Background
The 132nd Ohio General Assembly enacted Am. Sub. H.B. 49, the State’s general appropriations bill for the biennium, which included modifications to Ohio Revised Code Chapter 718, Municipal Income Tax. Section 803.100 of that Bill relies upon R.C. Section 718.04(A) purporting to make municipal income tax authority conditional upon the adoption of code sections as dictated by the State. This ordinance authorizes the adoption of a new Section 362.067 and the modification of existing Section 362.093(D) of Chapter 362, Columbus City Codes. These modifications incorporate the language found in R.C. Sections 718.80 through 718.95, which permits non-individual taxpayers doing business in Columbus to elect to be subject to the referenced sections of the Revised Code as relates to the administration and collection of the Columbus net profits income tax, and designates the State Tax Commissioner as the sole administrator of the municipal tax, prescribing all forms, adopting any rules and applying the laws of the State of Ohio with regard to those making such election.
Emergency Action is being requested in order amend the Columbus City Code, Chapter 362 in order to incorporate the modifications to the Ohio Revised Code Chapter 718, Municipal Income Tax.
Explanation
These amendments facilitate the administration and collection of the net profit tax due to the City of Columbus, in the form of quarterly declarations of estimated tax as well as any annual payments and filings, by the State of Ohio Department of Taxation, and the payment of such tax due to the Treasurer of the State of Ohio. The Treasurer of the State of Ohio will remit any taxes paid by those taxpayers electing to state administration of municipal net profit tax no less than 60 days following payment by the taxpayer as opposed to immediately upon receipt as when administered and collected by the City. This deferred receipt will impact the daily revenue stream of the City and skew all reports re...
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