(a) An annual tax for the purposes set forth in Section 181.01 hereof shall be and hereby is levied on and after July l, 1981 at the rate of one percent (1%) on the following:
(1) On all salaries, wages, tips, rents, gratuities, moneys gained by gambling or gaming venture, and moneys gained by illegal activities, lottery winnings, commissions and/or any other compensation earned or received during the effective period of this chapter by residents of Sunbury.
(2) On all salaries, wages, tips, gratuities, rents, and moneys gained by gambling or gaming ventures, and moneys gained by illegal activities, lottery winnings, commissions and/or any other compensation earned or received during the effective period of this chapter by nonresidents for work done or services performed or rendered, or participation in any activity or activities, including purchase of lottery ticket or tickets, participation in any contest or participation in any gambling or gaming activity or any illegal activity in Sunbury.
(3) A. On the portion attributable to Sunbury of the net profits earned during the effective period of this chapter of all resident unincorporated businesses, professions or other entities, derived from sales made, work done, services performed or rendered and business or other activities conducted in Sunbury.
B. On the portion of the distributive share of the net profits earned during the effective period of this chapter of a resident partner or owner of a resident unincorporated business entity not attributable to Sunbury and not levied against such unincorporated business entity.
(4) A. On the portion attributable to Sunbury of the net profits earned during the effective period of this chapter of all non-residents unincorporated business, professions or other entities, derived from sales made, work done or services performed or rendered and business or other activities conducted in Sunbury whether or not such unincorporated business entity has an office or place of business in Sunbury.
B. On the portion of the distributive share of the net profits earned during the effective period of this chapter of a resident partner or owner of a nonresident unincorporated business entity not attributable to Sunbury and not levied against such unincorporated business entity.
(5) On the portion attributable to Sunbury of the net profits earned 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 Sunbury, whether or not such corporations have an office or place of business in Sunbury.
(b) The portion of the net profits attributable to Sunbury of a taxpayer conducting a business, profession or other activity both within and without the boundaries of Sunbury shall be determined as provided in Ohio R.C. 718.02.
(c) If a net operating loss has been sustained in any taxable year, such losses may not be carried forward or backward to any other taxable year.
(d) Consolidated Returns. In the case of a corporation that carried on transactions with its stockholders or with other corporations related by stock ownership, interlocking directorates, or some other method, or in case any person operates a division, branch, factory, office, laboratory or activity within Sunbury constituting a portion only of its total business the Director shall require such additional information as he may deem necessary to ascertain whether net profits are properly allocated to Sunbury. If the Director finds net profits are not properly allocated to Sunbury by reason of transactions with stockholders or with other corporations related by stock ownership, interlocking directorates, or transactions with such division, branch, factory, office, laboratory or activity or by some other method, he shall make such allocation as he deems appropriate to produce a fair and proper allocation of net profits to Sunbury.
(e) Payments made to current and former employees by an employer as accrued benefits and/or vacation wages or as a bonus or moving expense reimbursement is taxable income. Payments made to any current or former employee by an employer under a wage continuation plan during periods of disability or sickness, is taxable income.
(f) In the taxation of income which is subject to tax, if the books and records of a taxpayer conducting a business both within and without the boundaries of Sunbury disclose with reasonable accuracy that portion of its net profit which is attributable to that part of the business conducted within Sunbury, then only that portion shall be considered as having a taxable situs in Sunbury for purposes of being taxable and taxed by Sunbury. Absent such records, net profit from a business conducted both within and without the boundaries of Sunbury shall be conclusively presumed to have a taxable situs in Sunbury for purposes of being taxable and taxed by Sunbury in the same proportion as the average, the means of determining which is hereinbelow described:
(1) The average net book value of the real property and the tangible personal property owned or used by the taxpayer in the business in Sunbury during the taxable period to the average net book value of all the real property and tangible personal property owned or used both by the taxpayer in the business during the same period, wherever situated. As used in this subsection, "real property" included property rented or leased by the taxpayer and the value of such property shall be determined by multiplying the annual rental thereon by eight;
(2) Wages, salaries, and other compensation paid during the taxable period to persons employed in the business for services performed in Sunbury, to wages, salaries, or other compensation paid during the same period to persons employed in the business, wherever their services are performed;
(3) Gross receipts of the business from sales made and services performed during the taxable period in Sunbury to gross receipts of the business during the same period from sales and service wherever made or performed.
(g) In the event the foregoing allocation formula does not produce an equitable result, another basis may, under uniform regulations, be substituted by the Director or his delegate in order to produce such equitable result.
(h) As used in this chapter, "Sales made in Sunbury" means:
(1) All sales of tangible personal property which is delivered within Sunbury regardless of where title passes if shipped or delivered from a stock of goods within Sunbury.
(2) All sales of tangible personal property which is delivered within Sunbury, regardless of where title passes, even though transported from a point outside Sunbury if the taxpayer is regularly engaged through its own employees in the solicitation or promotion of sales within Sunbury and the sales result from such solicitation or promotion.
(3) All sales of tangible personal property which is shipped from a place within Sunbury to purchaser or purchasers outside Sunbury, regardless of where title passes, if the taxpayer is not, through its own employees, regularly engaged in the solicitation or promotion of sales at the place where delivery is made.
(Ord. 98-032. Passed 10-21-98.)