181.01 DEFINITIONS.

   As used in this chapter the following words shall have the meaning ascribed herein, unless otherwise provided.

   (a)   "Adjusted Federal Taxable Income" Means a "C" corporation's federal taxable income before net operating losses and special deductions as determined under the internal revenue code, but including subsequent adjustments from additions and deductions required by Section 718.01(a)(1) of the Ohio Revised Code. Pass-through entities and s corporations must compute "adjusted federal taxable income" as if the pass-through entity was a "C" corporation. This definition does not apply to any taxpayer required to file a return under Ohio Revised Code Section 5745.03 or to the net profit from a sole proprietorship. This definition is effective for tax years beginning on or after January 1, 2004.

   (b)    "Association" means a partnership, limited partnership or any other form of unincorporated enterprise, owned by two or more persons.

   (c)    "Board of Review" means the Board created by and constituted as provided in Section 181.13 hereof.

   (d)    "Business" means an enterprise, activity, profession or undertaking of any nature conducted for profit or ordinarily conducted for profit, whether by an individual, copartnership, association, corporation or any other entity.

   (e)    "Village" or "Municipality" means the Village of Middlefield, Ohio.

   (f)    "Tax Administrator" or “Administrator” means the person so designated and appointed by Council or the person executing the duties of the Administrator. The Tax Administrator shall be appointed as provided by Section 135.10 of the Codified Ordinances.

   (g)    "Corporation" means a corporation or joint stock association organized under the laws of the United States, Ohio or any other state, territory or foreign country or dependency

   (h)    "Employee" means anyone who works for wages, salary, commissions or any other type of compensation in the services of an employer, as "employee" is defined in the Federal Internal Revenue Code.

   (i)    "Employer" means an individual, copartnership, 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.

   (j)    "Fiscal Year" means an accounting period of twelve months ending on any day other than December 31.

   (k)   "Fundamental Change" means any substantial alteration by an employer, including liquidation, dissolution, bankruptcy and reorganizations such as merger, consolidation, acquisition, transfer or change in identity, form or organization.

   (l)   "Generic Form" means an electronic or paper form or forms, approved by the Administrator, designed for reporting estimated municipal income taxes, and/or annual municipal income tax liability, and/or requests for refunds, which contain all the information required on the Village regular tax return, estimated payment form, and request for refund form, and are in a similar format that will allow processing of the generic forms without altering the Village procedures for processing forms.

   (m)    For taxable years prior to 2004, “net profits” means the net gain from the operation of a business, profession, or enterprise after provisions for all ordinary and necessary expenses, either paid or accrued, in accordance with the accounting system used by the taxpayer for federal income tax purposes and without deductions for taxes imposed by this chapter and federal and other taxes based on income and, in the case of unincorporated entity, without deduction of salaries paid to partners or other owners. For taxable years 2004 and later, the definition of “adjusted federal taxable income” modifies this definition with respect to “C” corporation, S corporations and pass-through entities.

   (n)    "Nonresident" means an individual domiciled outside the Municipality

   (o)    "Nonresident Unincorporated Business Entity" means an unincorporated business entity not having an office or place of business within the Municipality.

   (p)   "Ohio Business Gateway" means the online computer network system, initially created by the Department of Administrative Services under Section 125.30 of the Ohio Revised Code, that allows private businesses to electronically file business reply forms with state agencies and includes any successor electronic filing and payment system.

   (q)   "Pass-through Entity" means a partnership, limited liability company, or any other class of entity the income or profits from which are given pass-through treatment except an S corporation, under the Internal Revenue Code.

   (r)    "Person" means every natural person, copartnership, fiduciary, association or corporation or other entity. Whenever used in any clause prescribing and imposing a penalty, the term "person" as applied to association, shall mean the partners or members thereof and as applied to corporation, the officers thereof.

   (s)   "Qualifying Wage" means wages as defined in Section 3121 of the Internal Revenue Code, without regard to any wage limitations, but including subsequent adjustments from additions and deductions required by Section 718.01(1) of the Ohio Revised Code. "Qualifying wage" represents employees' income, including non-qualified deferred compensation and stock options, from which municipal tax shall be deducted by the employer, and any wages not considered a part of "qualifying wage" shall not be taxed by the Village. This definition is effective January 1, 2004, for taxable years 2004 and later.

   (t)    "Resident" means an individual domiciled in the Municipality.

   (u)    "Resident Unincorporated Business Entity" means an unincorporated business entity having an office or place of business within the Municipality.

   (v)    "Taxable Year" means the calendar year or the fiscal year ending during such calendar year, upon the basis of which the 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 made. Unless approved by the Tax Administrator, the taxable year of an individual shall be a calendar year.

   (w)    "Taxpayer" means a person, whether an individual, copartnership, association, or any other corporation or other entity, required hereunder to file a return or pay a tax. Except as provided in division (j) of Section 718.01 of the Ohio Revised Code, taxpayer does not include any person that is a disregarded entity or a qualifying subchapter S subsidiary for federal income tax purposes, but “taxpayer” includes any other person who owns the disregarded entity or qualifying subchapter S subsidiary.

   The singular shall include the plural and the masculine shall include the feminine and the neuter.
(Ord. 05-114. Passed 5-5-05; Ord. 09-114. Passed 5-7-09; Ord. 14-135. Passed 10-2-14.)