(a) Except as provided in Sections (d) and (e) below, each employer within or doing business within the City who employs one or more persons on a salary, wage, commission or other compensation basis shall deduct at the time of the payment of such salary, wage, commission or other compensation, the tax of two percent (2%) of the gross salaries, wages, commissions or other compensation due by the employer to such employee and shall, on or before the twentieth day of the month following the month of such deduction and collection, make a return and pay to the Commissioner of Taxation the amount of tax deducted by the day specified below.
(1) Monthly payments of taxes withheld are due by the twentieth day of the month following the month of said deduction on taxes withheld when total of the tax withheld exceeds $250.00.
(2) All employers not required to make monthly payments of taxes withheld under (a)(1) of this subsection shall make quarterly returns and payment no later than the 20th day of the month following the end of each quarter. For this purpose quarters refer to the period of time ending March, June, September, and December.
(b) Such employer in collecting the tax shall be deemed to hold the same until payment is made by such employer to the City, as a trustee for the benefit of the City, and any such tax collected by such employer from his employee, until the same is paid to the City, be deemed a trust fund in the hands of such employer. The officer or the employee having control or supervision of or charged with the responsibility of filing the return and making payment, is personally liable for failure to file the report or pay the tax due as required by this section. The dissolution of a corporation does not discharge any officer's or employee's liability for a prior failure of the corporation to file returns or pay the tax due. Such employer shall be liable for the payment of the required tax to be deducted and withheld, whether or not such taxes have in fact been withheld.
(c) On or before January 31 of each year, each employer shall file a reconciliation of all monies deducted, or those that should have been deducted, to the City along with copies of all wage statements applicable to the reconciliation. Any individual or business entity, compensating individual(s) on a commission or contract labor basis must furnish copies of the 1099 or appropriate earnings statement, issued by them, on or before January 31 of each year. All wage statements and 1099's must furnish the name, address, social security number or federal identification, gross wages or other compensation, City tax withheld, name of the city for which tax was withheld and paid, and any other compensation paid to the individual.
(d) Effective January 1, 2001, and each year thereafter, any nonresident employer, payer for, or agent of such employer not located in the City, who has employees working in the City, shall not be required to withhold tax from taxable income of an individual unless the total amount of tax required to be withheld for the City on all employers exceeds $150.00 for a calendar year.
(e) Any nonresident employer who exceeds the $150.00 tax liability requirement in any calendar year beginning with January 1, 2001, will then be required to withhold and pay to the City; tax on all employees for work done or services performed within the City for all ensuing years, not to exceed three (3) consecutive years, when the tax to be withheld is less than $150.00.
(Ord. 01-10037. Passed 10-10-01.)