Interest shall be imposed at the rate calculated based on the federal short-term rate, rounded to the nearest whole number percent, plus five percent (5%) per annum on all unpaid income tax, unpaid estimated income tax and unpaid withholding tax. Interest shall be charged per month, or fraction of a month.
With respect to unpaid income tax and unpaid estimated income tax, a penalty equal to fifteen percent (15%) of the amount not timely paid shall be imposed.
With respect to any unpaid withholding tax, a penalty equal to fifty percent (50%) of the amount not timely paid shall be imposed.
The Tax Office shall impose a monthly penalty of twenty-five dollars ($25.00) for failure to timely file a return, regardless of the liability. The penalty shall be charged for each month, or fraction thereof, not to exceed a total of one hundred fifty dollars ($150.00).
The interest rates to be applied to all unpaid income and withholding tax balances. These rates are being published in accordance with Ohio Revised Code 718.27(F) which states that “By the thirty-first day of October of each year the municipal corporation shall publish the rate described in division (A) of this section applicable to the next succeeding calendar year”.
“Taxpayers’ Rights and Responsibilities” means the rights provided to taxpayers in Sections 718.11, 718.12, 718.19, 718.23, 718.36, 718.37, 718.38, 5717.011, and 5717.03 of the Ohio Revised Code and any corresponding ordinances of the Municipality, and the responsibilities of taxpayers to file, report, withhold, remit and pay municipal income tax and otherwise comply with Chapter 718 of the Ohio Revised Code, resolutions, ordinances, rules and regulations adopted by a municipal corporation for the imposition and administration of a municipal income tax.
These rights and responsibilities include, but are not limited to, the following:
Taxpayer has a required responsibility to timely and accurately file annual returns, reports, documents, and to timely remit all taxes due on such annual returns, reports, documents and filings.
The municipal corporation shall maintain a local Board of Tax Review to hear appeals of the taxpayer on assessments issued by the Tax Administrator. The taxpayer or the tax administrator may appeal the final determination.
Civil actions to recover municipal income taxes, penalties and interest have time limits.
Taxpayer has a prescribed manner to request refunds from the tax administrator.
Taxpayer has a required responsibility to allow examination of their books, papers, records, and federal and state income tax returns by the tax administrator.
At or before the commencement of an audit, (where the tax administrator has ordered the appearance of the taxpayer), the tax administrator shall inform and provide the taxpayer with certain information regarding the audit.
A taxpayer has certain recourse if aggrieved by an action or omission of the tax administrator, their employee or an employee of the municipal corporation.
The taxpayer may submit a written request for an opinion of the tax administrator with respect to prospective municipal income tax liability.
Obtaining a federal extension will automatically extend your Montgomery due date to the approved Federal date. It is recommended that a copy of the Federal extension form or a Montgomery extension form be completed and submitted to the City prior to the April 15 due date. If not submitted, a copy of the extension form must be included with the return.