Who is required to remit payroll withholding tax? What is Michigan's 2023 payroll withholding tax rate?• Copies of federal W-4s; for state tax, use the official MI-W4 only. Do not attach MI-W4 forms to any Sales, Use, and Withholding tax return. If you are eligible, MDHHS will also use your income and assets to decide your benefit amount. MDHHS will count most of your earned and unearned income. Complete the withholding tables using information from your W-2, 1099 and MI-4919 forms, and any other documents that report Michigan tax withheld. The information supplied on the MI-W4 form is used to determine the amount of Michigan income tax to withhold from your paychecks. To determine each employee's place of residence and predominant place of employment, you must have each employee fill out an Employee's Withholding Certificate,. Every Michigan employer required to withhold federal income tax under the Internal Revenue Code must be registered for and withhold Michigan income tax.