where the employee performed services.
b) Nonresidents who performed part of their services
in the City of Detroit are required to complete
Part 3 on the City of Detroit Withholding Tax Schedule
(Form 5121), page 2. Enter total wages earned in the City
of Detroit from the sum of Column H on Form 5121,
page 2. Form 5121 and the City of Detroit Withholding
Tax Continuation Schedule (Form 5253) are not required
to determine Detroit commissions. Those paid by
commission should enter actual commissions earned in
the City of Detroit on line 9.
Line 10: Enter net profit or loss from business (including
farm income) or profession. Include income reported on
Form 1099-MISC if the work occurred inside the City
of Detroit. Use Part 5 to apportion income to the City of
Detroit if business activity occurs both inside and outside
the City. Business income from activity that occurs in a
qualified renaissance zone should be excluded. You must
include a copy of U.S. Schedule C or Schedule F.
Line 11: Enter the gains and losses from the sale or
exchange of real or tangible personal property located in
the City of Detroit. Include schedules from your federal
income tax return to support line 11. Gains or losses on
sale of intangible assets (e.g., stocks, bonds) are neither
taxed nor deductible by nonresidents on the Detroit
return.
The portion of a gain that is due to ownership prior to
July 1, 1962, may be deducted from taxable income.
See the instructions for line 33. If the sale of property
acquired prior to July 1, 1962 results in a loss, exclude
from your loss the portion of the loss due to ownership
prior to July 1, 1962. Use one of the methods described
in the instructions for line 33 to determine the amount of
loss to exclude.
Line 12: Enter the net profit or loss from rentals of
real and tangible personal property located in the City
of Detroit. Include U.S. Schedule E from your federal
income tax return to support line 12. If rental income
is from property in an eligible renaissance zone the
net income may be excluded and the Renaissance
Zone approval letter from the City of Detroit should be
submitted.
Line 13: Report your share of the Detroit partnership
income (or loss) on line 13. If you are a shareholder in a
tax-option corporation that has elected to file under
Sub-Chapter S of the Internal Revenue Code, you are not
required to report a distribution, nor may you deduct your
share of any loss sustained by the corporation.
Line 13 should include other City of Detroit income
subject to tax that is not reported elsewhere on this return.
Add the amounts from City of Detroit Activities:
• Income or Loss from Partnerships and Income or Loss
from Estates and Trusts of the U.S. Schedule E.
Include copy of federal Schedule K-1 for your share
of partnership losses on City of Detroit activities and
U.S. Form 8582.
Line 18: If you can be claimed as a dependent by another
taxpayer and this line is less than $600 enter $0 on Line 19.
PART 2: Credits and Payments
Line 20: Enter the amount of city income tax withheld
from Form 5121, line 5. W-2 forms are no longer
accepted. File Form 5121 and Form 5253 when applicable.
The credit for withholding may be denied if you do not
complete and include Form 5121.
Use Form 5253 when you have more than eight W-2s to
list on Form 5121. Carry the total from column E on Form
5253 and add it to the total on line 5 on Form 5121.
Line 21: Enter total payments made on a 2023 City
Estimated Individual Income Tax Voucher (Form 5123).
Include the amount of your credit forward from the prior
year and payments made with extensions for 2023.
Line 22: Enter the amount of city income tax paid for you
by a partnership from Form 5121, line 6.
Use Form 5253 when you have more than three
partnerships to list on Form 5121. Carry the total from
column C on Form 5253 and add it to the total on line 6
on Form 5121.
PART 3: Refund or Tax Due
Line 24a: If line 19 is greater than line 23, subtract
line 23 from line 19. Enter the difference on line 24a.
Line 24b: You will owe interest for late payment of
tax if you pay after the due date. The interest rate is
1 percent above the adjusted prime rate and is
adjusted on January 1 and July 1 of each year.
Interest is charged from the original due date of
the return to the date the balance of the tax is
paid. The interest rate through June 30, 2024 is
9.30 percent annually (.0002541 daily rate). For interest
rates after June 30, 2024 visit www.michigan.gov/citytax
or call 517-636-5829. Calculate your interest, if applicable,
and enter on line 24b.
Line 24c: You will owe penalty for late payment of tax if
you pay after the due date. Penalty accrues monthly at one
percent of the tax due, and increases by an additional one
percent per month (a partial month is considered a full
month for the purposes of calculating penalty). Calculate
your penalty, if applicable, and enter on line 24c.
Line 24d: Typically, if you owe more than $100, you
are required to make estimated payments. You may owe
penalty and interest for underpayment, late payment, or
for failing to make estimated tax payments. Use the City
Underpayment of Estimated Income Tax (Form 5338)
to compute penalty and interest. If you do not file Form
5338, Treasury will compute your penalty and interest and
send you a bill. Enter the penalty and interest due from
Form 5338, line 28.
Line 24e: Add lines 24a through 24d and enter the total
on line 24e. This is the total balance due with your return.
If the balance due is less than $1, no payment is required,
but you must still file your return.
See “Pay” address on page 3 of Form 5119. Make checks
payable to “State of Michigan - Detroit” or visit
www.michigan.gov/citytax to pay electronically.
8
Line 27: Subtract line 26 from line 25. The Department
of Treasury does not refund amounts less than $1. Mail
your city income tax return to the “Refund or zero
returns” address on page 3 of Form 5119.
PART 4: Subtractions from Income
Subtractions are allowable to the extent the expenses are
applicable to income reported on this return.
Line 28: Ordinary, necessary, reasonable and
unreimbursed expenses paid or incurred by an individual
in connection with the performance by an individual
of services as an employee may be deducted from gross
income in determining income subject to the tax to the
extent the expenses are applicable to income taxable
under this ordinance. The expenses are limited to the
following:
• Expenses of travel, meals and lodging while away from
home.
• Expenses incurred as an outside salesman who works
away from their employer’s place of business.
• Expenses of transportation.
• Expenses under a reimbursement or other expense
allowance arrangement with your employer, where the
reimbursement or allowance has been included in total
compensation reported.
Documentation that the activity was authorized by your
employer and verification of expenses may be required.
Miscellaneous business expenses such as professional
dues, supplies, education and others not covered above
are not deductible for City of Detroit tax purposes. If the
employee expenses relate to a position where wages are
apportioned on Form 5121, Part 3, only report the Detroit
share of the expenses here.
Line 29: Contributions to an Individual Retirement
Account may be deducted. The IRA deduction is only
allowable for taxpayers with City of Detroit earned
income to the extent the income is subject to tax. IRA
deductions are limited to contributions eligible for
deduction on the federal income tax return.
Line 30: To compute the alimony deduction, divide line
14 by your federal AGI (before alimony deductions).
Multiply that amount by the amount of alimony paid. The
alimony deduction for payers only applies to those who
have a court order issued before January 1, 2019.
Line 31: Moving expenses incurred by members of
the Armed Forces on active duty pursuant to a military
order and incident to a permanent change of station that
qualify under the Internal Revenue Code as a deduction
on your federal return may be deducted on your City of
Detroit return. The City of Detroit deduction is limited to
moving expenses in connection with new employment in
the Detroit area. Multiply eligible expenses by the ratio
of Detroit taxable income after the move to total income
after the move. Include U.S. Form 3903 with your return.
Line 32: Enter only net profits included on line 14.
Line 33: Enter gain on property purchased prior to July 1,
1962 which must be determined by one of the following
methods:
1. The basis may be the adjusted fair market value of the
property on July 1, 1962 (July 2nd closing price for traded
securities), or
2. Divide the number of months the property has been
held since June 30, 1962 by the total number of months
the property was held, and apply this fraction to the total
gain as reported on your federal income tax return.
PART 5: Business Income Apportionment
Only complete this section if you had business income on
U.S Schedule C or E. Part 5 of Form 5119 is to apportion
income to the City of Detroit if business activity occurs
both inside and outside the city. Business income does not
include income from S-Corporations. If you have income
from more than one business to apportion, complete a
City of Detroit Business Income Apportionment Schedule
(Form 5327). You may complete as many continuation
schedules as needed. Do not file this form. Retain a copy
for your records.
NOTE: If you have a separate business name or Federal
Employer Identification Number (FEIN) for your
business, enter those in the space provided.
Line 35: Enter in Column A the average net book value
of ALL real and tangible personal property owned by the
business regardless of location. In Column B, enter the
average net book value of the real and tangible personal
property owned and located in the City of Detroit.
The average net book value of real and tangible personal
property may be determined by adding the net book
value at the beginning of the year and the net book value
at the end of the year and dividing the sum by two. If
this method will not properly reflect the average net
book value of tangible property owned during the year,
any other method that will accurately reflect it will be
permitted.
Line 36: Enter in Column A the gross annual rent
multiplied by eight for all rented real property regardless
of location. In Column B, enter the gross annual rent
multiplied by eight for rented real property located in the
City of Detroit. Gross annual rent should include money
and other considerations given for the use or possession of
real property rented or leased.
Line 38: Enter in Column A total compensation paid
to all employees during the year. In Column B, show
compensation paid to employees for work or services
performed within the City of Detroit.
Line 39: Enter in Column A the total gross revenue from
all sales or services rendered during the year. In Column
B,
show the amount of revenue derived from sales made or
services rendered in the City of Detroit. Rental income is
to be considered as derived from services rendered and is
to be included in gross receipts.
Line 41: If column A has an amount greater than zero on
each of lines 37, 38 and 39, divide line 40 by 3. If column
A is zero for any of lines 37, 38 or 39, then divide line 40
by the number of factors that include an amount greater
than zero in column A.
If the entire business operation is conducted inside the
City of Detroit, your percentage should be 100 percent.
In the case of a taxpayer authorized by the City of Detroit
Finance Director to use another apportionment formula,
retain a copy of the approval letter. Treasury may request
a copy of your approval letter.
Note: Do not complete this line if you did not complete
lines 35 through 39.
9
Line 42: Enter net profit (or loss) per U.S. Schedule C or
U.S. Schedule F.
Line 44: The city net operating loss (NOL) carryover is
limited for NOLs created in 2018 and future years. Enter
the full amount of NOL carryovers from NOLs created
before 2018 (Group 1). For NOLs created in 2018 and
future years (Group 2), enter the lesser of the Group 2
NOL carryover or 80% of the income subject to tax after
deducting Group 1 NOLs. The calculation may be made
using a worksheet found on the City Income Tax website
at www.michigan.gov/citytax. Net operating losses may
only be carried forward.
If less than 100 percent of business activity was
conducted in the City of Detroit in the year in which the
loss was sustained, the apportionment percentage in the
loss year must be applied.
Line 45: Enter the applicable part of self-employment
retirement deduction. Multiply deduction from
U.S. Form 1040, Schedule 1 by line 41.
PART 6: Amended Return
IMPORTANT: If you are amending, you must place an
“X” on page 1 of your amended return.
Line 48: Enter the reason for amending your return.
Complete the AMENDED RETURN WORKSHEET. Do
not mail the amended return worksheet; retain for records.
Include all payments made with the original City of
Detroit Income Tax return on line 21. If line 25 computes
to be an overpayment, it should be adjusted to reflect
original refunds and credits from the AMENDED
RETURN WORKSHEET.
AMENDED RETURN WORKSHEET
Line 1: Overpayment from
amended Form 5119, line 25
........... $
Line 2: Refund from original
Form 5119, line 27
........................... $
Line 3: Amount credited to
estimated tax from amended
Form 5119, line 26.
..........................
$
Line 4: Subtract lines 2 and 3 from
line 1. If greater than zero, enter
amount to be refunded here and on
amended Form 5119, line 27
........... $
Line 5: Subtract lines 2 and 3
from line 1. If less than zero, enter
amount as tax due here and on Form
5119, line 24a
..................................... $
PART 7: Certication
Sign and date your tax return. If filing a joint return, both
the filer and spouse must sign the return.
If the tax preparer is someone other than the taxpayer,
he or she must enter the business name, address and
telephone number of the firm he or she represents and
Preparer Tax Identification Number (PTIN), Federal
Employer Identification Number (FEIN), or Social
Security number. Check the box to indicate if Treasury
may discuss your return with your tax preparer.
Line-by-Line Instructions for Form 5120,
2023 City of Detroit Part-Year Resident Income Tax Return
Lines not listed are explained on the form.
If you do not meet the requirements for filing a return, but
Detroit tax was withheld or estimated tax paid, a return
must be filed to obtain a refund of tax withheld.
Line 1: Only married filers may file joint returns. You
must complete the address section of the City of Detroit
return. If one or both of the taxpayers is deceased, write
“DECD” after the decedent’s last name.
Lines 2 and 3: Print your full Social Security number(s).
Line 5: Place an “X” in the box to identify your filing
status. An individual who is married for federal purposes
must either file a joint return with her/his spouse or file
using the status married filing separately. If your status
is married filing separately (box c), print your spouse’s
full name in the space provided and be sure to print his
or her full Social Security number on line 3. If you filed
your federal return as head of household or qualifying
surviving spouse, file your city return as single.
Line 6: Enter your dates of residency in 2023. If you were
a resident in the City of Detroit January 1, 2023 through
December 31, 2023, file a City of Detroit Resident Income
Tax Return (Form 5118).
Line 8: Enter the number that applies to you and your
spouse only for lines 8a-8c. Enter the number that applies
to you, your spouse, and your dependents on lines 8d and
8e, as of December 31, 2023.
Line 8a: Enter “1” if you are single or married filing
separately; “2” if you are married filing jointly. Do
not claim an exemption on line 8a if you are a taxpayer
eligible to be claimed as a dependent by another taxpayer.
Line 8b: You qualify for this exemption if you are 65
years of age or older. This applies for you and/or your
spouse only.
Line 8c: You and/or your spouse qualify for this
exemption if you are deaf, blind, hemiplegic, paraplegic,
quadriplegic, or totally and permanently disabled.
You may claim as many as apply to you and/or your
spouse.
• 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.
10
