Individual Income
Municipal Income Taxes
Tax Rates and Amounts collected, by Municipality, Calendar
Year 2000 (revised January 22,
2002)
Municipal income taxes are generally imposed on wages,
salaries, and other compensation earned by residents and
nonresidents who work in the municipality. The income tax is
also applied to business net profits that are attributable to
activities in the municipality. Most municipalities allow a
partial or full credit to residents for municipal income
taxes paid to another municipality where they are employed.
Administration of the municipal income tax is strictly local,
either by the cities and villages themselves or by central
collection agencies representing several municipalities.
State law requires that the rate must be uniform within a
municipality and cannot exceed one percent without a vote of
the people. Rates of taxation in 2000 ranged from a low of
0.50 percent in twelve municipalities to a high of 2.85
percent in the City of Euclid, Cuyahoga County. The City of
Euclid is the only municipality to levy and collect municipal
income taxes for its corresponding school district. The
city's income tax is 2.38% while the Euclid City School
District has a 0.47% tax.
Municipal income taxes collected in Ohio during calendar year
2000 totaled $3.3 billion. Of this amount, $3.1 billion was
collected by cities and $0.2 billion by villages. There were
20 localities (16 villages and 4 cities) that did not submit
data this year. Assuming these municipalities still had the
income tax in effect in calendar year 2000, a total of 541
municipalities (231 cities and 311 villages) levied the tax.
One municipality, the Village of Craig Beach, Mahoning
County, has had the tax repealed, yet reported delinquent
collections.
Two municipalities had large increases in their 2000 revenue
due to intensive collection of delinquent taxes or
significant economic growth:
|
Village of Ashville (Pickaway County)
|
up 66.5%
|
|
Village of Ottoville (Putnam County)
|
up 51.3%
|
One new municipality was added to this publication in the
last year: the Village of Leesburg (Highland County). Due to
this being the first full year of revenue, the village
experienced an increase of 94.1% in collections from calendar
year 1999 to 2000.In addition, 9 municipalities had
significant changes in their calendar year 2000 collections
as the result of a rate change in calendar year 2000.
Decreases:
|
Village of Evendale (Hamilton County)
|
1.00% to 0.90%
|
|
City of Indian Hill Village (Hamilton County)
|
0.25% to 0.22%
|
|
City of Willard (Huron County)
|
2.25% to 1.25%
|
Increases:
|
City of Bedford (Cuyahoga County)
|
2.00% to 2.25%
|
|
Village of Archbold (Fulton County)
|
1.13% to 1.50%
|
|
City of Oberlin (Lorain County)
|
1.70% to 1.90%
|
|
City of Riverside (Montgomery County)
|
1.00% to 1.50%
|
|
Village of Mogadore (Summit County)
|
1.50% to 2.00%
|
|
City of Van Wert (Van Wert County)
|
1.50% to 1.72%
|
Data for Table LG-11 was obtained from surveys conducted by
the Ohio Department of Taxation.