To provide funds for the purposes of street construction and improvement, parks and recreation, water development and general municipal operations of the City, there is hereby levied a tax at the rate of one and one-half percent (1-1/2%) upon the following:
(a) On all salaries, wages, commissions and other compensation earned on and after April 1, 1983, by resident individuals of the City.
(b) On all salaries, wages, commissions and other compensation earned on and after April 1, 1983, by nonresident individuals of the City, for work done or services performed or rendered in the City.
(c) On the net profits attributable to Ashland, earned on and after April 1, 1983, of all resident unincorporated businesses, professions and other activities derived from work done or services rendered or performed and business or other activities conducted in the City.
(d) On the portion of the distributive share of the net profit earned on and after April 1, 1983, of a resident individual, partner or owner of a resident unincorporated business entity attributable to the City and not levied against such unincorporated business entity.
(e) On the net profits attributable to the City earned on and after April 1, 1983, of all nonresident unincorporated businesses, professions or other activities, derived from work done or services performed or rendered and business or other activities conducted in the City.
(f) On that portion of the distributive share of the net profits earned on and after April 1, 1983, of a resident individual, partner or owner of a nonresident unincorporated business entity not attributable to Ashland and not levied against such unincorporated business entity.
(g) On the net profits earned on and after April l, 1983, of all corporations derived from work done or services performed or rendered and business or other activities conducted in the City.
(h) On all income received as winnings on and after passage of this subsection as reported or IRS Form W-2G, Form 5754 and or any other form required by the Internal Revenue Service or provided by the State of Ohio or any other state that reports winnings from gambling, prizes and lottery winnings.
(Ord. 59-04. Passed 8-17-04.)
(i) Business Allocation Percentage Formula (Ohio R.C. 718.02).
(1) In the taxation of income which is subject to municipal income taxes, if the books and records of a taxpayer conducting a business or profession both within and without the boundaries of a municipal corporation disclose with reasonable accuracy what portion of its net profits is attributable to that part of the business or profession conducted within the boundaries of the municipal corporation, then only such portion shall be considered as having a taxable situs in such municipal corporation for purposes of municipal income taxation. In the absence of such records, net profit from a business or profession, conducted both within and without the boundaries of a municipal corporation shall be considered as having a taxable situs in such municipal corporation for purposes of municipal income taxation in the same proportion as the average ratio of:
A. The average net book value of the real and tangible personal property owned or used by the taxpayer in the business or profession in such municipal corporation during the taxable period to the average net book value of all of the real and tangible personal property owned or used by the taxpayer in the business or profession during the same period, wherever situated.
As used in this subparagraph, real property shall include property rented or leased by the taxpayer and the value of such property 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 such municipal corporation to wages, salaries and other compensation paid during the same period to persons employed in the business or profession, wherever their services are performed;
C. Gross receipts of the business or profession from sales made and services performed during the taxable period in such municipal corporation to gross receipts of the business or profession during the same period from sales and services, wherever made or performed.
In the event that the foregoing allocation formula does not produce an equitable result, another basis may, under uniform regulations be substituted so as to produce such result.
(2) As used in subparagraph (1) hereof, "sales made in a municipal corporation" means:
A. All sales of tangible personal property which is delivered within such municipal corporation regardless of where title passes if shipped or delivered from a stock of goods within such municipal corporation;
B. All sales of tangible personal property which is delivered within such municipal corporation regardless of where title passes even though transported from a point outside such municipal corporation if the taxpayer is regularly engaged through its own employees in the solicitation or promotion of sales within such municipal corporation and the sales result from such solicitation or promotion;
C. All sales of tangible personal property which is shipped from a place within such municipal corporation to purchasers outside such municipal corporation, regardless of where title passes if the taxpayer is not, through its own employees, regularly engaged in the solicitation or promotion of sales at the place where delivery is made.
(Ord. 59-90. Passed 10-2-90.)