(A) To provide funds for the purposes of general municipal operations and permanent improvements, the City of Eaton (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 1% (one percent). 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 192.03 and other sections as they may apply.
(2) For the period of January 1, 2014 through December 31, 2016 there shall be and is hereby levied a tax upon those classes of earnings and income set forth in Section 192.03 hereof in addition to the tax, if any, levied by the first paragraph of this section, at the rate of 0.5% (one-half of one percent) for the purpose of providing revenues for the operation of the Department of Public Safety which includes the Division of Police, the Division of Fire and the Emergency Medical Rescue Service.
(3) Except as provided in the second paragraph of Section 192.01(b) hereof, the income tax funds collected under the provision of this Ordinance shall be allocated:
"Not less than sixty percent (60%) for capital improvements, after the deduction of necessary collection expenses."
(C) The tax on income and the withholding tax established by this Ordinance 15-09 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 Revised Code 718 (ORC 718). This ordinance 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. 15-09. Passed 11-16-15.)