County Bulletin
TO: ALL COUNTY AUDITORS Bulletin No. 117
FROM: Stanley J. Bowers, Tax Commissioner
DATE: September 4, 1957
RE: Legislation Affecting New Taxpayers and Additional Charge
NEW
TAXPAYERS
Section 5711.03 of the Ohio Revised Code now reads in part as
follows:
" * * *. When a person or taxpayer engages in business on
or after the first day of January, in any year, he shall
list all his taxable property, except inventory, as to
value, ownership and taxing districts as of the date he
engages in business. In listing inventory as to ownership
and taxing districts he shall list the probable average
value intended to be used in business from the date he
engages in business until the first day of January next
thereafter. The valuation of all property, including
average inventory, to be re-turned for taxation shall be
determined by multiplying the value, or the average value
of such property by a fraction whose numerator is the
number of full months engaged in business during the year
of engaging in business, and whose denominator is twelve,
unless he shows the assessor, under oath, and by
producing a copy of the return or assessment, that the
same property has been listed or assessed for taxation
for said year in this state."
Because of the importance of uniformly assessing all new
taxpayers this County Auditor Bul1etin is being released to
call to your attention the changes made in Section 5711.03 of
the Ohio Revised Code which became effective August 15,
1957. Hereafter, when a person or taxpayer engages
in-business after the first day of January he will be
required to file a return on a fractional basis as indicated
in the above paragraph and must make such return within
ninety days after commencing such business. As an example, a
taxpayer who engages in business on August 21, 1957, will be
required to file a 1957 tax return on or before November 18,
1957, and will apportion the values in such return on the
basis of four twelfths (4/12) in that he will be in business
only four full months during the year 1957.
ADDITIONAL
CHARGE
Section 5711. 27 of the Ohio Revised Code now reads in part
as follows:
"*****If any taxpayer does so fail, the assessor shall
add to the assessment of each class or item of taxable
property which the taxpayer failed to return, list or
disclose in addition to the penalties provided by law, an
additional charge at the rate of one-half of one per cent
per month from the date such property should have been
returned or disclosed until the same is assessed,
provided that such additional charge shall not be added
to an assessment for any period of time in excess of ten
years previous to the date of assessment. * * *"
Effective September 7, 1957, this Section requires that an
additional charge over and above the applicable penalties in
the amount of one-half of one per cent per month will be
added to all tax returns where a taxpayer has failed to make
a return, list or disclose in a return any taxable property.
This additional charge shall be added for each month after
the effective date of the statute. It is important to note
that no additional charge will be assessed for the period
prior to the effective date of the statute and the number of
months to be considered in determining the total additional
charge will begin on October 1, 1957, the first full month
after the change in the statute becomes effective.