(a) (1) Each employer shall, at the time of the payment of any salary, wage, commission or other compensation paid on and after November 18, 1970, deduct the tax imposed under Section 181.03 of the gross salaries, wages, commissions or other compensation due by the employer to his employees who are subject to the provisions of this Chapter. In making such deduction at the time of payment, the employer shall compute the tax to the nearest full cent. Each employer shall, on or before the end of the month following the close of each calender quarter, make a return and pay to the Administrator the amount of taxes so deducted, subject to the provisions of subsections (d), (e) and (g) hereof.
Returns shall be on a form prescribed by or acceptable to the Administrator and shall be subject to the rules and regulations prescribed therefor 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. Such approval for quarterly filings and payments may be withdrawn by the Administrator when it is to the best interest of the Village to do so.
All employers who or which maintain of office or other place of business in Windham are required to make the collections and deductions in this article specified, regardless of the fact that the services on account of which any particular deduction is required as to residents of the Village were performed at a place of business of any such employer situated outside of the Village.
(2) Every employer required to deduct and withhold tax at the source is liable directly to the Village for the payment of such tax, whether those funds are actually collected by the employer or not. In the event the employer is a corporation, it shall be the responsibility, jointly and severally, of the president and treasurer of each corporation required to withhold taxes on employee’s wages, to see that all taxes so withheld are paid to the Village in accordance with the provisions of this chapter. In the event taxes withheld are not paid to the Village in accordance with the provisions of this chapter, the president and treasurer of such corporation shall each be criminally liable under provisions of this chapter.
(b) Such employer, in collecting the tax, shall be deemed to hold to same, until payment is made by such employer to the Village as a trustee for the benefit of the Village and any such tax collected by such employer from his employees shall, until the same is paid to the Village, be deemed a trust fund in the hands of such employer until such funds are paid to the Village.
(c) On or before January 31 of each year beginning with the tax year 1971, each employer shall file a withholding return in a form prescribed by and obtainable, upon request, from the Administrator, setting forth the names and addresses of all employees from whose compensation the tax was withheld during the preceding calender year and the amount of tax withheld from his employees and such other information as may be required by the rules and regulations adopted by the Administrator.
(d) No person shall be required to withhold the tax on wages or other compensation paid domestic servants employed by him exclusively in or about such person’s residence, even though such residence is in the Village, but such employee shall be subject to all the requirements of this chapter.
(e) Such employer who deducts the tax of two hundred dollars ($200.00) or more per month shall pay the Administrator before the fifteenth (15th) of the following month the amount of taxes so deducted on a monthly basis beginning with the first (1st) month the employer exceeds two hundred dollars ($200.00) in taxes withheld. The monthly withholding requirement may be waived by the Administrator if proof of quarterly filing of Federal withholding is provided.
(f) Payments shall be on a form furnished by or obtainable upon request from the Administrator.
(g) Any taxpayer who files a return for a fiscal year different from the calender year shall file and pay withholding taxes monthly.
(h) The failure of any employer, either residing within or outside the Village, to collect the tax and to make any return prescribed herein, shall not relieve the employee from the payment of such tax in compliance with this chapter and any rules or regulations adopted pursuant to this chapter concerning the making of returns and the payment of taxes.
(Ord. 1455. Passed 12-9-97.)