(a) Rental income received by a taxpayer shall be included in the computation of net profits from business activities only if and to the extent that the rental ownership, management or operations of the real estate from which such rentals are derived, whether so rented, managed or operated by a taxpayer individually or through agents or other representatives, constitute a business activity of the taxpayer in whole or in part. Net profits not constituting a business activity remain taxable, and shall be taxed using the books and records method.
(b) Where the gross monthly rental of any and all real properties, regardless of number and value, aggregates in excess of one hundred twenty-five dollars ($125.00) per month, it shall be prima-facie evidence that the rental, ownership, management or operation of such properties is a business activity of such taxpayer, and the net income of such rental property shall be subject to tax, provided that in the case of commercial property, the owner shall be considered engaged in a business activity when the rental is based on a fixed or fluctuating percentage of gross or net sales, receipts or profits of the lessee, whether or not such rental exceeds one hundred twenty-five dollars ($125.00) per month, and provided, further, that in the case of farm property, the owner shall be considered engaged in a business activity when he or she shares in crops or when the rental is based on a percentage of the gross or net receipts derived from the farm, whether or not the gross income exceeds such one hundred twenty-five dollars ($125.00) per month, and provided, further, that the person who operates a licensed rooming house shall be considered in business whether or not the gross income exceeds such one hundred twenty-five dollars ($125.00) per month.
(c) On or before October 16, 1993, all property owners of rental or leased residential property shall file with the Administrator of the City of Euclid, Ohio a report showing the names and addresses of each such tenant who occupies residential premises within the corporation limits of the City as of October 1, 1993.
(d) Beginning October 1, 1993, and thereafter, within 30 days after a new tenant occupies residential rental property of any kind within the City, all property owners of a rental or leased residential property shall file with the Administrator a report showing the names and addresses of each tenant who occupies a residential premises within the corporation limits of the City.
(e) Beginning October 1, 1993, and thereafter, within 30 days after a tenant vacates a rental or leased residential property located within the City, all property owners of rental or leased residential property shall file with the Administrator a report showing the date of vacating from the rental or leased residential property and identifying such vacating tenant.
(f) For the purposes of this section, “tenant” shall mean:
(1) If there is a written lease or rental agreement, the person or persons who sign the written lease or rental agreement with the owner.
(2) If there is an oral lease or rental agreement, the person or persons with whom the owner enters into the oral lease or rental agreement.
(g) In the event of violations of this section, the following penalties shall be imposed: A fine of not more than twenty-five dollars ($25.00) for a first offense; a fine of not more than fifty dollars ($50.00) for a second offense; a fine of not more than one hundred dollars ($100.00) for each offense, for a third and all subsequent offenses.
(Ord. 262-1966. Passed 12-23-66; Ord. 180-2004. Passed 10-18-04; Ord. 207-2009. Passed 12-7-09.)