(2) Real property taxes on a homestead owned and occupied,
or | 26 |
a
homestead in a housing cooperative occupied, by a
person to
whom | 27 |
division (A) of this section
applies shall be reduced for
each | 28 |
year for which the owner obtains a certificate of reduction
from | 29 |
the county auditor under section 323.154 of the Revised
Code
or | 30 |
for which the occupant obtains a certificate of reduction in | 31 |
accordance with
section 323.159 of the Revised Code. The
reduction | 32 |
shall equal the amount obtained by
multiplying the tax
rate for | 33 |
the tax year for which the
certificate is issued by the
reduction | 34 |
in taxable value shown in
the following schedule: | 35 |
The commissioner shall certify the amounts resulting from
the | 61 |
adjustment to each county auditor not later than the first
day of | 62 |
December each year. The
certified amounts apply to the following | 63 |
tax year. The
commissioner shall not make the adjustment in any | 64 |
calendar year
in which the amounts resulting from the adjustment | 65 |
would be less
than the total income amounts, or less than the | 66 |
dollar amounts by which
taxable value is reduced, for the current | 67 |
tax year. | 68 |
(B) Real property taxes on any homestead, and manufactured | 69 |
home
taxes on any manufactured or mobile home on which a | 70 |
manufactured home tax is
assessed pursuant to division (D)(2) of | 71 |
section 4503.06 of the
Revised Code, shall be reduced for each | 72 |
year for
which the owner obtains a certificate of
reduction from | 73 |
the county auditor under section 323.154 of the
Revised Code. The | 74 |
amount of the reduction shall equal one-fourth
of the amount by | 75 |
which the taxes charged and payable on the
homestead or the | 76 |
manufactured or mobile home are reduced for such year
under | 77 |
section 319.302 of the
Revised Code. | 78 |
(D) The reductions in taxable value referred to in this | 85 |
section
shall be applied solely as a factor for the purpose of | 86 |
computing
the reduction of taxes under this section and shall not | 87 |
affect
the total value of property in any subdivision or taxing | 88 |
district
as listed and assessed for taxation on the tax lists and | 89 |
duplicates, or any direct or indirect limitations on indebtedness | 90 |
of a subdivision or taxing district. If after application of | 91 |
sections 5705.31 and 5705.32 of the Revised Code, including the | 92 |
allocation of all levies within the ten-mill limitation to debt | 93 |
charges to the extent therein provided, there would be | 94 |
insufficient funds for payment of debt charges not provided for
by | 95 |
levies in excess of the ten-mill limitation, the reduction of | 96 |
taxes provided for in sections 323.151 to 323.159 of
the Revised | 97 |
Code shall be proportionately adjusted to the extent necessary
to | 98 |
provide such funds from levies within the ten-mill limitation. | 99 |
(4)
"Intangible income" means income of any of the following | 111 |
types: income
yield, interest, dividends, or other income arising | 112 |
from the ownership, sale,
exchange, or other disposition of | 113 |
intangible property including, but not
limited to, investments, | 114 |
deposits, money, or credits as those terms are
defined in Chapter | 115 |
5701. of the Revised Code. | 116 |
(C) No municipal corporation shall levy a tax on income at a | 122 |
rate in excess
of one per cent without having obtained the | 123 |
approval of the excess by a
majority of the electors of the | 124 |
municipality voting on the question at a
general, primary, or | 125 |
special election. The legislative authority of the
municipal | 126 |
corporation shall file with the board of elections at least | 127 |
seventy-five days before the day of the election a copy of the | 128 |
ordinance
together with a resolution specifying the date the | 129 |
election is to be held and
directing the board of elections to | 130 |
conduct the election. The ballot shall be
in the following form: | 131 |
"Shall the Ordinance providing for a ... per cent levy
on income | 132 |
for (Brief description of the purpose of the proposed levy) be | 133 |
passed? | 134 |
(2) The legislative authority of a municipal corporation
may, | 144 |
by ordinance or
resolution, exempt from a tax on income any | 145 |
compensation arising from the
grant, sale, exchange, or other | 146 |
disposition of a stock option; the exercise of
a stock option; or | 147 |
the sale, exchange, or other disposition of stock purchased
under | 148 |
a stock option. | 149 |
(E) Nothing in this section shall prevent a municipal | 150 |
corporation from
permitting lawful deductions as prescribed by | 151 |
ordinance. If a taxpayer's
taxable income includes income against | 152 |
which the taxpayer has taken a
deduction for federal income tax | 153 |
purposes as reportable on the taxpayer's form
2106, and against | 154 |
which a like deduction has not been allowed by the municipal | 155 |
corporation, the municipal corporation shall deduct from the | 156 |
taxpayer's
taxable income an amount equal to the deduction shown | 157 |
on such form allowable
against such income, to the extent not | 158 |
otherwise so allowed as a deduction by
the municipal corporation. | 159 |
In the case of a taxpayer who has a net profit
from a business or | 160 |
profession that is operated as a sole proprietorship, no
municipal | 161 |
corporation may tax or use as the base for determining the amount | 162 |
of
the net profit that shall be considered as having a taxable | 163 |
situs in the
municipal corporation, a greater amount than the net | 164 |
profit reported by the
taxpayer on schedule C filed in reference | 165 |
to the year in question as taxable
income from such sole | 166 |
proprietorship, except as otherwise specifically
provided by | 167 |
ordinance or regulation. | 168 |
(5) Compensation paid to an employee of a transit authority, | 188 |
regional transit
authority, or regional transit commission created | 189 |
under Chapter 306. of the
Revised Code for operating a transit bus | 190 |
or other motor vehicle for the
authority or commission in or | 191 |
through the municipal corporation, unless the
bus or vehicle is | 192 |
operated on a regularly scheduled route, the operator is
subject | 193 |
to such a tax by reason of residence or domicile in the municipal | 194 |
corporation, or the headquarters of the authority or commission is | 195 |
located
within the municipal corporation; | 196 |
(6) The income of a public utility when that public utility | 197 |
is
subject to the tax levied under section 5727.24 or 5727.30 of | 198 |
the Revised
Code, except starting January 1, 2002, the income of | 199 |
an
electric company or combined company, as defined in section | 200 |
5727.01 of the
Revised Code, may
be taxed by a municipal | 201 |
corporation, subject to
Chapter 5745. of the
Revised Code. | 202 |
(b) Except as provided in division (H) of this section, an S | 214 |
corporation
shareholder's distributive share of net
profits of the | 215 |
S
corporation that would be so allocated or apportioned to this | 216 |
state, other than any part of the
distributive share of
net | 217 |
profits that represents
wages as defined in section 3121(a) of
the | 218 |
Internal Revenue Code or net earnings from self-employment as | 219 |
defined in section 1402(a) of the Internal Revenue Code, to the | 220 |
extent such distributive share would not be allocated or | 221 |
apportioned to this state under division (B)(1) and (2) of section | 222 |
5733.05 of the Revised Code if the S corporation were a | 223 |
corporation subject to the taxes imposed under Chapter 5733. of | 224 |
the Revised Code. | 225 |
(G) Any municipal corporation that taxes any type of | 226 |
intangible income on
March 29, 1988, pursuant to Section 3 of | 227 |
Amended Substitute Senate Bill No.
238 of the 116th general | 228 |
assembly, may continue to tax that type of income
after 1988 if a | 229 |
majority of the electors of the municipal corporation voting
on | 230 |
the question of whether to permit the taxation of that type of | 231 |
intangible
income after 1988 vote in favor thereof at an election | 232 |
held on November 8,
1988. | 233 |
(H) Any municipal corporation that, on December 6, 2002, | 234 |
taxes an S corporation shareholder's distributive share of net | 235 |
profits of the S corporation to any greater extent than that | 236 |
permitted under division (F)(9)(b) of this section may continue | 237 |
after
2002 to tax such distributive shares to such greater extent | 238 |
only
if a majority of the electors of the municipal corporation | 239 |
voting
on the question of such continuation vote in favor thereof | 240 |
at an
election held on November 4, 2003. If a majority of electors | 241 |
vote
in favor of that question, then, for purposes of section | 242 |
718.14 of
the Revised Code, "pass-through entity" includes S | 243 |
corporations,
"income from a pass-through entity" includes | 244 |
distributive shares
from an S corporation, and "owner" includes a | 245 |
shareholder of an S
corporation, notwithstanding that section to | 246 |
the contrary. | 247 |
(B) On and after January 1, 2003, any municipal
corporation | 276 |
imposing a tax that applies to income from a pass-through
entity | 277 |
shall grant a
credit to each owner who is domiciled in the | 278 |
municipal corporation
for
taxes paid to another municipal | 279 |
corporation by a pass-through entity that does
not conduct | 280 |
business
in the municipal corporation. The amount of the credit | 281 |
shall
equal the lesser of the following amounts, subject to | 282 |
division (C)
of this section: | 283 |
(D) On and after January 1, 2003, any municipal
corporation | 297 |
that
imposes a tax on income of or from a pass-through entity | 298 |
shall specify by ordinance or rule
whether the tax applies to | 299 |
income of the pass-through entity
in the hands of the
entity or to | 300 |
income from the pass-through entity in the hands of
the owners of | 301 |
the entity. A municipal corporation may specify a
different | 302 |
ordinance or rule under this division for each of the classes
of | 303 |
pass-through entity enumerated in division (A)(2) of this
section. | 304 |
(B)(1) The manufactured home tax on a manufactured
or mobile | 316 |
home that is paid pursuant to division (C) of
section 4503.06 of | 317 |
the Revised Code and that is owned
and occupied as a home by an | 318 |
individual whose domicile is in this
state and to whom this | 319 |
section applies, shall be reduced
for any tax year for which the | 320 |
owner obtains a certificate of reduction from the county auditor | 321 |
under section 4503.067 of the Revised Code, provided the | 322 |
individual did not acquire ownership from a person, other than
the | 323 |
individual's spouse, related by consanguinity or
affinity for the | 324 |
purpose
of qualifying for the reduction in assessable value. An | 325 |
owner
includes a settlor of a revocable inter vivos trust holding | 326 |
the
title to a manufactured or mobile home occupied by the settlor | 327 |
as of
right under the trust. The reduction shall equal the amount | 328 |
obtained by
multiplying the tax rate for the tax year for which | 329 |
the
certificate is issued by the reduction in assessable value | 330 |
shown
in the following schedule. | 331 |
The commissioner shall certify the amounts resulting from
the | 358 |
adjustment to each county auditor not later than the first
day of | 359 |
December each year. The
certified amounts apply to the second | 360 |
ensuing tax year. The
commissioner shall not make the adjustment | 361 |
in any calendar year
in which the amounts resulting from the | 362 |
adjustment would be less
than the total income amounts, or less | 363 |
than the dollar amounts by which
assessable value is reduced, for | 364 |
the ensuing tax year. | 365 |
(C) If the owner or the spouse of the owner of a
manufactured | 366 |
or
mobile
home is eligible for a homestead exemption
on the land | 367 |
upon which
the home is located, the reduction in
assessable
value | 368 |
to which the owner or spouse is entitled under
this
section shall | 369 |
not exceed
the difference between the reduction
in assessable | 370 |
value
to which the owner or spouse is entitled under
column A of | 371 |
the above schedule
and the amount of the reduction in
taxable | 372 |
value that was used to compute the
homestead exemption. | 373 |
(D) "Minimum bid," in the case of a sale of property | 390 |
foreclosed pursuant to section 323.25 or 5721.18 or foreclosed
and | 391 |
forfeited pursuant to section 5721.14 of the Revised Code,
means a | 392 |
bid in an amount equal to the sum of the taxes,
assessments, | 393 |
charges, penalties, and interest due and payable on
the parcel | 394 |
subsequent to the delivery to the county prosecuting
attorney of | 395 |
the delinquent land or delinquent vacant land tax
certificate or | 396 |
master list of delinquent or delinquent vacant
tracts containing | 397 |
the parcel, and prior to the transfer of the
deed of the parcel to | 398 |
the purchaser following confirmation of
sale, plus the costs of | 399 |
foreclosure or foreclosure and forfeiture
proceedings against the | 400 |
property. | 401 |
(E) "Nonproductive land" means any parcel of delinquent | 402 |
vacant land with respect to which a foreclosure proceeding | 403 |
pursuant to section 323.25, a foreclosure proceeding pursuant to | 404 |
division (A) or (B) of section 5721.18, or a foreclosure and | 405 |
forfeiture proceeding pursuant to section 5721.14 of the Revised | 406 |
Code has been instituted; and any parcel of delinquent land with | 407 |
respect to which a foreclosure proceeding pursuant to section | 408 |
323.25 or division (A) or (B) of section 5721.18 of the Revised | 409 |
Code has been instituted, and upon which there are no buildings
or | 410 |
other structures, or upon which there are either: | 411 |
(1) Buildings or other structures that are not in the | 412 |
occupancy of any person and as to which the township or municipal | 413 |
corporation within whose boundaries the parcel is situated has | 414 |
instituted proceedings under section 505.86 or 715.26 of the | 415 |
Revised Code, or Section 3 of Article XVIII, Ohio Constitution, | 416 |
for the removal or demolition of such buildings or other | 417 |
structures by the township or municipal corporation because of | 418 |
their insecure, unsafe, or structurally defective condition; | 419 |
Sec. 5722.02. Any municipal corporation, county, or
township | 431 |
may elect to adopt and implement the procedures set
forth in this | 432 |
chaptersections 5722.02 to 5722.15 of the Revised Code to | 433 |
facilitate the effective reutilization
of nonproductive land | 434 |
situated within its boundaries. Such
election shall be made by | 435 |
ordinance in the case of a municipal
corporation, and by | 436 |
resolution in the case of a county or
township. The ordinance or | 437 |
resolution shall state that the
existence of nonproductive land | 438 |
within its boundaries is such as
to necessitate the implementation | 439 |
of a land reutilization program
to foster either the return of | 440 |
such nonproductive land to tax
revenue generating status or the | 441 |
devotion thereof to public use. | 442 |
An electing subdivision shall promptly deliver certified | 443 |
copies of such ordinance or resolution to the auditor, treasurer, | 444 |
and the prosecutor of each county in which the electing | 445 |
subdivision is situated. On and after the effective date of such | 446 |
ordinance or resolution, the foreclosure, sale, management, and | 447 |
disposition of all nonproductive land situated within the
electing | 448 |
subdivision's boundaries shall be governed by the
procedures set | 449 |
forth in this chaptersections 5722.02 to 5722.15 of the Revised | 450 |
Code. | 451 |
(B) The legislative authority of a municipal corporation or a | 478 |
board of township trustees may declare by ordinance or resolution | 479 |
that it is in the public interest for the municipal corporation or | 480 |
township to acquire tax-delinquent real property within the | 481 |
municipal corporation or township for the public purpose of | 482 |
redeveloping the property or otherwise rendering it suitable for | 483 |
productive, tax-paying use. In any municipal corporation or | 484 |
township in which such a declaration is in effect, the municipal | 485 |
corporation or township may purchase or otherwise acquire title to | 486 |
eligible delinquent land, other than by appropriation, and the | 487 |
title shall pass free and clear of the lien for delinquent taxes | 488 |
to the extent provided in division (D) of this section. The | 489 |
authority granted by this section is supplemental to the authority | 490 |
granted under sections 5722.01 to 5722.15 of the Revised Code. | 491 |
(C) With respect to any parcel of eligible delinquent land | 492 |
purchased or acquired by a municipal corporation or township in | 493 |
which a declaration is in effect under this section, the municipal | 494 |
corporation or township may obtain the consent of each taxing | 495 |
authority for release of any claim on the delinquent taxes and | 496 |
associated costs attaching to that property at the time of | 497 |
conveyance to the municipal corporation or township. Consent shall | 498 |
be obtained in writing, and shall be certified by the taxing | 499 |
authority granting consent or by the fiscal officer or other | 500 |
person authorized by the taxing authority to provide such consent. | 501 |
Consent may be obtained before or after title to the eligible | 502 |
delinquent land is transferred to the municipal corporation or | 503 |
township. | 504 |
The taxing authority of a taxing unit and a municipal | 505 |
corporation or township in which a declaration is in effect under | 506 |
this section may enter into an agreement whereby the taxing | 507 |
authority consents in advance to release of the taxing authority's | 508 |
claim on delinquent taxes and associated costs with respect to all | 509 |
or specified number of parcels of eligible delinquent land that | 510 |
may be purchased or acquired by the municipal corporation or | 511 |
township for the purposes of this section. The agreement shall | 512 |
provide for any terms and conditions on the release of such claim | 513 |
as are mutually agreeable to the taxing authority and municipal | 514 |
corporation or township, including any notice to be provided by | 515 |
the municipal corporation or township to the taxing authority of | 516 |
the purchase or acquisition of eligible delinquent land situated | 517 |
in the taxing unit; any option vesting in the taxing authority to | 518 |
revoke its release with respect to any parcel of eligible | 519 |
delinquent land before the release becomes effective; and the | 520 |
manner in which notice of such revocation shall be effected. | 521 |
Nothing in this section or in such an agreement shall be construed | 522 |
to bar a taxing authority from revoking its advance consent with | 523 |
respect to any parcels of eligible delinquent land purchased or | 524 |
acquired by the municipal corporation or township before the | 525 |
municipal corporation or township enters into a purchase or other | 526 |
agreement for acquisition of the parcels. | 527 |
(D) The lien for so much of the delinquent taxes and | 528 |
associated costs for which taxing authorities have consented to | 529 |
release their claim under this section is hereby extinguished, and | 530 |
the transfer of title to such delinquent land to the municipal | 531 |
corporation or township shall be transferred free and clear of the | 532 |
lien for such taxes and costs to that extent. If a taxing | 533 |
authority does not consent to the release of its claim on | 534 |
delinquent taxes and associated costs, the lien for such taxes and | 535 |
costs shall continue as otherwise provided by law until paid or | 536 |
otherwise discharged according to law. | 537 |