111.3.01 AUTHORITY TO LEVY TAX; PURPOSE OF TAX.

   (A)    To provide funds for the purposes of general municipal functions of the Municipality, the City of Highland Heights 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 2 % (two percent). The tax is levied at a uniform rate on all persons residing in or earning or receiving income in the City of Highland Heights. The tax is levied on income, qualifying wages, commissions and other compensation, and on net profits as hereinafter provided in Section 111.3.03 of this Chapter 111.3 and other sections as they may apply.

            (2)    The funds collected under the provisions of this Chapter 111.3 shall be disbursed in the following manner:

                (a)    First, such part thereof as shall be necessary to defray all expenses of collecting the tax and of administering and enforcing the provisions of this chapter shall be paid.

                (b)    The balance remaining after payment of the expenses referred to in subsection (a) hereof shall be deposited as follows: the Director of Finance is hereby directed to deposit that sum equal to ninety-two and one-half percent (92.5%) of the proceeds of the Municipal income tax collected by the City of Highland Heights into the General Fund and to deposit that sum equal to seven and one-half percent (7.5%) of the proceeds of the Municipal income tax collected by the City of Highland Heights, in the General Bond Retirement Fund.

   (C)    The tax on income and the withholding tax established by this Chapter 111.3 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. (Ord. 31-2023. Passed 12-12-23.)