§ 151.02  DEFINITIONS.
   (A)   As used in this chapter, the following words shall have the meaning ascribed to them in this section, except as and if the context indicates or requires a different meaning.
   ASSOCIATION.  A partnership, limited partnership, or any other form of unincorporated enterprise, owned by two or more persons.
   BOARD OF REVIEW.  The Board created by and constituted as provided for in § 151.13 of this chapter.
   BUSINESS.  An enterprise, activity, profession, or undertaking of any nature conducted for profit or ordinarily conducted for profit, whether by an individual, partnership, association, corporation, or any other entity, including but not limited to the renting or leasing of property, real, personal, or mixed.
   CORPORATION.  A corporation or joint stock association organized under the laws of the United States, the State of Ohio, or any other state, territory, or foreign country or dependency.
   DOMICILE.  A principal residence that the taxpayer intends to use for an indefinite time and to which, whenever the taxpayer is absent, the taxpayer intends to return.  A taxpayer has only one domicile even though a taxpayer may have more than one residence.
   EMPLOYEE.  One who works for wages, salary, commission, or other types of compensation in the services of any employer.
   EMPLOYER.  An individual, partnership, association, corporation, governmental body, unit, or agency, or any other entity, whether or not organized for profit, who or that employs one or more persons on a salary, wage, commission, or other compensation basis.
   FISCAL YEAR.  An accounting period of 12 months ending on any day other than December 31.
   GROSS RECEIPTS.  Total income of taxpayers from whatever source received.
   MUNICIPALITY.  The City of Lebanon, Ohio.
   NET PROFITS.  The net gain from all operations including those pertaining to capital gains and losses of a business, profession, or enterprise after provision for all ordinary and necessary expense, except taxes imposed by this chapter and federal and other taxes based on income, paid or accrued in accordance with the accounting system used by the taxpayer for federal income tax purposes, and, in the case of an association, without deduction of salaries paid to partners or other owners.
   NONRESIDENT.  A person, whether an individual, association, corporation, or other entity, domiciled outside the city.
   PERSON.  Every natural person, partnership, fiduciary, association, corporation, or other entity. Whenever used in any clause prescribing and imposing a penalty, the term “person” as applied to any association shall include the partners or members thereof, and as applied to a corporation, the officers thereof.
   PLACE OF BUSINESS.  Any bona fide office (other than a mere statutory office), factory, warehouse, or other space which is occupied and used by the taxpayer in carrying on any business activity, individually or through one or more of his or her employees, regularly in attendance.
   QUALIFYING WAGES.
      (1)   An employer is required to withhold only on QUALIFYING WAGES, which are wages as defined in IRC Section 3121(a), generally the Medicare Wage in Box 5 of the Form W-2, with an exception to include exempt employees hired before April 1, 1986.
         (a)   Cafeteria plans.  IRC Section 125 wages are not included in the definition of Medicare wages and do not need to be deducted from Box 5.
         (b)   Stock options.  Income from the exercise of stock options is included in the definition
of QUALIFYING WAGES.
         (c) Non-qualified deferred compensation plan.  Income from non-qualified plans are included in the definition of QUALIFYING WAGES at the time they are deferred.  Distributions received after January 1, 2004 will no longer be subject to local taxation.
      (d)   401(k), 457 and Supplemental Unemployment Compensation Benefits.  These items all should be included in Box 5 and subject to withholding requirements.
      (e)   Disqualifying disposition of an incentive stock option.  Employer is not required to withhold, but the income is considered QUALIFYING WAGES and the recipient is liable for the tax.
   (2)   The taxpayer or employer is required to give an explanation when Box 5 is not the largest wage figure on the W-2.
   RESIDENT.  A person, whether an individual, association, corporation, or other entity, domiciled in the city.
   TAX YEAR.  The calendar year, or the fiscal year upon the basis of which net profits are to be computed under this chapter and, in the case of a return for a fractional part of a year, the period for which such return is required to be made.
   TAX COMMISSIONER.  The Tax Commissioner of the city or the person executing the duties of the aforesaid Commissioner.
   TAXABLE INCOME. Qualifying wages, including sick and vacation pay, bonuses,  commissions, incentive payments, settlements, stock options, grievance pay, severance pay, any pay as part of an employee buyout or wage continuation plan and other compensation paid by an employer or employers, compensation for personal services, gambling winnings, other income defined by statute as taxable, and/or adjusted federal taxable income from the operation of a business, profession or other enterprise or activity adjusted in accordance with  the provisions of this chapter.
   TAXPAYER.  A person, whether an individual, partnership, association, corporation or other entity, required by this chapter to file a return or pay a tax.
   (B)   The singular shall include the plural, and the masculine shall include the feminine and the neuter.
(Am. Ord. 8021, passed 12-28-00; Am. Ord. 8882, passed 12-9-03; Am. Ord. 9337, passed 6-13-06)