Quick facts:
-Most cities in the State of Ohio have their own local tax return.
-Ohio is one of a few states that has a Gross Margins Tax
The state of Ohio does have an individual income tax. Like most states with income tax, it is calculated on a marginal scale whose range is from 2.85% to 4.80%.
Unlike most states, Ohio cities have their own individual city tax returns (similar to the Manhattan Island Tax return in New York). The average local city tax in Ohio is 1.56%.
The state of Ohio does not have a business income tax; however it does have a Gross Margins Tax* called the Commercial Activities Tax (CAT).
The CAT is assessed on businesses that have over $150,000 in Revenue in Ohio. If gross receipts are less than $1,000,000, the tax due is $150 and is based on calendar year. If revenue is in excess of $1 million, the tax is filed quarterly with a tax rate of.26%.
Like many states, Ohio has multiple tax rates. One at the state level and another at the local level. The state rate is 5.75% the average local rate is 1.42% (total average rate for Ohio Sales Tax is 7.17%).
The average property tax rate for residential property in the state of Ohio is 1.62%, making it one of the more expensive places to own property in the country (the national average is 0.93%).
Unemployment taxes usually consist of three factors. They are the wage base, range of rates, number of schedules. Below is an outline of the three:
Ohio is one of the least expensive state to open an LLC. In fact, it is one of a few states that has no annual LLC fee. Here are some important facts:
Sign up for Romeo’s monthly tips, tricks, and hacks to help you with your taxes!
You may unsubscribe at any time.
Copyright © 2020 Taxed Right LLC. TaxedRight, TaxTicker, illustrations such as pigs and coins, are all trademarks of Taxed Right LLC. All rights reserved.
