181.02 DEFINITIONS.

   The following terms, phrases, words and their derivatives shall have the meanings respectively ascribed to them in this chapter. The singular shall include the plural, and the masculine shall include the feminine and the neuter.
(Ord. 36-67. Passed 6-13-67.)

   (a)    The position of Tax Administrator for the City is hereby created. The appointment to this position shall be made by the Mayor and the appointee shall serve at his/her pleasure. He/she shall report and be responsible to the Mayor. The general duties of the Tax Administrator shall be the supervision, auditing and prescribing of procedures with respect to the City income tax together with cooperation with the Director of Finance, as well as acting as the City representative for tax matters. The Mayor may assign other specific projects relating to City problems. (Ord. 48- 72. Passed 4-11-72.)

   (b)   “Adjusted Federal Taxable Income”. For tax years prior to 2004, see definition of “Net Profits” as set forth in Section 181.02 (l). For taxable years 2004 and later, “Adjusted Federal Taxable Income” shall mean 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 entity 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, 2004.

   (c)    "Association" means any partnership, limited partnership or any other form of unincorporated enterprise, owned by two or more persons.

   (d)    "Board of Review" means the Board created by and constituted as provided in Section 181.47 of this chapter.

   (e)    "Business" means any enterprise, activity, profession or undertaking of any nature conducted for profit or ordinarily conducted for profit, whether by an individual, partnership, association, corporation or other entity, excluding however, all nonprofit corporations which are exempt from the payment of Federal Income Tax.

   (f)    "Corporation" means a corporation of joint stock associations organized under the laws of the United States, the State of Ohio or any other state, territory, foreign country or dependency.

   (g)   "Employee" means one who works for a wage, salary, commission or any other type of compensation in the service of an employer.

   (h)    "Employer" means an individual, partnership, association, corporation, government body, unit or agency or any other entity, whether or not organized for profit, who or that employs one or more persons on a salary, wage, commission or other basis of compensation.

   (i)    "Fiscal year" means an accounting period of twelve months or less ending on any day other than December 31.

   (j)   “Generic Form” shall mean an electronic or paper form designed for reporting estimated municipal income taxes, and/or annual municipal income tax liability, and/or requests for refunds, which contain all the information required on the City’s regular tax return, estimated payment forms and request for refund forms, and are in a similar format that will allow processing of the generic forms without altering the City’s procedures for processing forms.

   (k)    "Gross receipts" means the total income from any source whatever.

   (l)    "Net profits", for taxable years prior to 2004, means a net gain from the operation of a business, profession, enterprise or other activity after provision for all ordinary and necessary expenses either paid or accrued in accordance with the accounting system used by the taxpayer for Federal Income Tax purposes, without deduction of taxes imposed by this chapter, Federal, State and other taxes based on income; and, in the case of an association, without deduction of salaries paid to partners and other owners. For taxable years 2004 and later, see “adjusted federal taxable income”.

   (m)    "Nonresident" means an individual domiciled outside the City.

   (n)    "Nonresident unincorporated business entity" means an unincorporated business entity not having an office or place of business within the City.

   (o)    "Person" means every natural person, partnership, fiduciary, association or corporation. Whenever used in any clause prescribing and imposing a penalty, the term person, as applied to any unincorporated entity, shall mean the partners or members thereof, and as applied to corporations, the officers thereof.

   (p)    "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.

   (q)   “Qualifying wage” means wages as defined in Section 3121(a) of the Internal Revenue Code, without regard to any wage limitations, but including subsequent adjustments from required additions and deductions. “Qualifying wage” represents employees’ income (including non-qualified deferred compensation and stock options) from which municipal tax shall be deducted by the employer, and any wages not considered a part of “qualifying wage” shall not be taxed by the City. This definition is effective January 1, 2004, for taxable years 2004 and later.

   (r)    "Resident" means an individual domiciled in the City.

   (s)    "Resident unincorporated business entity" means an unincorporated business entity having an office or place of business within the City.

      (Ord. 36-67. Passed 6-13-67.)

   (t)    "Taxable income" means wages, salaries and other compensation paid by an employer or employers before any deduction of any kind and/or the net profits from the operation of a business, profession or other enterprise or activity adjusted in accordance with the provisions of this chapter. "Other compensation" includes, but is not limited to, bonuses; commissions; incentive payments; directors' and other fees; property in lieu of cash; tips; dismissal or severance pay; supplemental income benefits for early retirement regardless of their label; contest prizes and awards; tax shelter plans (including contributions to retirement plans, annuities or Independent Retirement Accounts (IRAs) and all other deferred compensation plans); vacation and sick pay regardless of label (such as sick leave including third- party sick pay, disability, vacation pay, etc.); wage continuation plans; supplemental employment benefits (subpay); depreciation recapture; gifts and gratuities in connection with employment; fellowships, grants and stipends (including those representing payment for teaching, research or other services); group term life insurance protection over $50,000 (taxed on the cost of such insurance in excess of $50,000); benefits resulting from an employer's assumption of a tax; stock options given as compensation; income from gaming, wagering and lotteries (including the Ohio State Lottery); and all other compensation earned, received or accrued and not excluded at Section 181.10 herein.
(Ord. 18-93. Passed 3-23-93.)

   (u)    "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 a return for a fractional part of a year, the period for which such return is required to be made.

   (v)    "Taxpayer" means a person, whether an individual, partnership, association or any corporation or other entity, required hereunder to file a return or pay a tax.
(Ord. 36-67. Passed 6-13-67; Ord. 5-2005. Passed 2-22-05.)