A. In accordance with Rules and Regulations prescribed by the Administrator, each employer within or doing business within the Village of Waverly shall deduct at the time for the payment of such salary, wage, commission or other compensation, the tax of one percent (1%) of the gross salaries, wages, commissions or other compensation due by the said employer to said employee and shall, on or before the last day of the month following the close of each calendar quarter make a return and pay to the Administrator the amount of taxes deducted. Said returns shall be on a form or forms prescribed by and obtainable from the Administrator and shall be subject to the Rules and Regulations prescribed therefore by the Administrator. Such employer shall be liable for the payment of the tax required to be deducted and withheld, whether or not such taxes have in fact been withheld.
B. Such employer in collecting said tax shall be deemed to hold the same, until payment is made by such employer to the Village of Waverly, as a Trustee for the benefit of the Village of Waverly and any such tax collected by such employer from his employees shall, until the same is paid to the Village of Waverly, be deemed a trust fund in the hands of such employer.
C. Each employer, on or before the 28th day of February following any calendar year in which such deductions have been made by any employer, shall file with the Administrator an information return for each employee from whom the Village of Waverly Income Tax has been withheld, showing the name and address of the employee, the whole amount of compensation paid said employee during the year and the amount of Village of Waverly Income Tax withheld from each employee.
D. For taxable years beginning after 2003, the Village of Waverly shall not require any employer or any agent of any employer or any other payer, to withhold tax with respect to any amount other than qualifying wages. Nothing in this section prohibits an employer from withholding tax on a basis greater than qualifying wages.
E. An employer is not required to make any withholding with respect to an individual's disqualifying disposition of an incentive stock option if, at the time of the disqualifying disposition, the individual is not an employee of the corporation with respect to whose stock the option has been issued.
F. An employee is not relieved from liability for a tax by failure of the employer to withhold the tax as required by a municipal corporation or by the employer's exemption from the requirement to withhold the tax.
G. The failure of an employer to remit to the municipal corporation the tax withheld relieves the employee from liability for that tax unless the employee colluded with the employer in connection with the failure to remit the tax withheld.
H. Compensation deferred before the effective date of this amendment is not subject to any municipal corporation income tax or municipal income tax withholding requirement to the extent the deferred compensation does not constitute qualifying wages at the time the deferred compensation is paid or distributed.
(Ord. 78-2015. Passed 12-15-15.)