Porch Notes
Does St. Ignace have a city income tax?
Money and taxes
Good news for your paycheck: no. Michigan is one of the few states that lets its cities charge a local income tax on top of the state’s, but only about two dozen Michigan cities actually do it — and not one of them is in the Upper Peninsula. St. Ignace doesn’t charge one, and neither does anywhere else up here.
In fact, the nearest city with a local income tax is Grayling, about ninety miles south, on the other side of the Mackinac Bridge in the Lower Peninsula. Unless you commute all the way down there for work, it won’t touch your earnings.
So whether you settle in St. Ignace, out in one of the townships, or over on Mackinac Island, your wages stay yours as far as any city income tax is concerned — one less thing to budget for when you’re figuring out the cost of living up here.
Sources
Last reviewed against the listed sources: June 7, 2026.