(a) Each taxpayer, eighteen (18) years of age or older if an individual, whose income and/or net profits are subject to the tax imposed by this chapter shall, whether or not tax is due thereon, make and file a final return with the Income Tax Clerk on or before April 15th of each year, on a form obtainable from the Income Tax Clerk or a generic form, setting forth the aggregate amount of income, salaries, wages or other compensation and net profits earned or received by him or her during the preceding year or period. However, when the final return is made for a fiscal year or other period different from the calendar year, the return shall be made within one hundred five (105) days from the end of such fiscal year or other period. The final tax return for each year shall be accompanied by W-2's and 1099's issued to and received by the taxpayer.
(b) The return shall also show the amount of the tax imposed on such income and profits. The taxpayer making the return shall, at the time of the filing thereof, pay to the Village of North Kingsville the amount of taxes shown as due thereon. However, where any portion of such tax has been paid by such taxpayer pursuant to Section 181.06, Tax Withheld by Employer, and/or Section 181.07, Estimated Tax Payments, or Section 181.08, Credits, credit for the amount so paid shall be deducted from the amount shown to be due and only the balance, if any, shall be due and payable at the time of filing such final return. Schedules needed to support the tax returns are to be filed with the tax return, as well as other pertinent statements, information returns or other information as the Income Tax Clerk may require.
(c) The W-2 Form of any employer or employee showing the amount of tax deducted by such employer from the income, salaries, wages or compensation of any nonresident employee, and paid by him or her to the Village of North Kingsville, shall, at the discretion of the Clerk Treasurer, be accepted as the return required of any employee whose sole income subject to the tax of one percent is such income, salaries, wages or compensation.
(d) Extension of Time for Filing Returns.
(1) Taxpayers granted extensions of time for filing their federal income tax returns may have an extension for filing their North Kingsville Tax Return provided that a copy of the federal extension is filed with the Income Tax Clerk on or before the original due date of the North Kingsville Tax Return. The Income Tax Clerk can refuse an extension if the taxpayer did not file a timely request or the taxpayer’s Village of North Kingsville tax account is delinquent in any manner (i.e., failed to file required documents or owes delinquent taxes, or penalties, and/or interest).
(2) The extended date for filing the North Kingsville return will be the same as the extended date for the federal return regardless of the original due date of the tax return, excepting that for taxable year 2004 the extended due date shall be the last day of the month following the month to which the due date of the federal income tax return has been extended, and for tax years 2005 and later shall be the last day of the month to which the due date of the federal income tax return has been extended. The granting of an extension for the filing of a Village of North Kingsville Income Tax Return does not extend payment; hence, interest will be charged from the original due date of the return until date of actual payment, at the rate of one percent (1%) per month.
(3) If a taxpayer wishes to extend the time for filing the North Kingsville tax return to a date beyond that provided above, the taxpayer must file such a request in writing to the Income Tax Clerk prior to the due date of the automatic extension.
(e) Where necessary, an amended return shall be filed in order to report additional income and pay any additional tax due, or claim a return of tax overpaid, subject to the requirements and/or limitations contained in Section 181.15. Such amended return shall be on a form obtainable on request from the Income Tax Clerk. A taxpayer may not change the method of accounting (i.e., cash or accrual) or apportionment of net profits after the due date for filing the annual return.
(f) Within three months from the final determination of any Federal tax liability affecting the taxpayer's North Kingsville tax liability, such taxpayer shall make and file an amended North Kingsville return showing income subject to the North Kingsville tax based upon such final determination of Federal tax liability, and pay any additional tax shown due thereon or make claim for return of any overpayment.
(g) The officer and/or employee of such employer 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 tax, penalties, or interest due as required herein. The dissolution, bankruptcy or reorganization of any such employer does not discharge any officer's or employee's liability for a prior failure of such business to file a return and/or pay taxes, penalties, and/or interest due.
(h) The Tax Return is considered received if mailed, on the date postmarked by the United States Post Office Postal Service or on the date delivered without mailing to the Village of North Kingsville Tax Office.
(i) Consolidated Returns.
(1) Consolidated returns may be filed by a group of corporations who are affiliated through stock ownership provided such group files consolidated returns for federal income tax purposes. For a subsidiary corporation to be included in a consolidated return, eighty percent (80%) of its stock must be owned by the other members of the affiliated group. A consolidated return must include all companies which are so affiliated.
(2) Once a consolidated return has been filed for any taxable year the consolidated group must continue to file consolidated returns in subsequent years unless:
A. Permission in writing is granted by the Tax Clerk to file separate returns.
B. A new corporation other than a corporation created or organized by a member of the group has become a member of the group during the taxable year.
C. A corporation member of the group is sold or exchanged. Liquidating a corporation or merging one of the corporations of the group into another will not qualify the group for filing separate returns.
(3) If a corporation becomes a member of the group during the taxable year, the consolidated return must include the income from the entire taxable year of the common parent corporation and any subsidiaries which were members of the group for the entire year, plus the income of each subsidiary which becomes a member of the group during the year for the period beginning with the date it became a member of the affiliated group. For the period prior to the time any subsidiary became a member of the group, separate returns must be filed for that subsidiary. When a subsidiary ceases to be a member of the affiliated group, the consolidated return must include the income of such subsidiary for the period during which it was a member of the group, but separate returns must be filed for the period after it ceases to be a member.
If a corporation has been a member of the affiliated group for less than one month of the taxable year of the group, it may be considered as not being part of the group. Similarly, a subsidiary may be considered as being a member of the affiliated group during the entire taxable year of the group if the period during which it was not a member of the group does not exceed one month. If a subsidiary is a member of a consolidated group for only part of a taxable year, the income considered to be earned in such fractional part of the year shall be that portion of the net income for the entire year which the number of days it was a member of the group bears to the total number of days in the taxable year.
(4) In determining the allocation fraction where a corporation becomes a member of the group or ceases to be a member of the group during the taxable year, the property factor (Step 1 of the formula) shall be determined on the basis of the average net book value of the property during the period such corporation was a member of the group. The rental portion of the factor, however, shall be computed at 8 times the annual rent. The gross receipts and wage factors shall be based on the actual figures.
(5) All subsidiary corporations must agree in writing to the filing of the consolidated return, as they will be liable for the tax as well as the parent corporation.
(j) Any business, profession, association or corporation reporting a net loss is subject to the filing requirements of this chapter.
(k) Payments received for taxes due shall be allocated first to penalties due, then to interest due, and then to taxes due.
(l) If it appears that such taxpayer has paid more than the amount of tax to which the Village of North Kingsville is entitled, a refund of the amount so overpaid shall be made or the same may be applied toward the declaration of tax due for the ensuing year. (Ord. O-04-038. Passed 7-6-04.)