Filings due April 18, 2017
The City of Dublin encourages all individual taxpayers with an established account to file their annual City Tax Return (Form DIR-16) as well as make any related payment electronically at www.dublintax.com.
You will need to use your Account Number instead of your Social Security Number to file your Dublin return. You can find this number on the postcard you received in the mail or you can use the Account Lookup Link on the E-File home page.
You can file jointly with the City of Dublin even if you filed separately for the IRS. There is no advantage to filing separately at the municipal level and it would greatly help us to process returns more expediently and more efficiently.
You cannot electronically file for a Refund unless you are under 18 and have previously filed for a Dublin refund. However, you can electronically file if you are carrying any credit forward to 2017.
You can attach a digital copy (PDF, JPG or TIF) of any and all required return attachments such as: Form W2, 1099 or Federal 1040 and Schedules C, E and F.
Payment can be made by credit card (Master Card, Visa or Discover Card). Note: The card company charges a convenience fee, currently 2.65% of the total amount remitted.
Recent Changes to Municipal Taxes
For tax year 2016 there are many changes to municipal taxation that will be implemented per the passage of House Bill 5 by the Ohio General Assembly.
- No remittance of tax is required if the amount shown to be due on the return filed is ten dollars ($10.00) or less. Likewise, refunds of overpayments shall only be issued of overpayments greater than ten dollars ($10.00).
- Taxpayers shall only be required to make estimated payments on a taxpayer’s tax liability for income earned in Dublin for the current taxable year if the amount payable as estimated taxes is at least two hundred dollars ($200.00) or greater.
- To avoid penalty and interest assessments, a taxpayer required to make estimated payments shall be required to make payments equal to ninety percent (90%) of the tax liability for the current tax year or one hundred percent (100%) of the prior year tax liability (safe harbor provision).
- The first year that net operating loss carryforwards may be calculated for the City of Dublin is with regard to the taxpayer’s 2017 tax return impacting net profits filed in 2018. The first return on which a net operating loss carryforward may be utilized is the taxpayer’s 2018 tax return filed in 2019. Net operating loss carryforwards prior to tax year 2017 may not be utilized against any other sources of income of the taxpayer.
- Any taxpayer that has duly requested an automatic six-month extension for filing the taxpayer’s federal income tax return shall automatically receive an extension for filing their Dublin return.
- The income or losses from the net profits of a resident taxpayer shall be aggregated together regardless of the taxing jurisdiction in which the activity was conducted. The taxable income amounts to be utilized by taxpayers on the filing of their individual tax returns should be taken from Federal Schedules C, E, and/or F. Dublin limits the allowable credit to be taken on the taxpayer’s return to 2.0% of the amount of income subject to the tax. The limiting of the credit to the amount of income subject to tax prevents the crediting or refunding of taxes remitted to any other municipal taxing jurisdiction.
- The definition of taxable income shall not include the individual nonresident’s distributive share of the net profit or loss of pass-through entities owned directly or indirectly by the nonresident. Accordingly, no credits or refunds will be granted related to the offsetting of gains and losses from pass-through partnership or limited liability companies incurred within the City of Dublin commencing with tax year 2016.
- The amount of an individual’s employee business expenses reported on form 2106 and deducted for federal income tax purposes for the taxable year is subject to the limitation imposed by section 67 of the Internal Revenue Code. For the municipal corporation in which the taxpayer is a resident, the taxpayer may deduct all such expenses allowed for federal income tax purposes. For a municipal corporation in which the taxpayer is not a resident, the taxpayer may deduct such expenses only to the extent the expenses are related to the taxpayer’s performance of personal services in that nonresident municipal corporation.
- Commencing with tax year 2016 individual taxpayers who have a filing requirement for reporting rental real estate activities shall use separate accounting for the purpose of calculating net profit sitused to the municipal corporation in which the property is located. The separate accounting as shown on Federal Schedule E Part I should be utilized for reporting income/loss from rental real estate activities. Any common expenses or shared expenses shall be allocated between the rental properties.
- Twenty Day Rule: an employer is not required to withhold municipal income tax on qualifying wages paid to an employee for the performance of personal services in a municipal corporation that imposes such a tax if the employee performed such services in the municipal corporation on twenty or fewer days in a calendar year, unless one of the following conditions applies:
- The employee’s principal place of work is located in the municipal corporation.
- The employee performed services at one or more presumed worksite locations in the municipal corporation.
- The employee has requested that local tax be withheld due to residency.
- The employee is a professional athlete, professional entertainer, or a public figure earning qualifying wages.
Interest Rates Effective State-wide
Any local tax liability incurred on or after January 1, 2016 shall be subject to an interest rate of 5% state-wide. The interest rate for 2017 will be subject to an interest rate of 6% statewide.
Penalty Rates Effective State-wide
Any local tax liability incurred on or after January 1, 2016 for Individuals, S-Corporations, Partnerships, Limited Liability Companies, and Trusts shall be subject to a penalty rate of 15%. Additionally, the local tax liability incurred on or after January 1, 2016 for Employers shall be subject to a penalty rate of 50% of the tax due.
Tax Year 2017 Due Dates
Due dates for filing city tax returns and remitting payments in 2017 are as follows:
2016 INCOME TAX RETURNS
Calendar Year Taxpayers (Individuals and Businesses)
April 18, 2017
Fiscal Year Taxpayers (Individuals and Businesses)
15th day of 4th month following end of fiscal year
2017 ESTIMATED TAX
(Individuals and Businesses)
Declaration of Estimated Tax
April 18, 2017
June 15, 2017
September 15, 2017
December 15, 2017
2017 EMPLOYER’S WITHHOLDING RETURNS
1st Quarter January, February and March
April 30, 2017
2nd Quarter April, May and June
July 31, 2017
3rd Quarter July, August and September
October 31, 2017
4th Quarter October, November and December
January 31, 2018
YEAR END Reconciliation of W-2s
February 28, 2018
2017 EMPLOYER’S DEPOSITS OF TAX WITHHELD
If the monthly tax liability is:
$1.00 – $200.00 (quarterly payments required)
last day of the following month
$201.00 – $1,000.00 (monthly payments required)
15th day of the following month
$1,001.00 or greater (semimonthly payments required)
3 banking days after the 15th and the last day of the month
Each employer who is required under Internal Revenue Code Section 6302 to make next day deposit of tax withheld from employee wages shall then electronically deposit municipal taxes withheld with the City of Dublin, Income Tax Division at the same time.