S.B. 194

128th General Assembly

(As Introduced)

Sens.     Kearney, D. Miller, Fedor, Goodman, Jones, Morano, Turner, Schiavoni

BILL SUMMARY

· Permits individual taxpayers to direct the state to transmit an income tax refund directly to the taxpayer's savings or tax-qualified retirement account.

CONTENT AND OPERATION

The bill requires the Tax Commissioner to permit individual taxpayers, at the time they file an annual return, to instruct the Tax Department to cause any refund of overpaid income taxes to be deposited directly into a savings account, a cash or deferred arrangement account described in subsection 401(k) of the Internal Revenue Code (IRC), or an individual retirement account or individual retirement annuity, as designated by the taxpayer.  If a taxpayer is considered self-employed for purposes of subsection 401(c) of the IRC, the taxpayer may also designate a trust that is a qualified plan under section 401 of the IRC (a "Keogh" plan).  Such instructions can be given to the Department regardless of whether the taxpayer files a paper return or transmits the return electronically or telephonically.  (R.C. 5747.08(L).)

HISTORY

ACTION	DATE
Introduced	10-27-09

s0194-i-128.docx/kl