Corporate tax planning is the year-round process of structuring your business, timing income and expenses, and using available credits and incentives to manage taxes within the tax law. For privately held businesses, including private equity portfolio companies, as well as manufacturing and real estate and construction companies, proactive planning can help uncover opportunities you otherwise may miss.
At Cohen & Co, we combine large-firm technical depth with hands-on, partner-level involvement and personal attention that focuses on putting the client at the core. We see your organization from every angle, helping Michigan business owners and finance leaders make more informed decisions.
Jump to: Entity Types | Michigan Tax Opportunities | Tax Planning Services for Businesses Like Yours
Understanding how your business is taxed is the foundation of effective entity tax planning in Michigan.
Michigan levies a 6% corporate income tax on C Corporations and entities taxed as corporations for federal purposes. For companies operating in multiple states, planning often centers on apportionment, credits and incentives, and how the corporate structure aligns with owner-level tax goals. The right strategy can help businesses evaluate tax impacts before making investments, acquisitions or expansion decisions.
Most privately held businesses operate as flow-through entities, meaning income generally passes through to owners and is taxed at the individual level. Michigan's elective flow-through entity tax may provide planning opportunities for certain businesses, but the decision depends on an owner’s specific circumstances and should be evaluated carefully. Rather than treating the election as a default choice, we help clients model potential outcomes and determine whether it aligns with their broader tax objectives.
Related resource: Michigan Flow-Through Entity Tax
Businesses with a presence in Detroit may also be subject to local tax requirements in addition to federal and Michigan obligations. Effective planning considers the full picture, including state and local tax implications, so businesses can evaluate opportunities and obligations across all jurisdictions.
Related resource: State and Local Tax Services
Our tax planning services are designed to help businesses navigate both day-to-day compliance and long-term strategic decisions:
Related resources: Federal Tax Planning and Compliance | State and Local Tax | Tax Credits and Incentives | Transaction Tax Planning
Michigan's research and development (R&D) credit creates opportunities for businesses investing in innovation. Eligible businesses may qualify for credits based on qualified Michigan R&D expenses, and additional benefits may be available for collaboration with Michigan research universities.
Because filing requirements, deadlines and statewide credit limitations apply, businesses should evaluate eligibility well before year-end. Our team can help determine whether the credit may fit into a broader tax planning strategy.
Related resources: Michigan Research and Development Credit | Tax Credits and Incentives
Michigan manufacturers may qualify for property tax and sales tax exemptions tied to industrial processing and manufacturing activities. These provisions can affect equipment investments, facility planning and operating costs.
For businesses expanding facilities or making capital investments, reviewing eligibility before filing deadlines can help identify opportunities that support long-term growth.
Federal tax legislation, specifically from the OBBBA, continues to create planning opportunities for manufacturers, developers and growing businesses. Areas such as bonus depreciation, R&D expenditures and Section 179 expensing may impact investment decisions and capital planning.
Our team helps clients understand how changing federal tax rules may affect both current operations and future growth plans.
Related resources: One Big Beautiful Bill Act Resource Center | Tax Impact for Private Companies Article | Manufacturing
Many of the most valuable tax planning opportunities require time to evaluate and implement. Equipment purchases, accounting method changes, entity elections and transaction planning often produce better results when addressed before year-end deadlines arrive.
Related resources: Year-End Tax Planning Guide | Year-End Tax Planning Webinar
Our tax planning services for businesses help owners and finance leaders navigate growth, new facilities, ownership transitions and planned sales. We work with manufacturing, wholesale and distribution, transportation and logistics, and professional service companies to connect company-level and owner-level tax planning.
Whether you’re preparing for succession, evaluating expansion opportunities or planning for a future transaction, we help align tax strategy with business objectives.
Related resources: Private Companies | Manufacturing | High Net Worth and Wealth Transfer
Real estate developers, investors and construction businesses often face unique planning considerations involving depreciation, cost segregation, credits and incentives, multi-entity structures and more.
We help clients evaluate planning opportunities related to property acquisitions, development projects and ownership changes while coordinating tax considerations with broader business goals.
Related resources: Real Estate and Construction | Qualified Opportunity Zones
Private equity firms and portfolio companies face complex tax issues throughout the deal life cycle. We support clients, whether buy-side or sell-side, with due diligence, transaction tax planning and structuring, post-deal integration and portfolio company compliance beyond the sale.
During fast-moving transactions, clients benefit from direct access to partners and coordinated support.
Related resources: Private Equity | Transaction Tax Planning | Buy-Side Due Diligence | Sell-Side Due Diligence
Tax preparation reports what happened. Tax planning helps shape what comes next. Our team works alongside business owners and finance leaders throughout the year to evaluate changing tax laws, transactional tax opportunities and other tax planning strategies that may affect the business.
Clients gain access to a deep bench of tax specialists while maintaining direct relationships with local partners who understand Michigan businesses. Our 300 tax practitioners focus on everything from federal, state and international tax; to tax credits and incentives; to digital asset taxation.
Tax planning doesn't happen in isolation. Our professionals coordinate with your assurance and transaction advisory teams, as appropriate, to provide connected guidance across the business life cycle.
Related resources: Michigan Audit and Assurance | Michigan Outsourced and Fractional CFO | Transaction Services
Our downtown Detroit office opened in 2016 in the city’s central business district. In 2026, we added our Troy office, a community that is home to more than 6,000 companies. Michigan clients work directly with local partners who are a phone call away.
“Our team has always exceeded our expectations. They are always there when we reach out. We feel Cohen & Co is a #1 accounting firm, and we are very happy to be associated with the firm.” – GuestRaunt, Inc.
Michigan corporate tax filing requirements vary based on business structure and other factors. Businesses subject to Michigan’s Corporate Income Tax generally file an annual return, and some may also need to make quarterly estimated payments. Filing requirements and deadlines can differ for calendar-year and fiscal-year businesses, so reviewing obligations early can help avoid missed deadlines.
Corporate tax planning is the year-round process of structuring a business, timing income and expenses, and evaluating available credits and incentives to manage tax obligations within the law. It differs from tax preparation, which reports past activity.
Yes. Michigan imposes a corporate income tax on C Corporations. Other business structures may be taxed differently, and local taxes may also apply depending on location and operations.
The flow-through entity tax is an elective tax available to eligible entities. Whether it makes sense depends on ownership structure, federal tax considerations and individual circumstances, making modeling and analysis important.
Potential opportunities may include the Michigan R&D credit, manufacturer-related exemptions and various federal incentives. Eligibility depends on the facts and circumstances of each business.
As early as possible. Many planning strategies require time to evaluate and implement before year-end deadlines.
The cost depends on the scope of services, whether the engagement involves ongoing planning, a transaction or a specific study. An initial conversation helps define goals and determine the appropriate level of support.
Proactive planning helps business owners and finance leaders make decisions with a clearer understanding of potential tax impacts. Whether you’re evaluating a transaction, planning for growth or preparing for year-end, our Detroit and Troy teams can help you identify opportunities and navigate what’s next.
Our Michigan Offices |
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| Detroit 1505 Woodward Avenue, Floor 2 Detroit, MI 48226 |
Troy 1301 W. Long Lake Road, Suite 200 Troy, MI 48098 |
Not ready to talk? Download our latest Year-End Tax Planning Guide for Private Companies.