(a) To provide funds for the purposes of general Municipal operations, maintenance, new equipment, extension and enlargement of Municipal services and facilities, and capital improvements, the City hereby levies an annual Municipal income tax on income, qualifying wages, commissions and other compensation, and on net profits as hereinafter provided.
(b) The annual tax is levied at a rate of one and one-half percent (1-1/2%). The tax is levied at a uniform rate on all persons residing in or earning or receiving income in the City. The tax is levied on income, qualifying wages, commissions and other compensation, and on net profits as hereinafter provided in Section 794.03
, and other sections as they may apply.
(c) The tax on income and the withholding tax established by this chapter 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 R.C. Chapter 718. This chapter is effective for tax years beginning on or after January 1, 2016. Municipal taxable years beginning on or before December 31, 2015 are subject to the provisions of Chapter 793 and amendments thereto, and rules and regulations and amendments thereto, as they existed prior to January 1, 2016.
(d) For purposes of this chapter, income tax collections shall be defined as base income tax, which represents the rate of 1%, and additional income tax, which represents the rate of 0.5%. all income tax receipts collected shall be allocated and disbursed by the Director of Finance in the following manner:
(1) The base income tax collected under this chapter shall be disbursed by the Director of Finance to the general fund of the city.
(2) The additional income tax collected under this chapter shall be disbursed by the Director of Finance in the following manner:
A. First, the part of the income tax funds necessary to defray the expense of collecting the income tax and administering and enforcing the chapter shall be paid; and
B. The remaining additional income tax funds shall be paid into the following funds:
1. Two hundred thousand dollars ($200,000) to the sidewalk repair fund;
2. Sixty percent (60%) of the remaining additional income tax funds to the road improvement fund; and
3. Forty percent (40%) of the remaining additional income tax funds to the public property improvement fund.
(Ord. 2015-38. Passed 12-14-15; Ord. 2019-37. Passed 11-25-19; approved by electors 3-17-20.)