(a) Each employer within the City of Napoleon who employs one or more persons on a salary, wage, commission or other compensation basis (including tips and gratuities) shall deduct at the time of the payment of such salary, wage, commission or other compensation (including tips and gratuities), the tax imposed by this chapter.
(b) Notwithstanding the provisions of division (a) of this section, when an employer within the City of Napoleon employs a Napoleon resident in another taxing municipality which requires the employer to deduct the tax for such taxing municipality from the Napoleon resident employer there, such employer shall withhold and remit to the City of Napoleon the difference, if any, between the tax imposed by such other taxing municipality and the tax imposed by this chapter or shall withhold Napoleon tax on 100% of the income subject to Napoleon tax if the Napoleon resident/employee is employed in a location which does not impose municipal tax.
(c) Each employer shall, on or before the last day of the month following the close of each calendar quarter, make a return and pay to the Finance Director the amount of taxes so deducted. The return is considered timely filed if received or postmarked on or before the due date.
(d) Such employer, in collecting said tax, shall be deemed to hold same until payment is made by such employer to the City of Napoleon, as a trustee for the benefit of the City of Napoleon and any such tax collected by such employer from employees shall, until the same is paid to the City of Napoleon, be deemed a trust fund in the hands of such employer.
(e) On or before February 28th following any calendar year such employer shall file with the Finance Director an information return for each employee along with an annual reconciliation form from whom the income tax has been or should have been withheld, showing the name, address and social security number of the employee, the total amount of compensation paid during the year and the amount of the municipal income tax withheld from such employee. The information return shall include all of the information required to be reported to the Internal Revenue Service by the employer on a W-2 Form. At the time of filing this return, the employer shall pay over any amount deducted or which should have been deducted or withheld during the preceding year but which was not remitted.
(f) The officer or employee having control or supervision or charged with the responsibility of filing the return and making the payment, shall be personally liable for failure to file the return or pay the taxes, penalty and interest due as required herein. The dissolution, bankruptcy, or reorganization of any such employer does not discharge an officer's or employee's liability for a prior failure of such business to file a return or pay taxes and penalty and interest due.
(g) The Finance Director, for good cause shown, may extend the period for filing any return required to be filed under this section.
(h) All individuals, businesses, employers, brokers or others who are required under the Internal Revenue Code to furnish Form 1099 to IRS for individuals or businesses to whom or which they have paid non-employee compensation, shall furnish copies of the said Form 1099's to the Finance Director or in lieu thereof, a listing containing the same information as required by IRS on the 1099's on or before the due date for such Form 1099's as established by IRS. Failure to provide the foregoing information will result in any deduction for payment by the taxpayer taken on the taxpayer's tax return to be disallowed.
(Ord. 135-04. Passed 12-6-04.)