The Income Tax Division is responsible for administering
the Income Tax Ordinance. Employees of the division are available between the
hours of 8:00 A.M. and 5:00 P.M. Monday through Friday to provide assistance to
taxpayers in the filing of income tax returns or other Sidney income tax
documents and/or to provide answers to questions relating to the tax.
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If you have any questions concerning Sidney
Income Tax,
or need assistance in filing your return,
please contact our office:
City Hall Main Entrance First Floor
201 W Poplar Street
Sidney, OH 45365
Phone (937) 498-8111
Office hours are 8:00 A.M. to 5:00
P.M.
Monday through Friday
The City of Sidney enacted
a municipal income tax 1957. The tax is applicable to all
residents of the city as well as all non-residents working within the city and
all businesses located or performing services here. The income tax rate of 1.5% is
levied upon all gross wages, salaries and other compensation, and all business
net profits.
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Who is required to file Sidney income tax
returns?
Resident individuals who have income subject to the tax and are 16 years of age or older
during the year must file if Sidney Income Tax is not withheld in full, even if no tax is due. Non-resident
individuals whose Sidney taxable income was not fully withheld. Non-resident individuals,
sole proprietorships,partnerships, limited partnerships, limited liability companies,
limited liability partnerships, associations, corporations, and S corporation that own rental
properties, conduct business, perform services, solicit sales, operate or maintain an office in Sidney
must file, even though no tax is due.
What schedules or supporting documents should I attach
to my return?
Most taxpayers will have completed their Federal tax return before completing
their City return. Any Federal schedules or forms containing any information
that relates to the information on the City return should be attached. Examples:
W-2, Sch. C, Sch. E, Sch. K, Sch. K-1, Form 1065, Form 1120, Form 2106, Sch. A,
page 1 of Form 1040, Sch. F, Form 1099, etc.
Are retired persons required to pay city tax?
Retirees are not required to pay on their income from Social Security or income
from Federally qualified retirement plans. However, retirees are subject to the
tax if they have any other types of earned income. If all your income is
non-taxable (ie., qualified pension, interest, dividends, etc.) then you need
only check the appropriate box in Part A, near the top of the form, sign and
return the form to our office. There is no age limit, per the Ohio Revised Code,
for paying municipal taxes on otherwise taxable earned income.
Are students exempt from the tax?
No, being a student has no effect on your city tax liability. All residents of
Sidney who are 16 years of age or over are required to pay city income tax.
Why doesn't the city tax interest income?
Per the Ohio Revised Code, municipalities in Ohio are prevented from taxing most
types of intangible income including interest, dividends and capital gains.
I have a rental property that shows a loss each year
after expenses. Should I include that in my return?
Yes, anyone having a rental property located in Sidney is required to file
a return and include a copy of their Schedule E or applicable schedule of income
and expenses for the rental. A return is required each year even though losses
may have been incurred. Also, any Sidney residents having rental properties
are required to file on those properties no matter where the properties are
located.
My W-2 has differing amounts in the federal income box,
the local income box and the medicare box. Which amount should I show as taxable
wages for my city income tax return?
Assuming that your employer has withheld correctly, you should use the amount in
the local income box. However, if the amounts shown in the medicare box or the
federal income box are higher than the local amount, something is wrong. You
should contact our office or your tax preparer for assistance. Because of
various federal deferral programs available, taxable wages may not always be the
same for federal tax purposes, medicare purposes, and city tax purposes. Taxable
gross wages, for city purposes, is any income not expressly excluded by the
Sidney Income Tax Ordinance and includes any income earned, received,
accrued or in any other way set apart unto Sidney residents or unto any
non-residents performing services in Sidney.
I live in Sidney but work in another city and have
tax withheld for that city. Do I get credit for that against my Sidney tax
liability?
Yes, credit is allowed for taxes paid to another city. The allowable credit is
1.5% of the amount paid to the other city.
When are tax returns due?
Individuals and calendar-year entities are required to file by April 15th.
Fiscal-year entities are required to file on the 15th day of the fourth month following the end of the fiscal year or period.
When are estimate payments required?
Each taxpayer who anticipates any taxable income that city tax is not withheld
from his or her income must file an estimate declaration by April 15th or the 15th day of the fourth month following the end of the fiscal year or period.
What are the penalties if I don't file?
Failure to pay taxes due, other than taxes withheld, will result in
penality and interest of 1.5% each per month, or fraction thereof, to be assessed
from the original due date.
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Frequently Asked Questions