(A) When compensation is paid or payable for work done or services performed or rendered by an employee, both within and without the city, the compensation tax shall be measured by that part of the compensation paid or payable as a result of the work done or service performed or rendered within the city. The compensation tax shall be computed by obtaining the percentage which the compensation for work performed or services rendered within the city bears to the total wages and compensation paid or payable. In order for the city to verify the accuracy of a taxpayer's reported payments under this chapter, the taxpayer's employer shall maintain adequate records.
(B) All income earned by partnerships, S corporations and all other entities where income is "passed through" to the owners are not subject to this chapter.
(C) If any business entity dissolves, ceases to operate or withdraws from the city during any taxable year, or if any business entity in any manner surrenders or loses its charter during any taxable year, the dissolution, cessation of business, withdrawal or loss or surrender of charter shall not defeat the filing of returns and the assessment and collection of any compensation tax due from the employees of the business for the period of that taxable year during which the business entity had business activity in the city.
(Ord. 8-2013, passed 8-5-2013; Ord. 14-2022, passed 12-5-2022)