Tax Data Series: Corporation Franchise Tax

Corporate Franchise Tax Tables
Number of Financial Institutions and Reported Tax Liability by Type of Institution, Tax Year 2005

This table shows a total Ohio corporate franchise tax liability for financial institutions for tax year 2005 of $149.7 million, a decrease of 26.4 percent from tax year 2004. Banks, while making up 66 percent of the total number of financial institutions, reported tax liability of $114.4 million, or 76 percent of the total liability. Savings and loans, making up 26 percent of the total number of financial institutions, reported tax liability of $34.9 million, or approximately 23 percent of the total liability. The remaining $0.5 million of tax liability was reported by other types of financial institutions.

Financial institutions are not required to compute their tax liabilities on the two alternative tax bases (net income and net worth) as are other corporations. Financial institutions are subject to a tax on net worth only, but at a rate of 13.0 mills rather than 4.0 mills for other corporations.