In the case of an individual having salary or wages subject to withholding under the Village Income Tax, if said individual has a business, including farm and rental property, which reflects a loss for the same accounting period, said individual may not off-set the business loss against income earned on salary or wages for the purpose of securing a cash refund from the Income Tax Department.
If an individual operated more than one business, the profits of which were subject to the Grafton Village Income Tax, said individual may off-set profits from one business with the net loss from another business, and report the resulting net profit or loss for Village Income Tax purposes.
In any event, the net loss on a business used to off-set net income from another business must exactly agree with the net loss as reported on Federal Income Tax return Form 1040 as filed with the Federal Government.
Any rental loss or business loss, based on income taxable under the Village Income Tax, sustained in any year, may not be applied against rental profits or business profits of a succeeding year or years, allocable to the Municipality.
No carry back against profits in prior years will be permitted on any Income Tax Return.
(Res. 580. Passed 12-8-70; Ord. 86-081. Passed 11-18-86.)