191.03 IMPOSITION OF INCOME TAX.
   (a)   An annual tax for the purposes specified in Section 191.01 hereof shall be imposed on and after July 1, 1969, at the rate of one percent (1%) per annum; July 1, 1983, at the rate of one and one-half percent (1.5%) per annum; and on and after July 1, 1992, at the rate of two percent (2%) per annum upon the following:
      (1)   On all income, qualifying wages, commissions and other compensation earned and/or received during the effective period of this chapter by residents of the Village of Richfield.
      (2)   On all income, qualifying wages, commissions and other compensation earned and/or received during the effective period of this chapter by nonresidents of the Village of Richfield.
      (3)   A.   On the portion attributable to the Village on the net profits earned and/or received during the effective period of this chapter of all resident associations, unincorporated business entities, professions or other activities, derived from sales made, work done, services performed or rendered and business or other activities conducted in the Village.
         B.   On the portion of the distributive share of the net profits earned and/or received during the effective period of this chapter of a resident unincorporated business entity not attributable to the Village and not levied against such unincorporated business entity. Pass-through entities (i.e., associations) doing business within the Village shall, on behalf of each shareholder, collect and remit the tax due on the distributive shares in accordance with the provisions of this chapter and the rules and regulations.
      (4)   A.   On the portions attributable to the Village of Richfield of the net profits earned and/or received during the effective period of this chapter of all nonresident associations, unincorporated business entities, professions or other activities, derived from sales made, work done, services performed or rendered and business and other activities conducted in the Village.
         B.   On the portion of the distributive share of the net profits earned and/or received during the effective period of this chapter of a resident partner or owner of a nonresident unincorporated business entity not attributable to the Village and not levied against such unincorporated business entity. Pass-through entities (i.e., associations) doing business within the Village shall, on behalf of each shareholder, collect and remit the tax due on the distributive shares in accordance with the provisions of this chapter and the rules and regulations.
      (5)   On the portion attributable to the Village of the net profits earned and/or received during the effective period of this chapter of all corporations derived from sales made, work done, services performed or rendered and business or other activities conducted in the Village of Richfield, whether or not such corporations have an office or place of business in the Village.
      (6)   On the portion attributable to depreciations recaptured relative to capital gains taxable as ordinary income for Federal purposes.
      (7)   On all proceeds from lotteries, gaming, wagering or schemes of chance including the Ohio State Lottery received by residents of the Village, or received by nonresidents on the basis of activity conducted within the Village of Richfield.
      (8)   Effective for tax years 2004 and later, the distributive share of income paid to an S corporation shareholder shall be taxable in the following manner:
         A.   If no portion of the net profits of the S corporation are allocated or apportioned to the State of Ohio, the distributive share is taxable only to the extent that it represents wages or net earnings from self- employment.
         B.   If any portion of the profits of the S corporation are allocated or apportioned to the State of Ohio, the full amount of the distributive share is taxable.
         C.   Resident S corporations and non-resident S corporations doing business within the Village shall, on behalf of each shareholder, collect and remit the tax due on the distributive shares in accordance with the provisions of this chapter and the rules and regulations.
   (b)   The tax shall be levied, collected and paid with respect to the income, salaries, wages, commissions and other compensation, and with respect to the net profits of businesses, professions or other activities earned and/or received during the effective period of this chapter on and after July 1, 1969.
(Ord. 17-2006. Passed 3-17-06.)