Information Release
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| CAT 2006-01 - Applicable Excise Tax Rates for Purposes of the Commercial Activity Tax - Issued January, 2006 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
The purpose of this release is to provide taxpayers with the effective excise tax rates for purposes of the commercial activity tax (“CAT”). The rates below are the most current rates known to the Department as of January, 2006. Taxpayers are advised to verify the rates before relying on this release in order to compute any exclusions from their taxable gross receipts pursuant to divisions (F)(2)(q), (F)(2)(r), and (F)(2)(s) of section 5751.01 of the Revised Code. OHIO & FEDERAL EXCISE TAX RATES
* For the federal excise tax rates on these or any of the above products, please consult the website of the Bureau of Alcohol, Tobacco, and Firearms and Explosives at www.atf.gov. ** As a safe harbor, retailers who wish to exclude the portion of excise taxes paid on other tobacco products, but do not know the price the wholesaler paid for the products may calculate this exclusion by taking eighty per cent of the price paid to the wholesaler for the purchase of the other tobacco products, multiplied by seventeen per cent. It is important to note that, in determining this exclusion, retailers must base their calculation on their purchase price from the wholesaler, and not their selling price to the consumer or another retailer.
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