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(a) Every individual taxpayer domiciled in Grove City who is required to and does pay, or has acknowledged liability for, a municipal tax to another municipality on or measured by the same income, qualifying wages, commissions, net profits of the resident or other compensation taxable under this chapter may claim a nonrefundable credit upon satisfactory evidence of the tax paid to the other municipality. Subject to subsection (c), the credit shall not exceed the tax due Grove City under this chapter on the resident’s income earned in the other municipality.
(b) Grove City shall grant a credit against its tax on income to a resident of Grove City who works in a joint economic development zone created under Section 715.691 or a joint economic development district created under Section 715.70, 715.71 or 715.72 of the ORC to the same extent that it grants a credit against its tax on income to its residents who are employed in another municipal corporation.
(c) If the amount of tax withheld or paid to the other municipality is less than the amount of tax required to be withheld or paid to the other municipality, then for purposes of subsection (a), "the income, qualifying wages, commissions, net profits of the resident or other compensation" subject to tax in the other municipality shall be limited to the amount computed by dividing the tax withheld or paid to the other municipality by the tax rate for that municipality.
(d) Every individual taxpayer domiciled in Grove City whose income subject to the tax imposed by this chapter includes the resident’s distributive share of the net profit of pass-through entities owned directly or indirectly by the resident, may claim a non-refundable credit upon satisfactory evidence of municipal tax paid by the pass-through entities to that municipality. The credit shall not exceed the lesser of:
(1) The tax due Grove City under this chapter on the aggregate distributive share of net profit of pass-through entities subject to tax in that municipality reduced by any net operating loss attributable to the resident's ownership interest in a pass-through entity and generated in or allocated to that municipality and further reduced by the aggregate net operating loss of the resident, if any, generated in or allocated to that municipality.
(2) The resident's distributive share of the tax paid to that municipality by pass-through entities.
(Ord. C85-15. Passed 11-16-15; Ord. C64-17. Passed 1-16-18.)