Mich. Admin. Code R 205.4111 — Alternative storage media

Rule 11. (1) For purposes of storage and retention, a taxpayer may convert hard -
copy documents received or produced in the normal course of business and required to be
retained under these rules to microfilm, microfiche or other storage -only imaging
systems and may discard the original hard -copy documents, provided that all other
requirements of these rules are met. Documents which may be sto red on these media
include, but are not limited to, general books of account, journals, voucher registers,
general and subsidiary ledgers, and supporting records of details, such as sales invoices,
purchase invoices, exemption certificates, and credit memoranda.
(2) Microfilm, microfiche, and other storage -only imaging systems shall meet the
following requirements:
(a) Documentation establishin g the procedures for converting the hard -copy
documents to microfilm, microfiche or other storage -only imaging system shall be
maintained and made available to the department at the department's request. The
documentation shall, at a minimum, contain a sufficient
description to allow an orig inal document to be followed through the conversion
system as well as internal procedures established for inspection and quality assurance.
(b) Procedures shall be established for the effective identification, processing,
storage, and preservation of the stored documents and for making them available f or the
period they are required to be retained under R 205.4113.
(c) At the department's request, a taxpayer shall provide facilities and equipment
for reading, locating, and reproducing any documents maintained on microfilm,
microfiche, or other storage-only imaging system.
(d) When displayed on such equipment or reproduced on paper, the documents shall
exhibit a high degree of legibility and readability. For this purpose, legibility is defined
as the quality of a letter or numeral that en ables the observer to identify it positively and

quickly to the exclusion of all other letters or numerals. Readability is defined as the
quality of a group of letters or numerals being recognizable as words or complete
numbers.
(e) All data stored on microfilm, microfiche, or other storage -only imaging systems
shall be maintained and arranged in a manner that permits the location of any
particular record.
(f) There is no substantial evidence that the microfilm, microfiche, or other
storage-only imaging system lacks authenticity or integrity.