FAQs - School District: Withholding

Can I withhold a flat percentage for the school district income tax just like a local income tax?

No.  For a district with a traditional tax:  use the federal taxable wage base (not gross wages) and deduct $650 for each Ohio personal exemption prorated over the number of pay periods during a full calendar year to derive the school district tax wage base.  For a district with an earned income tax:  use the federal taxable wage base (not gross wages) without any deduction for personal exemptions to derive the school district tax wage base.  You then multiply the school district tax wage base by the tax rate in effect for the school district. 

You may use the computer formula to calculate the tax due for traditional districts.  This formula can be found on the Employer Withholding web page under "Withholding tables" and is also shown on the last page of the School District Income Tax Withholding Instructions.