(a) An employee whose entire wages, salaries or other compensation for any taxable year will be subjected to the withholding provisions under Section 181.18 and whose tax will accordingly be withheld as to this entire earnings for such year by his employer, and who during such taxable year expects to derive no other compensation or other income which is subject to tax under this chapter, need not file a declaration as provided in this section.
(b) All other taxpayers, as defined in this chapter subject to the taxes imposed in Section 181.02, and every taxpayer who anticipates any income or net profits not subject to total withholdings as provided in the next preceding paragraph, shall file with the Village Income Tax Clerk a declaration of his estimated tax as follows: On or before April 30 of each calendar year, taxpayer shall file a declaration of his estimated tax for the taxable period beginning January 1, and ending December 31 of the calendar year. Taxpayers filing joint returns shall file joint declarations of estimated taxes.
(c) Taxpayers that are not individuals, who are permitted pursuant to the provisions of Section 181.03 to file a return and pay their tax upon a fiscal year basis, shall file their declaration on or before the fifteenth day of the fourth month following the beginning of each such fiscal year. Those taxpayers on a fiscal year basis shall make payments as follows
22½% | by the 15th day of the fourth month of the taxpayer's taxable year; |
45% | by the 15th day of the sixth month; |
67½% | by the 15th day of the ninth month; and |
90% | by the 15th day of the 12th month. |
(d) The estimated tax for calendar year taxpayers may be paid in full with the filing of the declaration or in installments as follows:
(1) For calendar year taxpayers that are individuals:
22½% | by April 15th |
45% | by July 15th |
67½% | by October 15th |
90% | of the tax liability for the taxable year, on or before the fifteenth (15th) day of the first month of the following taxable year. |
Any amounts deducted and withheld for taxes from the compensation of an individual shall be considered as estimated taxes paid in equal amounts on each of the payment dates.
(2) For calendar year taxpayers that are not individuals:
22½% | on or before the fifteenth (15th) day of the fourth month after the beginning of the taxable year; |
45% | on or before the fifteenth (15th) day of the sixth month after the beginning of the taxable year; |
67½% | on or before the fifteenth (15th) day of the ninth month after the beginning of the taxable year; |
90% | on or before the fifteenth (15th) day of the twelfth month of the taxable year. |
(e) The declarations so required shall be filed upon a form furnished by or obtainable from the Clerk-Treasurer. Any taxpayer who has filed an estimate for Federal Income Tax purposes may, in making the declaration required hereunder, simply state therein that the figures therein contained are the same figures used by the taxpayer in making the declaration of his estimate for the Federal Income Tax. However, in addition to such statement, any such taxpayer may, in such declaration, modify and adjust such declared income so as to exclude therefrom income which is not subject to tax under this chapter.
(f) Any estimate filed hereunder may be amended by the filing of an amended estimate at the time prescribed for the payment of any installment of tax paid in accordance with subsection (g) hereof.
(g) If any such taxpayer shall, on or before any of the installment payment dates specified herein, file an amended declaration showing an increase or decrease of the estimated tax, the installments then and thereafter due shall be increased or diminished (as the case may be) in such manner that the balance of the estimated tax shall be fully paid on or before the last date of payment for the taxable year.
(h) An underpayment of any portion of tax liability shall be deemed due to reasonable cause and no penalty shall be added to the taxes for the taxable year if any of the following apply:
(1) The amount of estimated taxes that were paid equals at least ninety per cent of the tax liability for the current taxable year, determined by annualizing the income received during the year up to the end of the month immediately preceding the month in which the payment is due.
(2) The amount of estimated taxes that were paid equals at least one hundred per cent of the tax liability shown on the return of the taxpayer for the preceding taxable year, provided that the immediately preceding taxable year reflected a period of twelve months and the taxpayer filed a return with the Village for that year.
(3) The taxpayer is an individual who resides in the municipal corporation but was not domiciled there on the first day of January of the calendar year that includes the first day of the taxable year.
(i) The Income Tax Clerk may waive the requirement for filing a declaration of estimated taxes for any class of taxpayers after finding that the waiver is reasonable and proper in view of administrative costs and other factors.
(Ord. 2017-29. Passed 11-27-17.)