71-10 Amend Chpt 128, Municipal Income Tax

Home Browse Search

professions or other activities, derived from sales made, work' done, services performed or rendered and business and other activities conducted in the City, whether or not such unincorporated business entity has an office or place of business in the City. (2) On the portion of the distributive share of the net profits earned or received on or after January 1, 1981, of a resident partner or owner of a nonresident unincorporated business entity not attributable to the City and not levied against such unincorporated business entity by the City. (e) Effective for tax years 2004 and later, the distributive share of income paid to an S corporation shareholder shall be taxable in the following manner: (1) If no portion of the net profits of the s corporation are allocated or apportioned to the State of Ohio, the. distributive share is taxable only to the extent that it represents wages or net earnings from self-employment. (2) If any portion of the net profits of the s corporation are allocated or apportioned to the State of Ohio, the full amount of the distributive share is taxable. (f) On the portion attributable to the City of the net profits earned on and after January 1, 1981, of all corporations derived from sales made, work done, services .performed or rendered and business or other activities conducted in the City, whether or not such corporations have an office or place of business in the City. (g) On the portion attributable to this municipality pursuant to the terms of this chapter and including °royalty income," which means income earned from a royalty interest in the production of an oil or gas well. 128.0502 EFFECTIVE PERIOD. Such tax shall be levied, collected and paid with respect to the income, salaries, wages, commissions and other compensation, and with respect to the net profits of businesses, professions or other activities earned on and after January 1, 1981. DETERMINATION OF ALLOCATION OF TAX 128.0701 METHOD OF DETERMINATION. Net profit from a business or profession conducted both within and without the boundaries of the City shall be considered as having a taxable situs in the City for purposes of municipal income taxation in the same proportion as the average ratio of: (a) The average original cost of the real and tangible personal property owned or used by the taxpayer in the business or profession in the City during the taxable period to the average original cost of all the real and tangible personal properly owned or used by the taxpayer in the business or profession during the same period, wherever situated. As used in this section, real properly includes property rented or leased by the taxpayer and the value of such properly shall be determined by multiplying the annual rental thereon by eight. (b) Wages, salaries and other compensation paid during the taxable period to persons employed in the business or profession for services performed in the City to wages, salaries and other compensation paid during the same period to persons