(a) Each employer within, or doing business within the municipality, who employs one or more persons on a salary, wage, commission or other compensation basis, shall deduct, at the time of the payment of the salaries, wages, commissions or other compensation, the tax of two and one-tenth percent of the gross salaries, wages, commissions or other compensation due by the employer to each employee. Employers withholding, on average during the preceding calendar year not more than $1,000 per month shall, on or before the last day of April, July, October, and January of each year, make a return and pay to the Tax Commissioner the amount of taxes so deducted during the preceding calendar quarter. Employers withholding, on average during the preceding calendar year more than $1,000 per month shall, on or before the last day of the succeeding month make a return and pay to the Tax Commissioner the amount of taxes so deducted during the preceding month. The return shall be on a form or forms prescribed by or acceptable to the Tax Commissioner and shall be subject to the rules and regulations prescribed therefore by the Tax Commissioner.
(b) Each employer, in collecting the tax, shall be deemed to hold the same, until payment is made by the employer to the municipality, as a trustee for the benefit of the municipality and any tax collected by the employer from his or her employees shall, until the same is paid to the municipality, be deemed a trust fund in the hands of the employer. Each employer shall be liable for the payment of the tax required to be deducted and withheld, whether or not the tax, in fact, has been withheld.
(c) It shall be the responsibility, jointly and severally, of the president and treasurer of each corporation required to withhold the tax from wages of its employees under this section, to see that all taxes so withheld are paid to the municipality in accordance with this section. If taxes withheld by a corporation from the salaries of its employees are not paid to the municipality in accordance with this section, the president and treasurer of the corporation shall each be criminally liable under §§ 882.18 and 882.99.
(d) On or before January 30 of each year, each employer shall file a reconciliation withholding return, on a form or forms prescribed by and obtainable from the Tax Commissioner, setting forth the names and addresses of all employees from whose compensation the tax was withheld during the preceding calendar year, the amount of tax withheld from the listed employees and such other information as may be required by the rules and regulations adopted by the Tax Commissioner.
(e) No person shall be required to withhold the tax on the wages or other compensation paid domestic servants employed exclusively in or about the person’s residence.
(f) Any officer or supervisor having control or supervision of, or charged with the responsibility of filing, any return or declaration required by this chapter, and with the responsibility for making payment of the tax or withheld income taxes, or any officer or supervisor of a corporation who is responsible for execution of the corporation’s fiscal responsibilities, shall be personally liable for the failure to file any return or declaration or pay the tax or employer withholding due by the provisions of this chapter. The dissolution, termination or bankruptcy of a corporation does not discharge a responsible officer’s or supervisor’s liability for failure of the corporation to file returns or declarations or pay tax or employer withholding when due.
(Ord. 1455, passed 5-17-1967; Am. Ord. 95-9, passed 2-6-1995; Am. Ord. 00-38, passed 10-17-2000; Am. Ord. 2005-39, passed 8-18-2005; Am. Ord. 2010-60, passed 9-21-2010) Penalty, see § 880.99