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§ 115.05 EMPLOYERS TO WITHHOLD.
   (A)   Every employer making payment of compensation to an employee shall deduct and withhold upon the payment of the compensation any tax imposed against the compensation by the city. Amounts withheld shall be paid to the city in accordance with this chapter.
   (B)   Every employer required to deduct and withhold tax under this section shall, for the quarter ending after January 1 and for each quarter ending thereafter, on or before the end of the month following the close of each quarter, make a return and report to the city, and pay to the city, the tax required to be withheld under this section, unless the employer is permitted or required to report within a reasonable time after some other period as determined by the city.
   (C)   Every employer who fails to withhold or pay to the city any sums required by this chapter to be withheld and paid shall be personally and individually liable to the city for any sum or sums withheld or required to be withheld in accordance with the provisions of this section.
   (D)   The city shall have a lien upon all the property of any employer who fails to withhold or pay over to the city sums required to be withheld under this section. If the employer withholds, but fails to pay the amounts withheld to the city, the lien shall commence as of the date the amounts withheld were required to be paid to the city. If the employer fails to withhold, the lien shall commence at the time the liability of the employer is assessed by the city.
   (E)   Every employer required to deduct and withhold tax under this section shall annually on or before February 28 of each year complete and file on a form furnished or approved by the city a reconciliation of the occupational license tax withheld where compensation is paid or payable to employees. Either copies of federal forms W-2 and W-3, transmittal of wage and tax statements, or a detailed employee listing with the required equivalent information, as determined by the city, shall be submitted.
   (F)   Every employer shall furnish each employee a statement on or before January 31 of each year showing the amount of compensation and occupational license tax deducted by the employer from the compensation paid to the employee for payment to the city during the preceding calendar year.
   (G)   An employer shall be liable for the payment of the tax required to be deducted and withheld under this section.
   (H)   The president, vice president, secretary, treasurer or any other person holding an equivalent corporate office of any business entity subject to this section shall be personally and individually liable, both jointly and severally, for any tax required to be withheld from compensation paid or payable to one or more employees of the business entity, and neither the corporate dissolution or withdrawal of the business entity from the city, nor the cessation of holding any corporate office, shall discharge that liability; provided that the personal and individual liability shall apply to each and every person holding the corporate office at the time the tax becomes or became obligated. No person shall be personally and individually liable under this division (H) unless such person had authority to collect, truthfully account for, or pay over the tax imposed by this chapter at the time that the taxes imposed by this chapter become or became due.
   (I)   Every employee receiving compensation in the city subject to the tax imposed under § 115.03 shall be personally liable for the tax notwithstanding the provisions of divisions (G) and (H) of this section. In all cases where the employer does not withhold the tax levied under this chapter from the employee, such employee or employees shall be responsible for filing with the city each quarter in the same manner as if they were the employer. If an employer fails to or is not required to withhold, report, or pay the license tax, it shall become the duty of the employee, to file with the city. The only employer not required to withhold, report, and pay the occupational license tax is the federal government including the United States Postal Service. The payment required to be made by an employee, can be made quarterly, for the periods ending March 31, June 30, September 30, and December 31 of each year, or at any time the employee wishes to make an estimated payment or the year in which wages are earned. All license taxes must be received by April 15 for the preceding calendar year, together with a copy of the employee’s W-2 form. Employers not required to withhold, report, or pay the license tax must annually during the month of January of each year, make a return to the Occupational Tax Administrator, in which is set forth the name and social security number of each employee of the employer during the preceding calendar year, giving the amount of salaries, wages, commissions or other compensation earned during such preceding year by each such employee. This list shall include all current full time employees, part time employees, temporary employees, and terminated employees whether it be voluntary or involuntary.
(Ord. 0-2008-002, passed 1-14-08) Penalty, see § 115.99
§ 115.06 RETURNS REQUIRED.
   (A)   All business entity returns for the preceding taxable year shall be made by April 15 of each year, except returns made on the basis of a fiscal year, which shall be made by the fifteenth day of the fourth month following the close of the fiscal year. Blank forms for returns shall be supplied by the city or its designated agent.
   (B)   Every business entity shall submit a copy of its federal income tax return and all supporting statements and schedules at the time of filing its occupational license tax return with the city. Whenever, in the opinion of the city, it is necessary to examine the federal income tax return of any business entity in order to audit the return, the city may compel the business entity to produce for inspection a copy of any statements and schedules in support thereof that have not been previously filed. The city may also require copies of reports of adjustments made by the federal government.
   (C)   Every business entity subject to an occupational license tax governed by the provisions of this chapter shall keep records, render under oath statements, make returns, and comply with rules as the city from time to time may prescribe. Whenever the city deems it necessary, the city may require a business entity, by notice served to the business entity, to make a return, render statements under oath, or keep records, as the city deems sufficient to determine the tax liability the business entity.
   (D)   The city may require, for the purpose of ascertaining the correctness of any return or for the purposes of making an estimate of the taxable income of any business entity, the attendance of a representative of the business entity or of any other person having knowledge in the premises.
   (E)   The full amount of the unpaid tax payable by any business entity, as appears from the face of the return, shall be paid to the city at the time prescribed for filing the occupational license tax return, determined without regard to any extension of time for filing the return. The taxpayer, at his or her option, may prepay any license tax due.
   (F)   It shall be the responsibility of persons who make IRS Form 1099 “non-employee compensation” payments to natural persons other than employees for services performed within the city, to maintain records of such payments and to report such payments to the city. Those payments must be reported on by remitting IRS Form 1099 by February 28 of the year following the close of the calendar year in which the non-employee compensation was paid. If a business entity or person is not required to remit IRS Form 1099 to the IRS, including but not limited to those making non-employee payments of less than six hundred dollars ($600.00), such entity or person is nevertheless required to remit the equivalent information to the city. The information required to be reported by such entities or persons shall include:
      (1)   Payer’s name, address, social security and/or federal identification number;
      (2)   Recipient’s name and address;
      (3)   Recipient’s social security and/or federal identification number;
      (4)   Amount of non-employee compensation paid in the calendar year; and
      (5)   Amount of non-employee compensation earned in the city for the calendar year.
(Ord. 0-2008-002, passed 1-14-08) Penalty, see § 115.99
§ 115.07 EXTENSIONS.
   (A)   The city, or its authorized agent, may grant any business entity an extension of not more than six (6) months, unless a longer extension has been granted by the Internal Revenue Service or is agreed to by the city and the business entity, for filing its return, if the business entity, on or before the date prescribed for payment of the occupational license tax, requests the extension and pays the amount properly estimated as its tax.
   (B)   If the time for filing a return is extended, the business shall pay, as part of the tax, an amount equal to twelve percent (12%) per annum simple interest on the tax shown due on the return, but not been previously paid, from the time the tax was due until the return is actually filed and the tax paid to the city. A fraction of a month is counted as an entire month.
   (C)   The penalty assessed a taxpayer under § 115.99 shall not be assessed on the difference between the tax due and payment made with a properly filed "Application for Extension of Time to File Net Profits License Tax Return" under division (A) if the properly estimated tax is seventy-five percent (75%) or greater than the tax due.
(Ord. 0-2008-002, passed 1-14-08; Am. Ord. 0-2010-026, passed 11-8-10; Am. Ord. 0-2011-004, passed 1-26-11) Penalty, see § 115.99
§ 115.08 REFUNDS.
   (A)   Where there has been an overpayment of tax under § 115.05, a refund or credit shall be made to the employer only to the extent that the amount of the overpayment was not deducted and withheld under § 115.05 by the employer.
   (B)   Unless written application for refund or credit is received by the city from the employer within two (2) years from the date the overpayment was made, no refund or credit shall be allowed.
   (C)   An employee who has compensation attributable to activities performed outside the city, based on time spent outside the city, whose employer has withheld and remitted to this city, the occupational license tax on the compensation attributable to activities performed outside the city, may file for a refund within two (2) years of the date prescribed by law for the filing of a return. The employee shall provide a schedule and computation sufficient to verify the refund claim and the city may confirm with the employer the percentage of time spent outside the city and the amount of compensation attributable to activities performed outside the city prior to approval of the refund.
   (D)   In the case where the tax computed under the provisions of this chapter is less than the amount which has been declared and paid as estimated tax for the same taxable year, a refund or credit, if a credit is requested, shall be made upon the filing of a return.
      (1)   Overpayment resulting from the payment of estimated tax in excess of the amount determined to be due upon the filing of a return for the same taxable year may be credited against the amount of estimated tax determined to be due on any declaration filed for the next succeeding taxable year or for any deficiency or nonpayment of tax for any previous taxable year;
      (2)   No refund shall be made of any estimated tax paid unless a complete return is filed as required by this chapter.
(Ord. 0-2008-002, passed 1-14-08) Penalty, see § 115.99
§ 115.09 FEDERAL AUDIT PROVISIONS.
   (A)   (1)   As soon as practicable after each return is received, the city may examine and audit the return. If the amount of tax computed by the city is greater than the amount returned by the business entity, the additional tax shall be assessed and a notice of assessment mailed to the business entity by the city within five (5) years from the date the return was filed, except as otherwise provided in this division (A).
         (a)   In the case of a failure to file a return or of a fraudulent return the additional tax may be assessed at any time.
         (b)   In the case of a return where a business entity understates net profit, or omits an amount properly includable in net profits, or both, which understatement or omission, or both, is in excess of twenty-five percent (25%) of the amount of net profit stated in the return, the additional tax may be assessed at any time within six (6) years after the return was filed.
         (c)   In the case of an assessment of additional tax relating directly to adjustments resulting from a final determination of a federal audit, the additional tax may be assessed before the expiration of the times provided in this division (A), or six (6) months from the date the city receives the final determination of the federal audit from the business entity, whichever is later.
      (2)   The times provided in this division (A) may be extended by agreement between the business entity and the city. For the purposes of this division (A), a return filed before the last day prescribed by law for filing the return shall be considered as filed on the last day. Any extension granted for filing the return shall also be considered as extending the last day prescribed by law for filing the return.
   (B)   Every business entity shall submit a copy of the final determination of the federal audit within thirty (30) days of the conclusion of the federal audit.
   (C)   The city may initiate a civil action for the collection of any additional tax within the times prescribed in division (A) of this section.
(Ord. 0-2008-002, passed 1-14-08) Penalty, see § 115.99
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