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Ohio |
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2006 Ohio school districts
The following table reflects changes for existing school districts:
Tax Code |
Description |
2005 Rate |
2006 Rate |
| OH1043 |
Antwerp |
0.75 |
1.50 |
| OH1663 |
Bloom-Carroll |
0.75 |
1.25 |
| OH1103 |
Continental |
1.00 |
1.50 |
| OH1614 |
Covington |
0.50 |
1.75 |
| OH1633 |
Eaton |
0.75 |
1.50 |
| OH1624 |
Fort Loramie |
0.75 |
1.50 |
| OH1192 |
Fort Recovery |
1.00 |
1.50 |
| OH1236 |
Hardin Northern |
1.00 |
1.75 |
| OH1286 |
Liberty Union-Thurston |
1.25 |
1.75 |
| OH1099 |
National Trail |
1.00 |
1.75 |
| OH1518 |
Triad |
1.00 |
1.50 |
| OH1654 |
Upper Sandusky |
0.50 |
1.25 |
The following table reflects new school district tax codes:
Tax Code |
Description |
County |
2006 Rate |
| OH1763 |
Berne Union |
Fairfield |
1.00 |
| OH1676 |
Circleville |
Pickaway |
0.75 |
| OH1764 |
Jennings |
Putnam |
0.75 |
| OH1765 |
Kalida |
Putnam |
1.00 |
| OH1766 |
Logan Elm |
Pickaway |
1.00 |
| OH1767 |
London |
Madison |
1.00 |
| OH1768 |
Ross |
Butler |
0.75 |
| OH1769 |
Shelby |
Richland |
1.00 |
Other Ohio Locals
Description |
Old Rate |
New Rate |
Effective Date |
| Cecil |
0% |
1.0% |
1/1/2004 |
| City of Hudson |
1.0% |
2.0% |
1/1/2005 |
| City of Springdale |
1.0% |
1.5% |
7/1/2004 |
| Russia |
1.0% |
1.5% |
7/1/2004 |
| Village of Fairfax |
1.25% |
1.75% |
4/1/2004 |
| Village of Minerva |
1.0% |
1.5% |
1/1/2005 |
Municipal Income Tax Filing Made Easier
The Ohio Department of Taxation has provided a location on its Web site from which anyone can contact the cities and villages in Ohio with a municipal income tax and obtain forms and information. For details, go to http://tax.ohio.gov/divisions/municipalities/index.stm
School District Income Tax
When a payroll person hears the word Ohio, it signals to them that income tax not only includes state income taxes but local and school district taxes might possibly need to be withheld.
If you are one of the lucky employers in a locality that does not have income taxes or school taxes, you are in the minority. Most employers must know how to handle taxation situations that arise in Ohio.
With regard to the school district income tax, when an employer has an employee who resides in any of these school districts, the employer must withhold the School District Income Tax. If the employer has not yet registered and is required to withhold, please sign and mail the Ohio School District Withholding Agent's Registration Form (IT-1R). After the registration form is received, the employer will get a school district withholding packet, including withholding tables and remittance forms. Quarterly payments are due if the combined Ohio and school district liability does not exceed $2,000 during the 12-month period ending on the 30th day of June of the preceding calendar year. Monthly payments are due if the combined Ohio and school district liability exceeds $2,000 during the 12-month period ending on the 30th day of June of the preceding calendar year. Employers should use the same wage base and number of exemptions they use for withholding Ohio tax.
Employers in Michigan, Indiana, Kentucky, West Virginia, and Pennsylvania are not required to withhold Ohio or School District Income Tax. Ohio residents working in those states may need to file Estimated School District Income Tax. Employers in reciprocity states may choose to withhold school district tax if they withhold Ohio tax. For more information, please contact:
Individual Income/School District Income Tax Division
4485 Northland Ridge Boulevard
Columbus, Ohio 43229
(614) 387-0222
When withholding for municipal taxes, the employer needs to be aware of how to handle situations when an employee works in a municipality versus the employee's residence. In most situations, there is a tax credit that can be applied so the employee is not taxed in both locales. The credit could be based on 100% of his residence tax or limited to a reduced percentage, such as 50%. Contact your payroll software company to determine if particular taxation requirements can be handled within its payroll software.
For further information, please contact the Department of Revenue for the municipality. It will answer any questions you may have regarding Ohio's taxation requirements. The Web site is http://tax.ohio.gov. Also, there are specific organizations within Ohio that collect tax revenue for municipalities. For example, there is RITA (Regional Income Tax Agency), CCA (Central Collection Agency), and the Tricota Tax Association. These agencies are not government departments. They are specific companies that handle the collection of taxes and disbursements to municipalities. There are also a few municipalities that collect withholding taxes from surrounding communities. So don't be surprised if you have to go through a third party to get withholding information instead of going directly to the tax jurisdiction. Phone numbers to the tax jurisdictions can be found in the above Web site.
State Tax Directory Web Site
The state of Ohio has implemented a Web site called the Introduction to the State of Ohio Local Income Tax and School District Income Tax Directory. Please link to the following for more information: http://das.ohio.gov/hrd/inctxint.html
This directory is available only online and is published for the use of the various agencies of the state of Ohio for withholding local income and school district income taxes for its employees. But outside employers could certainly use the information contained. The state cannot guarantee that every applicable tax in the state of Ohio is included or the rates listed are always current. The directory is issued on February 1st each year with current date updates provided as necessary. Requests for changes to this information should be addressed in writing to:
Mr. Joseph Holliman
State of Ohio
DAS/Human Resources Division
Payroll Services
30 East Broad Street, 29th Floor
Columbus, Ohio 43215-3414
Phone: 614-466-9327
The Web site contains the following information:
• General information
• Liability for local income taxes
• Liability for school district income taxes
• Determination and calculation of tax liability
• Payment of local income and school district income taxes
• Reporting of local income taxes
• Reporting of school district income taxes
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