31-15 Municipal Income Tax - Laserfiche WebLink

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interest in a pass - through entity shall be allowed as a deduction, for that taxable year and the following five taxable years, against any other net profit of the resi- dent or the resident's distributive share of any net profit attributable to the resident's ownership interest in a pass - through entity until fully utilized, subject to division (14m)(AI)(ivD ) of this section; (bii) The resident's distributive share of the net profit of each pass - through entity owned directly or indi- rectly by the resident shall be calculated without re- gard to any net operating loss that is carried forward by that entity from a prior taxable year and applied to reduce the entity's net profit for the current taxable year. (WC) Division (14m)(Al)(413 ) of this section does not apply with respect to any net profit or net operating loss attributable to an ownership interest in an S corporation unless sharehold- ers' distributive shares of net profits from S corporations are subject to tax in the municipal corporation as provided in divi- sion 14m(R5) of this Section. (ivD) Any amount of a net operating loss used to reduce a taxpayer's net profit for a taxable year shall reduce the amount of net operating loss that may be carried forward to any subse- quent year for use by that taxpayer. In no event shall the cu- mulative deductions for all taxable years with respect to a tax- payer's net operating loss exceed the original amount of that net operating loss available to that taxpayer. (132) In the case of nonresidents, all income, salaries, qualifying wages, commissions, and other compensation from whatever source earned or received by the nonresident for work done, services performed or ren- dered, or activities conducted in the Municipality, including any net profit of the nonresident, but excluding the nonresident's distributive share of the net profit or loss of only pass - through entities owned di- rectly or indirectly by the nonresident. (C3) For taxpayers that are not individuals, net profit of the taxpayer; (134) Lottery, sweepstakes, gambling and sports winnings, winnings from games of chance, and prizes and awards. If the taxpayer is a pro- fessional gambler for federal income tax purposes, the taxpayer may deduct related wagering losses and expenses to the extent authorized under the Ihternal Revenue Code and claimed against such winnings. Credit for tax withheld or paid to another municipal corporation on such winnings paid to the municipal corporation where winnings occur is limited to the credit as specified in Section 128.083 of this Chapter. (1;5) For residents, an S corporation shareholder's distributive share of net profits of the S corporation to the extent the distributive share would be allocated or apportioned to this state under divisions (13)(1) and (2) of section 5733.05 of the Ohio Revised Code if the S corpora- tion were a corporation subject to taxes imposed under Chapter 5733. of the Ohio Revised Code, and the tax shall apply to the distributive share of a shareholder of an S corporation in the hands of the share- holder of the S corporation. 30