(A) Income tax that has been deposited or paid to the Municipality, but should have been deposited or paid to another municipal corporation, is allowable by the Municipality as a refund, but is subject to the three year limitation on refunds as provided in Section 182.096
of this Chapter.
(B) Income tax that was deposited or paid with another municipality but should have been deposited or paid to the City of Milford is subject to collection and recovery by the City of Milford. If the City of Milford's tax on that income is imposed after the time period allowed for a refund of the tax or withholding paid to the other municipality, the City of Milford shall allow a nonrefundable credit against the tax or withholding the City of Milford claims is due with respect to such income or wages, equal to the tax or withholding paid to the first municipality with respect to such income or wages.
If the City of Milford's tax on that income is imposed after the time period allowed for a refund of the tax or withholding paid to the other municipality, the City of Milford shall allow a nonrefundable credit against the tax or withholding the City of Milford claims is due with respect to such income or wages, equal to the tax or withholding paid to the first municipality with respect to such income or wages.
To the extent a refund of such tax or withholding is barred by the limitation on refunds as provided in Section 182.096
, the Municipality will allow a non-refundable credit equal to the tax or withholding paid to the other municipality against the income tax the Municipality claims is due.
(C) If the City of Milford's tax rate is less than the tax rate in the other municipality, then the nonrefundable credit shall be calculated using the City of Milford's tax rate.
However, if the City of Milford's tax rate is greater than the tax rate in the other municipality, the tax due in excess of the nonrefundable credit is to be paid to the City of Milford, along with any penalty and interest that accrued during the period of nonpayment.
(D) Nothing in this section permits any credit carryforward when the overpayment is beyond the three-year limitation for refunding of same as provided in Section 182.096
of this Chapter.
(Ord. 18-1379. Passed 6-19-18.)