(a) Interest on Unpaid Tax. All Village income taxes imposed and all monies withheld or required to be withheld by employers under the provisions of this chapter and remaining unpaid after they become due shall bear interest at the rate of one and one-half percent (1.5%) per month or fraction thereof.
(b) Penalties on Unpaid Tax. In addition to interest as provided in Section 791.09(a) hereof, penalties are imposed on all Village income tax remaining unpaid after it becomes due as follows:
(1) For failure to pay Village income taxes due other than taxes withheld: one and one-half percent (1.5%) of such outstanding tax per month for each month that the tax remains outstanding or fraction thereof;
(2) For failure to file an annual Village income tax return by the due date or extended due date: a minimum of twenty-five dollars ($25.00);
(3) For failure to remit Village income taxes withheld or required to be withheld from employees: ten percent (10%) of the outstanding unremitted tax per month or fraction thereof for each month that the unremitted tax remains outstanding; and
(4) In accordance with the Rules and Regulations, the Tax Administrator may impose such other interest and penalty assessment as the Tax Administrator deems necessary for the administration and enforcement of the provisions of this chapter.
(c) Exceptions to Penalties. A penalty shall not be assessed on an additional tax assessment made by the Tax Administrator when a Village income tax return has been filed in good faith and the tax paid thereon within the time prescribed by Section 791.07(a) of this chapter provided that the additional tax assessment shall be paid within the time prescribed by the Tax Administrator for payment of such additional tax; and provided further, that in the absence of fraud, neither penalty nor interest shall be assessed on any additional Village income tax assessment resulting from a federal audit, providing an amended Village income tax return is filed and the additional Village income tax is paid within three months after a final determination of the federal income tax liability.
(d) Abatement of Interest and Penalty. Upon recommendation of the Tax Administrator, the Board of Review may abate penalty or interest, or both, or upon a written appeal by the taxpayer upon the refusal of the Tax Administrator to recommend abatement of penalty, interest, or both, the Board may nevertheless abate penalty or interest, or both, for reasonable cause shown. The Rules and Regulations may authorize the Tax Administrator to abate penalty, interest, or both, for reasonable cause shown in certain circumstances.
(Ord. 2007-55. Passed 12-11-07.)