(a) As used in this section:
(1) "Applicable law" means this chapter, the resolutions, ordinances, codes, directives, instructions, and rules adopted by a municipal corporation provided such resolutions, ordinances, codes, directives, instructions, and rules impose or directly or indirectly address the levy, payment, remittance, or filing requirements of a municipal income tax.
(2) "Income tax," "estimated income tax," and "withholding tax" means any income tax, estimated income tax, and withholding tax imposed by a municipal corporation pursuant to applicable law, including at any time before January 1, 2016.
(3) "Return" includes any tax return, report, reconciliation, schedule, and other document required to be filed with a Tax Administrator or municipal corporation by a taxpayer, employer, any agent of the employer, or any other payer pursuant to applicable law, including at any time before January 1, 2016.
(4) "Federal short-term rate" means the rate of the average market yield on outstanding marketable obligations of the United States with remaining periods to maturity of three years or less, as determined under Section 1274 of the Internal Revenue Code, for July of the current year.
(5) "Interest rate as described in division (a) of this section" means the Federal short-term rate, rounded to the nearest whole number percent, plus 5%. The rate shall apply for the calendar year next following the July of the year in which the federal short-term rate is determined in accordance with division (a)(4) of this section.
(6) "Unpaid estimated income tax" means estimated income tax due but not paid by the date the tax is required to be paid under applicable law.
(7) "Unpaid income tax" means income tax due but not paid by the date the income tax is required to be paid under applicable law.
(8) "Unpaid withholding tax" means withholding tax due but not paid by the date the withholding tax is required to be paid under applicable law.
(9) "Withholding tax" includes amounts an employer, any agent of an employer, or any other payer did not withhold in whole or in part from an employee's qualifying wages, but that, under applicable law, the employer, agent, or other payer is required to withhold. from an employee's qualifying wages.
(b) (1) This section applies to the following:
A. Any return required to be filed under applicable law for taxable years beginning on or after January 1, 2016;
B. Income tax, estimated income tax, and withholding tax required to be paid or remitted to the municipal corporation on or after January 1, 2016.
(2) This section does not apply to returns required to be filed or payments required to be made before January 1, 2016, regardless of the filing or payment date. Returns required to be filed or payments required to be made before January 1, 2016, but filed or paid after that date shall be subject to the ordinances or rules, as adopted before January 1, 2016, of the City.
(c) Interest shall be imposed at the rate described in division (a) of this section, per annum, on all unpaid income tax, unpaid estimated income tax, and unpaid withholding tax.
(d) Penalties shall be imposed as follows:
(1) With respect to unpaid income tax and unpaid estimated income tax, a penalty equal to 15% of the amount not timely paid.
(2) With respect to any unpaid withholding tax, a penalty equal to 50% of the amount not timely paid.
(3) With respect to returns other than estimated income tax returns, a penalty not exceeding twenty-five dollars ($25.00) for each failure to timely file each return, regardless of the liability shown thereon, except that the City shall abate or refund the penalty assessed on a taxpayer’s first failure to timely file a return after the taxpayer files that return.
(e) Upon the recommendation of the Tax Administrator, the local Board of Tax Review may, in its sole discretion, abate in whole or in part the penalties or interest imposed under this section. Such decision by the local Board of Tax Review shall not be subject to appeal.
(f) By the thirty-first day of October of each year the City shall publish the rate described in division (a) of this section applicable to the next succeeding calendar year.
(g) The City may impose on the taxpayer, employer, any agent of the employer, or any other payer the City's post-judgment collection costs and fees, including third party collector and attorney's fees.
(h) The City may impose on any taxpayer, employer, agent of the employer, or any other payer that wishes to pay any amount owed to the City under this chapter by credit card, a uniform convenience fee for the opportunity of doing so. The amount of the fee shall be determined from time to time by the Administrator.
(i) Whenever a taxpayer tenders a check in payment of any amount due under this chapter, or any portion that is due, which check is subsequently dishonored for any reason, and such taxpayer either fails, upon notice from the Tax Administrator, to discharge by payment or satisfaction within ten days after receipt of the notice, or has previously presented a check for payment of any amount owed under this chapter which was subsequently dishonored, the Tax Administrator shall charge the taxpayer a fee of twenty-five dollars ($25.00).
(j) Whenever a stop-payment fee or any other type of bank fee is tendered to the City on behalf of a taxpayer, the Treasurer shall charge the taxpayer the full amount of the fee.
(k) Any amount authorized by this section shall be collected by assessment in the same manner as the tax authorized by this chapter.
(Ord. 216-15. Passed 10-5-15; Ord. 155-18. Passed 9-17-18; Ord. 162-23. Passed 12-18-23.)