(A) To provide funds for the purposes of general municipal operations, maintenance, new equipment, extension and enlargement of municipal services and facilities and capital improvements, the City of Willoughby Hills hereby levies an annual municipal income tax on income, qualifying wages, commissions, lottery winnings, gambling and games of chance winnings, and other compensation, and on net profits as hereinafter provided.
(B) (1) The annual tax is levied at a rate of two percent (2.0%). The tax is levied at a uniform rate on all persons residing in or earning or receiving income in the City of Willoughby Hills. The tax is levied on income, qualifying wages, commissions and other compensation, and on net profits as hereinafter provided in Section 186.03 and other sections as they may apply.
(2) The funds collected under the provisions of this chapter shall be disbursed in the following manner:
(a) First, such part thereof as shall be necessary to defray all expenses of collecting the tax and of administering and enforcing the provisions of this chapter shall be paid.
(b) Any and all income remaining above one and one-half (1.50%) up to two percent (2%) of income tax paid on income earned within the City and net profits shall be exclusively used to support the City's Safety Forces only.
(c) The balance remaining after payment of the expenses referred to in subsections (a) and (b) hereof shall be deposited in the General Fund for municipal purposes.
(C) The tax on income and the withholding tax established by this Chapter 186 are authorized by Article XVIII, Section 3 of the Ohio Constitution. The tax is levied in accordance with, and is intended to be consistent with, the provisions and limitations of Ohio Revised Code 718 (ORC 718). (Ord. 2023-061. Passed 12-14-23.)