Does Onaway have a city income tax?
No. Onaway is not on Michigan Treasury's current list of 24 cities that levy a local income tax. A taxing work city may still have nonresident rules.
No. Onaway does not levy a city income tax. Michigan Treasury’s current list names 24 cities with local taxes tied to income, and Onaway is not one of them. Living or working inside Onaway therefore does not create an Onaway income-tax bill.
The wrinkle is where you work. If your job is inside one of Treasury’s listed cities, that city may have withholding and filing rules for nonresidents even though your home is in Onaway. Check the work city’s current forms or ask a tax professional about your particular return.
A quick paystub check helps. Withholding labeled “Michigan” is the state tax. A separate city line should identify the municipality. If city tax is being withheld, ask payroll which work location and city rule it used. Treasury’s list links directly to each taxing authority, where the current forms, filing rules, and taxpayer help live.
Do not rely only on a mailing address. A postal address can use a nearby city name without placing the property or job inside that city’s legal limits. Hybrid and remote work can also make the answer less obvious. If work happened in more than one place, follow the taxing city’s current instructions rather than guessing how to split the income.
The same caution applies to self-employment or business income earned in a taxing city. Treasury notes that municipal income taxes can include individual, withholding, corporate, partnership, and fiduciary taxes. Start with the listed city’s own tax office because the form and filing question belongs to that city, not Onaway.
City income tax is also separate from Michigan’s state income tax and from property taxes. So the practical answer is not “no taxes”; it is simply no Onaway city income tax. If you are comparing a home or a paycheck, check the property and work location separately.
Sources
Last reviewed against the listed sources: July 16, 2026.