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CITY OF IONIA
INCOME TAX DIVISION
INSTRUCTIONS FOR FORM I-501, EMPLOYER’S MONTHLY DEPOSIT OF INCOME TAX WITHHELD,
AND FORM I-941, EMPLOYER’S QUARTERLY RETURN OF INCOME TAX WITHHELD
A. MONTHLY DEPOSITS AND QUARTERLY RETURNS
1. Monthly deposits are made using Form I-501. Remittance in full payable to the City of Ionia is required.
Monthly deposits are due on the last day of the month following the month withheld. Example: The monthly
deposit, Form I-501, for May is due June 30.
2. Quarterly returns of Ionia Income Tax withheld are filed using Form I-941. Remittance in full payable to City of Ionia
is required. Quarterly returns and payments are due on the last day of the month following the end of
the quarter. The quarterly return, Form I-941, for the first quarter is due April 30.
3. Mail monthly deposits, Form I-501, and quarterly returns, Form I-941, to the Ionia Income Tax D ivision, P.O.Box
512, Ionia, MI. 48846
4. A quarterly return, Form I-941, is required even though no tax was withheld during a quarter. Under such
circumstances, a quarterly return, Form I-941, must be filed showing zero tax withheld.
5. If the payment of wages has been temporarily discontinued for any reason, such as the seasonal nature of the
business, the employer must continue to file returns.
B. INITIAL RETURNS
1. Registration via phone accepted at (616) 523-0142. Withholding forms and an employer’s registration packet will
be mailed immediately.
2. If you cannot wait for forms to timely file your first return, include a letter with your withholding tax payment
providing (FEIN), d.b.a., address, mailing address and period covered.
3. If you have applied for, but not yet received, an FEIN, write “FEIN Pending” in place of the FEIN. A temporary
number will be assigned. Notify the Income Tax Division as soon as you receive your FEIN.
4. If a business is sold or transferred at any point during a reporting period, both the old and new employer must file
returns for the period. Neither employer should report tax withheld by the other, both employers should use their
own FEIN numbers. Also see instructions for Final Returns.
C. FINAL RETURNS – NOTICE OF CHANGE OR DISCONTINUANCE
1. If no wages are to be paid in the future, complete and file a Notice of Change or Discontinuance.
2. If the business has been sold or transferred, provide the name of the new owner(s), the date transferred and their
FEIN. Also, provide the name, address and telephone number of the person who will have custody of the books
and records of the discontinued business.
3. When discontinuing a business, the Employer’s Annual reconciliation of Income Tax Withheld, Form IW-3, and a
W-2 form for each employee must be filed. These forms are due by the end of the month following the end of the
quarter of discontinuance.
D. ALL EMPLOYERS
1. Forms should be used in filing returns. If you do not have forms for filing, contact the Income Tax Division at
(616) 523-0142 so forms can be mailed to you prior to the due date.
2. If your name, address or FEIN has changed during the year a Notice of Change or Discontinuance should be
completed and filed.
3. Form I-941 provides a space for adjustments to correct mistakes made on prior returns from the current calendar
year. When an adjustment is reported it must be accompanied by a statement explaining the adjustment. DO NOT
TAKE CREDIT FOR A PRIOR YEAR’S OVERPAYMENT . You must file a claim for refund of any prior year’s
overpayment.
4. Calculate and remit penalty and interest on all delinquent tax payments and delinquent returns. Call (616)
523-0142 for help in calculating the penalties and interest.
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