Village of Anywhere Income Tax Department

The information herewithin is subject to amendments by City Council

Income Tax Ordinance

Section 01:  Definitions
Section 02:  Purpose
Section 03:  Imposition
Section 04:  Effective Date
Section 05:  Return and Payment
Section 06:  Collection at the Source
Section 07:  Declarations
Section 08:  Administration
Section 09:  Investigative Powers of the Income Tax Administrator
Section 10:  Interest and Penalties
Section 11:  Collection of Unpaid Taxes and Refunds of Overpayments
Section 12:  Allocation of Funds
Section 13:  Board of Review
Section 14:  Exemptions
Section 15:  Refunds
Section 16:  Term
Section 17:  Tax Credit to Residents
Section 99:  Penalty

193.01  DEFINITIONS.

For purposes of this chapter, the following words and phrases shall have the following meanings ascribed to them respectively.

(a)  “Administrator” means the individual designated by this chapter, whether appointed or elected, to administer and enforce the provisions of this chapter.

(b)  “Association” means a partnership, limited partnership or any other form of unincorporated enterprise, owned by two or more persons.

(c)  “Business” means an enterprise, activity, profession or undertaking of any nature conducted for profit or ordinarily conducted for profit, whether by an individual, partnership, association, corporation or any other entity, including but not limited to, the renting or leasing of property.

(d)  “Corporation” means a corporation or joint stock association organized under the laws of the United States, the State of Ohio, or any other state, territory, foreign country or dependency.

(e)  “Employee” means an individual whose earnings are subject to the withholding of federal income tax or social security tax.

(f)  “Employers” means an individual, partnership, limited partnership, association, corporation, governmental body, unit or agency, or any other entity who or that employs one or more persons on a salary, wage, commission or other compensation basis.

(g)  “Gross receipts” means the total income from any source whatsoever.

(h)  “Net profits” means the net gain from the operation of a business, profession or enterprise, after provision for all cost and expense incurred in the conduct thereof, including reasonable allowance for depreciation, depletion, amortization and reasonable additions to reserve for bad debts, either paid or accrued in accordance with recognized principles of accounting applicable to the method of accounting regularly employed, and without deduction of federal taxes based on income, and without deducting taxes imposed by this chapter.

(i)  “Nonresident” means an individual, partnership, limited partnership, corporation, association or other entity domiciled outside the City.

(j)  “Other entity” means any person or unincorporated body not previously named or defined including, inter alia, fiduciaries located within the City.

(k)  “Person” means every natural person, partnership, limited partnership, corporation, fiduciary or association.  Whenever used in any clause prescribing and imposing a penalty, “person,” as applied to any association, means the partners or members thereof, and as applied to corporations, the officer thereof.

(l)  “Resident” means an individual, partnership, limited partnership, corporation, association or other entity domiciled in the City.

(m)  “Taxpayer” means a person, whether an individual, partnership, limited partnership, corporation, association or other entity, required hereunder to file a return or to pay a tax hereunder.

 The Singular shall include the plural and the masculine shall include the feminine and the neuter.

 (n)  “Third party sick pay” means payments received by an employee from either an individual, partnership or corporation who or that has received a premium or other payment from the employer to insure that such payments be made to the employee for periods of time such employee was sick or on temporary disability and not physically working for the employer and the payments are to be considered either wages, salary or other compensation and taxable under this chapter.  (1979 Code 98.01)

 
193.02  PURPOSE.

To provide funds for the purposes of general municipal operations, maintenance of equipment, extension and enlargement of municipal services and facilities, and capital improvements of the City, there shall be levied a tax on salaries, wages, commissions and other compensation, and on net profits as hereinafter provided.
(1979 Code 98.02)


193.03  IMPOSITION.

Subject to the provisions of Section 193.16, an annual tax shall be imposed on and after January 1, 1977, at the rate of one percent (1%) per annum, on the following:

(a)  On all salaries, wages, commissions and other compensation earned on and after January 1, 1977, by resident individuals of the City.

(b)  On all salaries, wages, commissions and other compensation earned on and after January 1, 1977, by nonresident individuals of the City for work done or services performed or rendered in the City.

(c)  On the net profits attributable to the City, earned on and after January 1, 1977, of all resident unincorporated businesses, professions and other activities derived from work done, rentals or services rendered or performed, and business or other activities conducted in the City. (1979 Code 98.03)

(d)  On the portion of the distributive share of the net profits earned on and after January 1, 1977, of a resident individual, partner, or owner of a resident unincorporated business entity not attributable to the City, and not levied against the unincorporated business entity.  (Ord. 1995-136. Passed 12-19-95.)

(e)  On the net profits attributable to the City on and after January 1, 1977, of all nonresident unincorporated businesses, professions or other activities, derived from work done, rentals or sales made, or services performed or rendered, and business or other activities conducted in the City.

(f)  On the portion of the distributive share of the net profits earned on and after January 1, 1977, of a resident individual, partner or owner of a nonresident unincorporated business entity not attributable to the City, and not levied against the unincorporated business entity.

(g)  On the net profit earned on and after January 1, 1977, of all corporations derived from work done, sales made, or services performed or rendered, and business or other activities conducted in the City.

(h)  Business allocation percentage formula.

(1)  In the taxation of income which is subject to taxation by the provisions of this chapter, if the books and records of a taxpayer conducting a business or profession both within and without the boundaries of the City disclose with reasonable accuracy what portion of the taxpayer’s net profit is attributable to that part of the business or profession conducted within the boundaries of the City, then only that portion shall be considered as having a taxable situs in the City for purposes of income taxation.  In the absence of such records, net profit from a business or profession conducted both within and without the boundaries of the City shall be considered as having a taxable situs in the City for purposes of income taxation in the same proportion as the average ratio of:

(A)  The average net book value of the real and tangible personal property owned or used by the taxpayer in the business or profession in the City during the taxable period to the average net book value of all of the real and tangible personal property owned or used by the taxpayer in the business or profession during the same period, wherever situated.  As used in this subsection, real property includes property rented or leased by the taxpayer, and the value of such property shall be determined by multiplying the annual rental thereon by eight.

(B)  Wages, salaries and other compensation paid during the taxable period to persons employed in the business or profession for services performed in the City to wages, salaries and other compensation paid during the same period to persons employed in the business or profession, wherever their services are performed.

 (C)  Gross receipts of the business or profession from sales made and services performed during the taxable period in the City to gross receipts of the business or profession during the same period from sales and services, wherever made or performed.

 (2)  In the event the foregoing allocation formula does not produce an equitable result, another basis may, under uniform regulations, be substituted to produce that result.

 (3)  As used in subsection (h)(1) hereof, “sales made in the City” means:

 (A)  All sales of tangible personal property which is delivered within the City regardless of where title passes, if shipped or delivered from a stock of goods within the City.

 (B)  All sales of tangible personal property which is delivered within the City, regardless of where title passes, even though transported from a point outside the City, if the taxpayer is regularly engaged through its own employees in the solicitation or promotion of sales within the City, and the sale result from that solicitation or promotion.

 (C)  All sales of tangible personal property which is shipped from a place within the City to purchasers outside the City, regardless of where title passes, if the taxpayer is not, through its own employees, regularly engaged in the solicitation or promotion of sales at the place where delivery is made.

 (i)  The portion of a net operating loss sustained in any taxable year subsequent to the effective date of this section as allocable to the City may be applied against the pro rata portion of the profit of succeeding years allocable to the City until exhausted, but in no event for more than five taxable years.  No portion of a net operating loss shall be carried back against net profits of any prior year.

 (j)  The portion of a net operating loss sustained shall be allocated to the City in the same manner as provided herein for allocating net profits to the City.

 (k)  On all third party sick pay earned or received on and after July 1, 1987, by resident individuals of the City or by nonresident individuals who receive such payments as a result of their employment within the corporate limits of the City.  (1979 Code 98.03) 

 (l) On the gross lottery winnings in excess of $600 per year received by resident individuals on and after January 1, 2001 from a lottery commissioned, conducted, or administered by, but not limited to, the State of Ohio, any other state, United States territory, government-benefit multi-state lottery association, or other similar agency.


193.04  EFFECTIVE DATE.

(a)  The tax shall be levied, collected and paid with respect to salaries, wages, commissions and other compensation earned on and after January 1, 1977, and with respect to the net profit of businesses, professions and other activities earned on and after January 1, 1977.  However, where the fiscal year of the businesses, professions or other activity differs from the calendar year, the tax shall be applied to that part of the net profits for the fiscal year as shall be earned on and after January 1, 1977, to the close of the taxpayer’s fiscal year basis.

(b)  If by operation of law, the commencement date for the levy, collection and payment of the tax provided for by this chapter is postponed, the alternate date for the commencement of the levy, collection and payment of the tax shall be the beginning of the first month after the legal impediment is removed.  (1979 Code 98.04)


193.05  RETURN AND PAYMENT.

(a)  Each taxpayer whose earnings or profits are subject to the tax imposed by this chapter shall, whether or not a tax is due thereon, on or before April 15, 1978, and on or before April 15 of each year thereafter, make and file a final return with the Tax Administrator on a form obtainable from the Tax Administrator, setting forth the aggregate amount of gross salary, wages or other compensation, and gross and net profits earned by the taxpayer during the preceding year or period and subject to the tax, together with other pertinent information as the Tax Administrator may require.  However, when the final return is made for a fiscal year or other period different from the calendar year, the return shall be made within 105 days from the end of the fiscal year or other period.

(b)  The return shall also show the amount of the tax imposed on the earnings and profits.  The taxpayer making the return shall, at the time of the filing thereof, however, pay to the City Treasurer the amount of taxes shown as due thereon.  However, where any portion of the tax has been paid by the taxpayer pursuant to the provisions of this section and Section 193.06, credit for the amount paid shall be deducted from the amount shown to be due, and only the balance, if any, shall be due and payable at the time of filing the final return.

(c)  On written request of the taxpayer, the Tax Administrator may extend the time for filing an annual return for a period of not more than six months or not more than thirty days beyond an extension requested of and granted by the Internal Revenue Service for the filing of the federal income tax return.

(d)  Within three months from the final determination of any federal tax liability affecting the taxpayer’s City tax liability, the taxpayer shall make and file an amended City return showing income subject to the tax based on the final determination of federal tax liability, and pay any additional tax shown due thereon or make a claim for refund of any overpayment.  (1979 Code 98.05; Ord. 1992-49. Passed 10-6-92.)

 

193.06  COLLECTION AT THE SOURCE.

(a)  Each employer within the City who employs one or more persons on a salary, wage, commission or other compensation basis, excluding exempted incomes set forth in Section 193.14, shall deduct at the time of this payment of salary, wage, commission or other compensation, the tax levied under Section 193.03 of:

(1)  All gross salaries, wages, commissions, or other compensation of employees who are residents of the City; and

(2)  That part of gross salaries, wages, commissions or other compensation paid for services rendered within the City by employees who are not residents of the City.

(b)  Each employer shall, within thirty days following the close of the calendar quarter, make a return and pay to the Tax Administrator the amount of taxes deducted.

(c)  The employer shall be liable for the payment of the tax required to be deducted and withheld, whether or not the taxes have in fact been withheld.

(d)  The return shall be on a form prescribed by the Tax Administrator.  The employer, in collecting the tax, shall be deemed to hold the same as trustee for the benefit of the City until payment is made by the employer to the City, and any tax collected by the employer from his employees shall, until the same is paid to the City, be deemed a trust fund in the hands of the employer.  However, no person shall be required to withhold the tax on the wages or other compensation paid to domestic servants employed exclusively in or about the person’s residence.  If a resident of the City receives salaries, wages, commissions or other compensation which are subject to withholding tax imposed by a municipality other than Village Anywhere, the employer may reduce the tax to be withheld and paid to the City by the amount of tax withheld and paid to the other municipality.  (1979 Code 98.06)
 

193.07  DECLARATIONS.

(a)  Any taxpayer who anticipates taxable income which is not subject to Section 193.06 or who engages in any business, profession, enterprise or activity subject to the tax imposed by Section 193.03, shall file a declaration setting forth the estimated income or the estimated profit from the business activity, with the estimated tax due thereon, if any.  However, if a person’s income is wholly from wages from which the tax will be withheld and remitted to the Municipality in accordance with Section 193.06, the person need not file a declaration.

(b)  The declaration shall be filed on a form approved by the Tax Administrator.  The form may simply state that the figures used in making the declaration are the figures used in making the estimate declaration for federal income tax, provided it is understood that the figures may be modified so that the declaration required by this section shall set forth only such income as is taxable under the provisions of this chapter.

(c)  The declaration, to be filed on the fifteenth day of the fourth month of the tax year, shall be accompanied by payment of at least one-fourth of the estimated annual tax, and at least a similar amount must be paid on or before the fifteenth day of the sixth and ninth months of the tax year, and the fifteenth day of the first month of the subsequent tax year.  The estimate may be amended at any time.  A final return must be filed and any balance which may be due must be paid on or before the due date set forth in Section 193.05.  If the taxpayer has paid more than the amount of tax to which the City of Village Anywhere is entitled, a refund of the amount so overpaid shall be made, or the same may be applied toward the declaration of tax due for the ensuing year.  Claims for refunds shall be made on forms approved by the Tax Administrator.

(d)  In any case where a taxpayer has failed to file a declaration, the Tax Administrator, or his duly authorized agent, may estimate the income on behalf of the taxpayer and shall send to the taxpayer a statement of said estimate.  (Ord. 1995-163. Passed 12-19-95.)


193.08  ADMINISTRATION.

(a)  The City Treasurer shall receive the tax imposed by this chapter in the manner prescribed herein from the taxpayers; shall keep an accurate record thereof; and shall report all moneys so received.  All cashiers handling tax moneys shall be subject directly to the City Treasurer, and shall give daily accountings to the City Treasurer.

(b)  There is created the position of Income Tax Administrator who is designated to administer and enforce the provisions of this chapter.  The position of Income Tax Administrator shall be appointed by the Mayor subject to confirmation by a majority of the members elected to Council.  The office of Income Tax Administrator shall be under the Mayor’s office, and shall report directly to the Mayor and the City Income Tax Board as provided in this chapter.  The Income Tax Administrator shall enforce payment of all taxes owing the City, shall keep accurate records for a minimum of six years showing the amount due from each taxpayer required to file a declaration or make any return, including taxes withheld, and shall show the dates and amounts of payments thereof.  Removal of the Income Tax Administrator shall be by an affirmative vote of a majority of the members elected to Council, and only on receiving a recommendation for removal by the Mayor.

(c)  The Tax Administrator shall attend all meetings of the City Income Tax Board when requested by any member of the Board, and further shall provide any information requested by the Board that may be deemed necessary by the Board in order to make an accurate appraisal of the operations of the Tax Department to the City Income Tax Board.  Information provided to the Board shall be subject to the provisions of Sections 193.09 (e).

(d)  There is established the City Income Tax Board comprised of the Mayor as chairman, the City Treasurer, City Auditor, City Director of Law and the chairman of the Finance Committee of Council.  The Board’s functions and duties shall be to make a quarterly review for the performance of the City Income Tax Department to Council including, but not limited to, collections, estimates, delinquencies, legal actions in process and contemplated, and budget.  The Board shall also make an annual review of the income tax ordinance and rules and regulations, and make recommendations as to needed changes.  The Board shall also perform other duties as delineated in this chapter.

(e)  The Tax Administrator is charged with the enforcement of the provisions of this chapter, and is empowered to adopt, promulgate and enforce rules and regulations relating to any matter or thing pertaining to the collection of taxes and the administration and enforcement of the provisions of this chapter, including provisions for the reexamination and correction of returns.  No rule or regulation as adopted or promulgated by the Tax Administrator shall become effective until the rule or regulation has been approved by the City Income Tax Board and Council.  After approval of rules and regulations by the City Income Tax Board, it shall submit the same in writing to the Clerk of Council, and no such rule or regulation shall become effective until approved by Council, or until 60 days after the rule or regulation has been submitted to the Clerk of Council, and during the 60 day period, Council has not disapproved the rule or regulation.

(f)  In any case where a taxpayer has failed to file a return or has filed a return which does not show the proper amount of tax due, the Tax Administrator may determine the amount of tax appearing to be due the City from the taxpayer, and shall send to the taxpayer a written statement showing the amount of tax so determined, together with interest and penalties thereon, if any.

(g)  Subject to the consent of the City Income Tax Board, or pursuant to the rules and regulations, the Tax Administrator shall have the power to compromise any interest or penalty, or both, imposed by this chapter.

(h)  A Department of Taxation is created with the office of the Tax Administrator of the City.  The Department of Taxation shall have deputies, clerks and other employees as may be from time to time determined by Council.  The Tax Administrator shall make all appointments of personnel, and purchase all equipment, supplies and materials for the Department of Taxation.  The Department of Taxation shall be charged with the administration and operation of this chapter, under the direction of the Tax Administrator.  The Tax Administrator shall prescribe the form and method of accounts and reports for the Department, as well as the forms for taxpayer’s returns and declarations, and shall be charged with the internal examination and audit of all such accounts, and shall exhibit accurate records showing the amount received from each taxpayer, and the date of receipt.  The Tax Administrator shall also make written report to Council quarterly of all moneys collected hereunder during the preceding quarter.  (1979 Code 98.09)

193.09  INVESTIGATIVE POWERS OF THE INCOME TAX ADMINISTRATOR.

(a)  The Income Tax Administrator, or his duly authorized agent or employee, is authorized to examine the books, papers, records and federal or state income tax returns of any employer, or any taxpayer or person subject to the tax, for the purpose of verifying the accuracy of any return made, or, if no return was made, to ascertain the tax due.  Every employer, supposed employer, taxpayer or supposed taxpayer is directed and required to furnish to the Tax Administrator, or his duly authorized agent or employee, the means, facilities and opportunity for making such examination and investigations as are authorized.

(b)  The Income Tax Administrator, or his duly authorized agent or employee, is authorized to examine any person, employer or employee under oath concerning any income which was or should have been returned for taxation, and for this purpose, may compel the production of books, papers and records, and the attendance of all persons before him, whether as parties or witnesses, wherever he believes such persons have knowledge of such income.

 (c)  The refusal of an examination by any employer, employee or person subject or presumed to be subject to the tax shall be deemed a violation of this chapter.

 (d)  Tax returns and all audit papers and information connected therewith are confidential, and shall be carefully preserved so that they shall not be available for inspection by anyone other than the proper agents of the City for official purposes.

 (e)  Any information gained as a result of the filing of any tax returns, investigations, hearings or verifications required or authorized by this chapter shall be confidential, except for official purposes, and except in accordance with proper judicial order.  Any person divulging such information shall be guilty of a misdemeanor of the first degree.  Each disclosure shall constitute a separate offense.  In addition to the above penalties, any employee of the City who violates the provisions of this section relative to the disclosures of confidential information shall be immediately dismissed from the service of the City.

  

193.10  INTEREST AND PENALTIES.

 (a)  All taxes imposed and all moneys withheld or required to be withheld by employers under the provisions of this chapter, and remaining unpaid after they become due shall bear interest at the rate of one and one-half percent (1.5%) per month or fraction thereof.

 (b)  In addition to interest as provided in subsection (a) hereof, penalties based on the unpaid tax are imposed as follows:

 (1)  For failure to pay taxes due, other than taxes withheld, ten dollars ($10.00) or one and one-half percent (1 %) per month or fraction thereof, whichever sum is greater.

 (2)  For failure to remit taxes withheld from employees, five percent (5%) per month or twenty-five dollars ($25.00), whichever is greater.

 (c)  Exceptions.  A penalty shall not be assessed on an additional tax assessment made by the Administrator when a return has been filed in good faith, and the tax paid within the time prescribed by the Tax Administrator; and provided, in the absence of fraud, neither penalty nor interest shall be assessed on any additional tax assessment resulting from a federal audit, provided an amended return is filed, and the additional tax is paid within three months after the final determination of the federal tax liability.

 (d)  On recommendation of the Tax Administrator, the Board of Review may abate the penalty or interest, or both, and on an appeal from the refusal of the Tax Administrator to recommend abatement of the penalty or interest, the Board may nevertheless abate the penalty or interest, or both.

 (e)  In addition to any other interest or penalties provided herein, there shall be a penalty of ten dollars ($10.00) imposed for the failure to file a return when due.  (1979 Code 98.11)

 

193.11  COLLECTION OF UNPAID TAXES AND REFUNDS OF OVERPAYMENTS.

 (a)  All taxes imposed by this chapter shall be collectible, together with any interest and penalties thereon, by a civil action at law.  All additional assessments shall be made and all civil actions to recover municipal income taxes and penalties and interest thereon shall be brought within three years after the tax was due or the return was filed, whichever is later.

 (b)  Taxes erroneously paid shall not be refunded unless a claim for a refund is made.  Claims for refund of municipal income taxes shall be brought within the time limitation provided in subsection (a) hereof.

 (c)  Amounts of less than one dollar ($1.00) shall not be collected or refunded.

  

193.12  ALLOCATION OF FUNDS.

Effective July 1, 1993, funds collected under the provisions of this chapter shall be deposited in the City Income Tax Administration Fund, and the funds shall be disbursed as follows.

 (a)  The part necessary to defray all costs of collecting the taxes, and the cost of administering and enforcing the provisions hereof.

(b)  The balance shall be disbursed, appropriated, and allocated as follows.

(1)  Seventy-eight percent (78%) to the General Fund.

(2)  Twenty-two percent (22%) to the General Capital Improvement Fund.

(c)  Any time more income than anticipated is received in the General Fund in any given calendar year, Council may, on its own motion, transfer a lump sum from the General Fund to the General Capital Improvement Fund.  (Ord. 1993-52. Passed 5-18-93.)

 

193.13  BOARD OF REVIEW.

(a)  The Board of Review, consisting of three electors of the City, one to be appointed by the Mayor, one to be appointed by the City Treasurer and one to be appointed by the City Director of Law, is created.  No member shall be appointed to the Board who holds other public offices or appointments.  The members of the Board shall serve without pay.

(b)  A majority of the members of the Board shall constitute a quorum.  The Board shall adopt its own procedural rules, and shall keep a record of its transactions.

(c)  The Board shall hear and pass on appeals from any ruling or decision of the Tax Administrator.

(d)  All hearings of the Board shall be conducted privately and the provisions of Section 193.09 with reference to the confidential character of information required to be disclosed by this chapter shall apply to such matters as may be heard before the Board on appeal.

(e)  Any person dissatisfied with any ruling or decision of the Tax Administrator which is made under the authority conferred by this chapter may appeal therefrom to the Board within thirty days from the announcement of such ruling or decision by the Tax Administrator, and the Board shall, on hearing, have jurisdiction to affirm, reverse or modify any ruling or decision, or any part thereof.

(f)  Any person dissatisfied with any ruling or decision of the Board may appeal therefrom to a court of competent jurisdiction within thirty days from the announcement of the ruling or decision.

(g)  Each member of the Board shall hold their term for the duration of this chapter and if any members are unable to complete their term, then the office which appointed the member shall name another elector to fill the unexpired term.  (1979 Code 98.14)

 

193.14  EXEMPTIONS.

The provisions of this chapter shall not be construed as levying a tax on the following:

(a)  Funds received from local, state or federal governments because of service in the armed forces of the United States by the person rendering such service, or as a result of another person rendering such services.  (1979 Code 98.15)

(b)  (1)  Poor relief, unemployment insurance benefits, or similar payments received from local, state, or federal governments or charitable or religious organizations; proceeds of insurance other than third party sick pay; annuities; Worker’s Compensation insurance; social security benefits; pension income including, but not limited to, distributions from Internal Revenue Code (IRC) Section 457 plans, IRC Section 401 (a) qualified pension and profit sharing plans, individual retirement accounts (IRAs), simplified employee pensions (SEPs), IRC Section 403(b) plans, governmental plans, and non-qualified deferred compensation plans; compensation for damages for personal injuries and like reimbursement, not including damages for loss of profits or wages; alimony (payments are not deductible); except as provided in Section 3 paragraph (l) of the Ordinance,  gambling winnings (losses are not deductible); patent and copyright income and royalties (if the income is derived from intangible property).

(A)  Employer contributions on behalf of an employee to a non-qualified deferred compensation plan, which may be considered wages subject to social security and medicare withholding, shall not be considered wages subject to the tax imposed by this chapter. (Ord. 1995-136. Passed 12-19-95.)

(c)  Dues, contributions and similar payments received by charitable, religious, educational or literary organizations or labor unions, lodges and similar organizations.

(d)  Receipts from casual entertainment, amusements, sports events and health and welfare activities conducted by bona fide charitable, religious and educational organizations and associations.

(e)  Any association, organization, corporation, club or trust which is exempt from federal taxes on income by reason of its charitable, religious, educational, literary, scientific or other such purposes.

(f)  Gains from involuntary conversions, cancellation of indebtedness, interest on federal obligations, items of income which are preempted by the Ohio Constitution, statutes or case law from taxation by municipalities, and income of a decedent’s estate during the period of administration (except income from the operation of a business).

(g)  Earnings and income of all persons under sixteen years of age, whether residents or nonresidents.

(h)  This chapter shall not apply to any person, firm, corporation or to any property as to whom or which it is beyond the power of Council to impose the tax herein provided for.

(i)  Mentally handicapped and developmentally disabled employees earning less than minimum wage while employed at a government sponsored sheltered workshop shall be exempt from the levy of the tax provided herein. (1979 Code 98.15)


193.15  REFUNDS.

If it appears that any taxpayer has paid more than the amount of the tax to which the City is entitled under the provisions of this chapter, a refund of the amount so overpaid shall be made, provided a proper claim for refund of the overpayment of tax has been filed by the taxpayer.  (1979 Code 98.16)


193.16  TERM.

This chapter shall continue and be effective for an indefinite duration.  (1979 Code 98.17)


193.17  TAX CREDIT TO RESIDENTS.

When the taxable income of a resident of the City is subject to a municipal income tax in another municipality on the same income taxable under this chapter, the resident shall be allowed a credit of the amount of income tax paid on the taxable income to the other municipality, equal to fifty percent (50%) of the amount obtained by multiplying the lower of the tax rate of the other municipality or of this Municipality by the taxable income earned in or attributable to municipality of employment or business activity.  For the purposes of this section, taxable income shall also include the distributive share of net profits of a resident partner or owner of an unincorporated business entity.  (Ord. 1992-79. Passed 12-15-92.)


193.99  PENALTY.

(a)  Any person who:

(1)  Fails, neglects or refuses to make any return or declaration required by this chapter; or

(2)  Makes any incomplete, false or fraudulent return; or

(3)  Willfully fails, neglects or refuses to pay the tax, penalties or interest imposed by this chapter; or

(4)  Willfully fails, neglects or refuses to withhold the tax from his employees or remit such withholding to the Administrator; or

(5)  Refuses to permit the Administrator, or any duly authorized agent or employee, to examine his books, records, papers and federal income tax returns relating to the income or net profits of a taxpayer; or

(6)  Fails to appear before the Administrator and to produce his books, records, papers or federal income tax returns relating to income or net profits of a taxpayer upon order or subpoena of the Administrator; or

(7)  Refuses to disclose to the Administrator any information with respect to the income or net profits of a taxpayer; or

(8)  Fails to comply with the provisions of this chapter or any order or subpoena of the Administrator; or

(9)  Gives to an employer false information as to his true name, correct social security number and residence address, or fails to promptly notify an employer of any change in residence address and date thereof; or

(10)  Fails to use ordinary diligence in maintaining proper records of employees’ residence addresses, total wages paid and this Municipality’s income tax withheld, or to knowingly give the Administrator false information; or

(11)  Attempts to do anything whatsoever to avoid the payment of the whole or any part of the tax, penalties or interest imposed by this chapter; shall be guilty of a misdemeanor of the first degree for each offense.

(b)  Prosecutions for an offence made punishable under this section or any other provision of this chapter shall be commenced within three years after the commission of the offense, provided that in the case of fraud, failure to file a return, or the omission of twenty-five percent (25%) or more of income required to be reported, prosecutions may be commenced within six years after the commission of the offense.

(c)  The failure of any employer or person to receive or procure a return, declaration or other required form shall not excuse him for making any information return, return of declaration, from filing such form, or from paying the tax.