(a) As used in this Chapter, the following words shall have the meaning ascribed to them in this Section, except as and if the context clearly indicates or requires a different meaning.
(1) “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 required additions and deductions. Pass-through entities must compute “Adjusted Federal Taxable Income” as if the pass-through was a “C” corporation. This definition does not apply to any taxpayer required to file a return under Ohio Revised Code (ORC) 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, 2007.
(2) “Administrative Rulings” means the rulings issued by the Tax Administrator, upon the request of a taxpayer or employer, interpreting this Chapter and the Rules and Regulations. Administrative Rulings shall be binding and effective upon issuance as to the taxpayer or employer requesting the ruling.
(3) “Administrator” means the person designated to administer and enforce the provisions of the City of Oxford Income Tax Ordinance, who also may be referred to in this Chapter as the “Tax Administrator.”
(4) “Association” means a partnership, limited partnership, limited liability company, limited liability partnership, Subchapter S corporation (“S” corporation) as defined in the Internal Revenue Code, or any other form of unincorporated enterprise, taxed on a pass-through basis under the Internal Revenue Code. The terms “association”, “pass-through entity,” and “unincorporated business entity” are synonymous for purposes of this Chapter and the Rules and Regulations.
(5) “Board of Review” means the Board created by and constituted as provided in Section 181.13.
(6) “Business” means an enterprise, activity, profession or undertaking of any nature conducted for profit or ordinarily conducted for profit , whether by an individual, partnership, association, corporation or any other entity, including but not limited to the renting or leasing of property, real, personal or mixed. For purposes of determining if “business is conducted within the city,” any direct and/or indirect ownership of an interest in an association, pass-through entity, or unincorporated business entity that conducts business within the City is considered included.
(7) “City” means the City of Oxford, Butler County, Ohio.
(8) “Commissioner” means the person designated by the Tax Administrator and appointed by the City Manager to direct the operation of the Municipal Income Tax Division.
(9) “Corporation” means a corporation or joint stock association organized under the laws of the United States, the State of Ohio or any other state, territory or foreign country or dependency, or any unincorporated entity treated as a corporation for federal income tax purposes. “Corporation” also includes a combined company, an electric company and a telephone company, as defined in ORC Section 5727.01.
(10) “Domicile” means a principal residence that the taxpayer intends to use for an indefinite period of time and to which whenever he is absent he intends to return. A “Domicile” is the permanent legal residence of a taxpayer. A taxpayer has only one domicile even though he may have more than one residence.
(11) “Employee” means one who works for qualifying wages, salary, commission or any other type of compensation in the service of an employer.
(12) “Employer” means a individual, partnership, association, corporation, governmental body, unit or agency, or any other entity, whether or not organized for profit, who or that employees one or more persons on a qualifying wage, salary, commission or other compensation basis.
(13) “Fiscal year” means an accounting period of twelve months or less ending on any day other than December 31.
(14) “Form 2106” means Internal Revenue Service Form 2106 filed by a taxpayer pursuant to the Internal Revenue Code.
(15) “Generic form” means an electronic or paper form designed for reporting estimated municipal income taxes and annual municipal income tax liability that is not prescribed by a particular municipal corporation for the reporting of that municipal corporation’s tax on income.
(16) “Gross receipts” means the total income from any source whatsoever.
(17) “Gross income” means all monies derived from any source whatsoever, including, but not limited to:
A. All salaries, qualifying wages, commissions, other compensation, and other income from whatsoever source received by residents of the City.
B. All salaries, qualifying wages, commissions, other compensation and other income from whatsoever source received by nonresidents for work done or services performed or rendered or activities conducted in the City.
C. The portion attributable to Oxford of the net profits of all unincorporated businesses, associations, professions, corporations, or other entities, from sales made, work done, services performed or rendered, and business or other activities conducted in the City.
(18) “Income from a pass-through entity” means partnership income or partners, distributive shares of shareholders of an S corporation, membership interests of members of a limited liability company, or other distributive or proportionate ownership shares of other pass-through entities.
(19) “Intangible income” means that income specified in ORC Section 718.01(A)(5) including any of the following types of income: income yield, interest, capital gains, dividends, or other income arising from the ownership, sale, exchange or other disposition of intangible property including, but not limited to, investments, deposits, money or credits as those terms are defined in ORC Chapter 5701, and patents, copyrights, trademarks, tradenames, investments in real estate investment trusts, investments in regulated investment companies, and appreciation on deferred compensation. “Intangible income” does not include prizes, awards or other income associated with, attributable to or derived from any lottery winnings or other similar games of chance.
(20) “Internal Revenue Code” means the Internal Revenue Code of 1986, 100 Stat. 2085, 26 U.S.C.1, as amended. The Internal Revenue Code is often abbreviated IRC.
(21) “Internet” means the international computer network of both Federal and nonfederal interoperable packet switched data networks, including the graphical subnetwork known as the World Wide Web.
(22) “Joint Economic Development District” means districts created under the ORC Sections 715.70 and 715.71, as amended from time to time.
(23) “Limited liability company” means a limited liability company formed under ORC Chapter 1705 or under the laws of another state.
(24) “Municipality” means the City of Oxford, Butler County, Ohio.
(25) “Net profits” means:
A. If the taxpayer is a corporation, the corporation’s “adjusted federal taxable income” as that term is defined in ORC Sections 718.01(A)(1)(a)-(f);
B. If the taxpayer is an “association,” “pass-through entity,” or “unincorporated business entity,” “adjusted federal taxable income’ as that term is defined in ORC Section 718.01(A)(1)(g); and
C. If the taxpayer is an individual, the individual’s profit, other than amounts specifically excluded in ORC Section 718.01(F), required to be reported on federal Schedule C, Schedule E, or Schedule F, as provided by the Internal Revenue Service.
(26) “Nonresident” means an individual domiciled outside the City of Oxford, Ohio.
(27) “Nonresident owner” means an individual domiciled outside the City who has a direct or indirect ownership interest in an association, pass-through entity or unincorporated business entity that conducts business in the City or a corporation that has a direct or indirect ownership interest in an association, pass-through entity or unincorporated business entity that conducts business in the City.
(28) “Nonresident unincorporated business entity” means an unincorporated business entity not having an office or place of business within the City.
(29) “Ohio Revised Code” means the codified statutes of the State of Ohio, as amended. Ohio Revised Code is often abbreviated ORC.
(30) “Other payer” means any person, other than an individual’s employer or the employer’s agent that pays an individual any amount included in the federal gross income of the individual.
(31) “Owner” means an individual, partner, member, or any other person having an ownership interest in an association, pass-through entity, or unincorporated business entity.
(32) “Pass-through entity” means a partnership, limited liability company, S corporation or any other type of entity the income or profits of which are given pass-through treatment under the Internal Revenue Code. Income from a pass-through entity” includes partnership income of partners, membership interests of members of a limited liability company, distributive shares of shareholders of an S corporation, or other distributive or proportionate ownership shares of income from other pass-through entities.
(33) “Person” means every natural person, partnership, fiduciary, association, or corporation or other entity. Whenever used in any clause prescribing and imposing a penalty, the term “person” as applied to any association, pass-through entity and unincorporated business entity shall include the partners or members thereof, and as applied to corporations, the officers thereof.
(34) “Place of business” means any bona fide office, other than a mere statutory office, factory, warehouse or other space which is occupied and used by, the taxpayer in carrying on any business activity individually or through one or more of his regular employees regularly in attendance.
(35) “Principal place of business” means, in the case of an employer having its headquarters activities at a place of business within a taxing municipality, the place of business at which the headquarters is situated. In the case of any employer not having its headquarters activities at a place of business within a taxing municipality, the term means the largest place of business within a taxing municipality.
(36) “Qualified plan” means a retirement plan satisfying the requirements under Section 401 of the Internal Revenue Code as amended.
(37) “Qualifying wages” means wages, as defined in Section 3121(a) of the Internal Revenue Code, without regard to any wage limitations, adjusted a provided in division (A)(2) of ORC Section 718.03. “Qualifying wages” includes compensation attributable to a nonqualified deferred compensation plan or program as defined in Section 3121 9v)(2)(C) of the Internal Revenue Code (IRC) and compensation arising from the sale, exchange or other disposition of stock purchased by the stock option. “Qualifying wages” does not include compensation deferred before January 1, 2004, to the extent that the deferred compensation does not constitute “qualifying wages” when paid or distributed.
(38) “Resident” means:
A. An individual, partnership, association, corporation or other entity domiciled in this City; or
B. The estate of a decedent who at the time of such decedent’s death was domiciled in this City.
(39) “Resident owner” means an individual domiciled in the City who has an interest in an association, pass-through entity, or unincorporated business entity.
(40) “Resident unincorporated business entity” means an unincorporated business entity having an office or place of business within the City.
(41) “Return preparer” means any person other than a taxpayer that is authorized by a taxpayer to complete or file an income tax return, report, or other document for or on behalf of the taxpayer.
(42) “Rules and regulations” mean the Rules and Regulations promulgated by the Tax Administrator and approved by the Board of Review.
(43) “Schedule C” means Internal Revenue Service Schedule C filed by a taxpayer pursuant to the Internal Revenue Code.
(44) “Schedule E” means Internal Revenue Service Schedule E filed by a taxpayer pursuant to the Internal Revenue Code.
(45) “Schedule F” means Internal Revenue Service Schedule F filed by a taxpayer pursuant to the Internal Revenue Code.
(46) “S Corporation” means a corporation that has made an election under Subchapter S of Chapter 1 of Subtitle A of the Internal Revenue Code for its taxable year.
(47) “State” means State of Ohio.
(48) “Taxable income” is Gross Income minus deductions and credits allowed by this Chapter. “Taxable Income” includes any and all income earned or received by an individual or an entity, the taxation of which by the City is not prohibited by federal law, state law, or not specifically exempted by Section 181.03(e) of this Chapter. “Taxable Income shall include, but is not limited to qualifying wages, salaries, lottery winnings and other winnings from any and all types of gambling as well as compensation earned by an employee before any deduction and/or the net profits from the operation of a business, profession, or other enterprise or any activity.
(49) “Taxable Situs” means that portion of a taxpayer’s net profits attributable to the City where the taxpayer conducts a business or profession both within and without the City, determined in accordance with ORC Section 718.02.
(50) “Taxable year” means the calendar year, or the fiscal year upon the basis of which the net profits are to be computed under this Chapter and, in the case of return for a fractional part of a year, the period for which such return is required to be made.
(51) “Taxing municipality” means a municipality levying a tax on income earned by nonresidents working within such municipality and or on income earned by its residents.
(52) “Taxpayer” means a person, whether an individual, partnership, association or corporation or other entity, required by this Chapter to file a return or pay a tax.
(53) “Tenant” means the person or persons who sign a written lease, rental agreement or enter into an oral contract with the owner or owner representative to occupy and creates a domicile within the City.
(54) “Unincorporated Business Entity” means either an “association,” “pass- through entity” or “corporation,” determined by the treatment afforded such entity for federal income tax purposes.
(b) The singular shall include the plural, the masculine shall include the feminine and the neuter, and all periods set forth shall be inclusive of the first and last mentioned dates.
(Ord. 2957. Passed 5-1-07.)