(a) To provide funds for the purposes of general municipal operations, maintenance, new equipment, extension and enlargement of municipal services and facilities and capital improvements, the City of Avon Lake (the “City”) hereby levies an annual municipal income tax on income, qualifying wages, commissions and other compensation, and on net profits as hereinafter provided.
(b) (1) The annual tax is levied at a rate of one and one-half percent (1.5%). The tax is levied at a uniform rate on all persons residing in or earning or receiving income in the City. The tax is levied on income, qualifying wages, commissions and other compensation, and on net profits as hereinafter provided in Section 886.03 of this chapter and other sections of this chapter as they may apply.
(2) The funds collected under the provisions of this chapter shall be applied for the following purposes, to wit:
A. Such part thereof as shall be necessary to defray all costs of collecting the taxes levied by this chapter and the cost of administering and enforcing the provisions thereof as authorized by Chapter 236 of the City of Avon Lake Codified Ordinances.
B. To provide for the operation and expenses of the General Fund, Income Tax Capital Improvement Fund, Bond Retirement Fund, and Recreation Fund in amounts determined annually and approved by Council.
C. Any other expenses of the City as approved by Council.
(c) The tax on income and the withholding tax established by this Chapter 886 are authorized by Article XVIII, Section 3 of the Ohio Constitution. The tax is levied in accordance with, and is intended to be consistent with, the provisions and limitations of Ohio R.C. Chapter 718. This chapter is effective for tax years beginning on and after January 1, 2016. Municipal tax years beginning on or before December 31, 2015, are subject to the income tax ordinance and amendments thereto, and rules and regulations and amendments thereto, as the existed before January 1, 2016.
(Ord. 163-2015. Passed 12-21-15; Ord. 21-185. Passed 12-20-21.)