Individual Income Tax

What's New in 2018

Instruction Booklet RedesignThe Individual and School District income tax instructions have been redesigned to include all instructions needed to complete the Ohio IT 1040 and SD 100 as well as all supporting forms, schedules and worksheets related to Ohio income tax. Additionally, many of the instructions have been shortened and simplified to improve readability and understanding. The instructions also contain references to Ohio's income tax law.

STABLE and Ohio 529 Plan Accounts. The maximum deduction available for contributions to STABLE accounts and Ohio 529 plan accounts has increased to $4,000 per beneficiary per year. See pages 17 and 19 of the 2018 individual income tax instructions.

Disaster Work Deduction. A new deduction is available on Ohio Schedule A for income earned by out-of-state business owners and  nonresident employees who conduct disaster work in Ohio during a disaster response period. See page 17 of the 2018 individual income tax instructions.

Nonresident Credit Calculation. Form IT NRC, used by part-year residents and nonresidents to calculate their nonresident credit, has undergone significant revisions for tax year 2018 to simplify the process of completing the form. See the updated form and pages 24 through 27 of the 2018 individual income tax instructions.

Form IT NRS. A new form has been created for taxpayers who meet the requirements in R.C. 5747.24 and who wish to establish an irrebuttable presumption that they are not domiciled in Ohio. This new form replaces the IT DA. See the new form and page 49 of the 2018 individual income tax instructions.

Ohio Income Tax Tables. For tax year 2018, Ohio's individual income tax brackets have been adjusted so that taxpayers with income of $10,850 or less are not subject to income tax. Also, the tax brackets have been indexed for inflation. See page 32 of the 2018 individual income tax instructions.

Electronic Estimated Payments. Beginning with tax year 2018, estimated payments for the following year can be submitted with your electronically filed Ohio IT 1040 and/ or SD 100 through a participating third-party tax preparation product. Payments may be future dated but must be scheduled by the 4th quarter estimated payment due date. See the 2018 list of approved software developers. Those shown as supporting “IT/SD estimated payments” in the “Forms Supported” column will support this new feature.