What is a Treasury Clearance?
A Treasury Clearance verifies that individuals and businesses owe money to the City of Detroit.
- Have you filed all required returns?
- Have you paid all the outstanding amounts?
- Have you paid your employees and filed withholding?
Who needs Treasury Clearance?
All Detroit-based businesses that require a business license, and individuals and businesses that conduct business directly with the City of Detroit.
- Do you need a business license?
- Are you a seller or potential seller in town?
- Are you looking for a Detroit based certification?
- Are you a contract city employee?
- Are you a casino worker?
If you answered yes to any of the above, you need a Treasury Clearance
How do you get treasury clearance?
- Collect your information
- Company name, address and tax ID number
- Type of tax filing (individual, corporation or partnership)
- Do you have employees? If yes, do they get a 1099 or W2 from you?
- How long have you worked within Detroit city limits or worked with a City of Detroit government agency? If you haven’t started yet, when do you plan to?
- Please fill out the application at the link below.
Note: The application should be completed by someone who is familiar with your entity and is authorized to receive tax information. Prefer an owner/principal with knowledge of tax structures.
- You must select from the following application types (see below for more information on each type):
- Sole Proprietor/Single Member LLC
- Limited Liability Company (LLC)
- You need to complete two “pages”.
Note: Both pages are required to complete your application.
Page 1 – Application
Page 2 – A docusign form to securely submit your EIN or SSN
What happens after you submit your application?
- The clearance team will process your application. Status updates sent within 5-7 business days.
- If you miss an income tax return or have arrears to the City, your application will be rejected. You will receive an email with the status of your clearance and information on remedying the denial.
- If all returns are filed and no amount is due, you will be approved. You will receive an email notifying you of approval.
- If you believe you’ve received a rejection in error, contact us!
Application for personal clearance
A person seeking to do business with the City of Detroit but not applying for business. All residents of the city must file a separate income tax return and all non-residents earning income in the city must file a return.
Please select the type of business entity applying
Corporate Clearance Application
A corporation filing is a separate form from its owners (shareholders) for income tax purposes. A corporation pays income tax by filing a corporate tax return and paying the tax indicated by the return. All corporations must file income tax returns, whether they have taxable income or not.
Application for partnership license
A partnership files an information return to report their income, gains, losses, deductions, credits, etc. A partnership does not pay tax on its income but “passes through” any profits or losses to its partners Partners in a business must include partnership items on their tax or information returns.
Sole Proprietor/Single Member LLC
Sole Proprietor/Single Member LLC Application
A sole proprietor/single member LLC filing is a business that does not exist legally separate from the owner. Income and losses are taxed on the individual’s personal income tax return. It is an entity that is managed and owned by an individual and where there is no distinction between owner and business
Limited Liability Company (LLC)
LLC Clearance Application
An LLC filing is where the owner reports business income and losses on their personal tax return. An LLC has the pass-through taxation style of a partnership or sole proprietorship but has the same personal limited liability benefits as a corporation.
Non-Profit License Application
Non-profit corporations are formed where the members may not receive any profits of the corporation. Some of the purposes for which nonprofit corporations are typically formed are religious, educational, and charitable activities.
Estate and trust income tax returns are similar to those filed by an individual or business but for a decedent’s estate or living trust after his death. The report reports income, capital gains, deductions and losses, but is subject to slightly different rules than those applicable to living persons.