For purposes of this chapter the following words and phrases shall have the following meanings ascribed to them respectively.
(a) “Administrator” means the individual designated by the Mayor to administer and enforce the provisions of the Municipal income tax.
(b) “Association” means any partnership, limited partnership, or any other form of unincorporated enterprise, owned by two or more persons.
(c) “Board of Review” means the Board created by and constituted as provided in Section 181.14.
(d) “Business” means any enterprise, activity, profession, or undertaking of any nature conducted for profit or ordinarily conducted for profit, whether by an individual, partnership, association, corporation, or any other entity, excluding, however, all nonprofit corporations which are exempt from the payment of federal income tax.
(e) “Corporation” means a corporation or joint stock association organized under the laws of the United States, the State, or any other state, territory, or foreign country or dependency.
(f) “Employee” means one who works for a wage, salary, commission or other type of compensation in the service of any employer.
(g) “Employer” means an individual, partnership, association, corporation, government body, unit, or agency, or any other entity, whether or not organized for profit, who or that employs one or more persons on a salary, wage, commission, or other basis of compensation.
(h) “Fiscal year” means an accounting period of twelve months or less ending on any day other than December 31.
(i) “Fundamental change” means any substantial alteration by an employer including liquidation, dissolution, bankruptcy and reorganization such as merger, consolidation, acquisition, transfer, or change in identity, form or organization.
(j) “Gross receipts” means the total income from any source whatever.
(k) “Manager” means any of the employer’s officers, responsible persons, employees having control or supervision, and employees charged with the responsibility of filing the return, paying taxes and otherwise complying with this chapter.
(l) “Net profits” means a net gain from the operation of a business, profession, enterprise, or other activity after provisions for all ordinary and necessary expenses either paid or accrued, in accordance with the accounting system used by the taxpayer for federal income tax purposes, without deduction of taxes imposed by this section, federal, state and other taxes based on income; and in the case of an association, without deduction of salaries paid to partners and other owners.
(m) “Nonresident” means an individual domiciled outside the Municipal limits.
(n) “Nonresident unincorporated business entity” means an unincorporated business entity not having an office or place of business within the Municipality.
(o) “Place of business” means any bona fide office, other than a mere statutory office, factory, warehouse, or other space which is occupied and used by the taxpayer in carrying on any business activity individually or through one or more of his regular employees regularly in attendance.
(p) “Qualifying wages” means wages as defined in Internal Revenue Code Section 3121(a), without regard to any wage limitation. Generally, qualifying wages are reported in the Medicare Wage box of Federal Form W-2. In addition, income from Supplemental Unemployment payments (SUB-Pay) and exercise of stock options must be added to the income reported in the Medicare Wage box. This total should then be reported in the Municipal Wage box and the appropriate tax withheld. All income deferred into any qualified or non-qualified plan is subject to withholding in the year of deferral. IRC Section 125 wages (“cafeteria plans”) are not included in the definition of Medicare wages and should not be deducted from the Medicare Wage box. Medicare Exempt Employees are subject to the requirements for “qualifying wages” in the Medicare Wage box even though that box will remain blank.
(q) “Resident” means an individual domiciled in the Municipality.
(r) “Resident unincorporated business entity” means an unincorporated business entity having an office or place of business within the Municipality.
(s) “Taxable income” means wages, salaries, commissions, other compensation including fees, sick pay, bonuses, tips, rents, profits from businesses, including professional associations and partnerships, royalties, employer supplemental, unemployment benefits (subpay), wage continuation plans, contest prizes and awards, dismissed or severance pay, incentive payment property in lieu of cash, depreciation recapture and other compensation earned, received and accrued. Your contribution to 401K retirement plans, annuities or Independent Retirement Plans (IRA’s) and all deferred compensation plans ARE taxed by municipalities. The term “other compensation” including, but not limited to income earned or derived from gaming, wagering, lotteries, including the Ohio state lottery, or schemes of chance, all of which shall not be taxed as business income.
(t) “Taxable year” means the calendar year, or the fiscal year upon the basis of which the net profits are to be computed under this chapter, and in the case of a return for a fractional part of a year, the period for which the return is required to be made.
(u) “Taxpayer” means a person, whether an individual, partnership, association, or any corporation or other entity, required hereunder to file a return or pay a tax.
(Ord. 2004-14. Passed 2-18-04.)