Ohio continued phasing down its state income tax rates in 2008. The top rate is now 6.24 percent, down from 6.555 percent in 2007. The across-the-board rate cuts are scheduled to continue through 2009. More on the Buckeye State's taxes can be found in the tabbed pages below.
|Personal income tax
||Ohio collects income taxes from its residents at the following rates:
-- 0.618 percent on the
first $5,000 of taxable
-- 1.236 percent on taxable
income between $5,001 and
-- 2.473 percent on taxable
income between $10,001 and
-- 3.091 percent on taxable
income between $15,001 and
-- 3.708 percent on taxable
income between $20,001 and
-- 4.327 percent on taxable
income between $40,001 and
-- 4.945 percent on taxable
income between $80,001 and
-- 5.741 percent on taxable
income between $100,001
-- 6.240 percent on taxable
income of $200,001 and above.
||Ohio state tax returns are due on April 15 or the next business day if that date falls on a weekend or holiday.
cities also levy municipal
income taxes. Forms
for these can be found on
the Ohio tax
also has a school
district income tax,
a levy that is separate
from federal, state and
municipal income taxes.
School district income taxes
are collected through employer
quarterly estimated payments
and annual returns. The
money is earmarked specifically
to support school districts.
You can find your school
district's income tax rate
using the online
search tool. If you
lived in a school district
that collects an income
tax at any time during the
tax year, you must file
an Ohio form SD 100
| ||The state sales tax rate
is 5.5 percent.
||Counties and regional transit authorities also may levy sales tax in multiples of 0.25 percent up to a maximum additional tax of 1.5 percent. The total combined rate -- state, county and transit authority -- may not exceed 8.5 percent.
Locate the exact sales tax
rate for any address in
the state with Ohio's
Online Rate Finder.
|Personal and real property taxes
||Ohio's tangible personal property
tax has been phased
out for general business filers.
No annual or new taxpayer returns
are required to be filed for tax
years 2009 and thereafter. The
exceptions to the phase-out, who
continue to be subject to the
tax, are telephone and inter-exchange
or entities leasing property to
telephone and inter-exchange telecommunications
||The state's Property
Tax Administration Fund was created to cover the costs the
Department of Taxation incurs in administering local property
tax programs. The fund is used to pay the operating costs of
the divisions involved in overseeing real property taxation,
administering the personal property taxes of public utilities
and inter-county corporations and expanding audit capacity for
personal property taxes.
state law requires each county
auditor to reduce, or roll
back by 10 percent, all nonbusiness
real property taxes charged. In
addition, county auditor must
further reduce the real property
tax on owner-occupied property
by 2.5 percent. Owner-occupants
who are age 65 or older or who
are permanently and totally disabled
may qualify for an additional
reduction in their real property
taxes by applying for a homestead
exemption. Local governments are
fully reimbursed from the state
general revenue fund for these
|Inheritance and estate taxes
||Ohio has no inheritance tax.
does impose a graduated
tax on the transfer of assets
of an estate.
previously levied an additional
or pick-up tax, which was the
difference between the federal
credit for state death taxes and
the amount of the basic Ohio estate
tax paid. Changes made to the
federal estate tax repealed the
federal credit allowed for state
death taxes for dates of death
occurring on or after Jan. 1,
2005. In view of that federal
legislation, the Ohio Additional
Tax on estates is constructively
repealed for decedents' dates
of death occurring on or after
July 1, 2005.
|Other Ohio tax facts
||The Ohio Department of Taxation offers numerous online options to Buckeye State residents, including online filing of state income as well as school district income tax returns.
||Ohio taxpayers can go online to check the status of their refunds.
||You can let Ohio officials know by e-mail of any suspected tax fraud at the state's special Web page.
more information, contact the Ohio Department
of Taxation at (614) 466-2166 or visit its
tax forms on this site, you will need to install a free copy
of Adobe Acrobat Reader. Click here for instructions.