The Income Tax Division was enacted in the mid 1970’s and is responsible for the administration and collection of city income tax.  The current tax rate is 2% and is the primary source of revenue for the services of the City of Coshocton. For general guidelines and instructions for filing, click the link with the tax documents below labeled “General Information”.

The City’s Codified Ordinances are available online.  Codified Ordinances of the tax division can be found here (Under “Part One Administrative Code”).

Municipal Income Tax Law Changes
HB 33 Signed into Law 7-3-23

IMPORTANT INFORMATION. On July 3, 2023, House Bill 33, the Ohio state budget bill (the “Bill”) was signed into law. The municipal income tax provisions included in the Bill are listed below.

Minors Exempt From Municipal Income Tax. Beginning with tax year 2024, the income of all individuals under 18 years of age will be exempt from municipal income tax in all municipalities.

Existing Language Correction. The Bill makes a cross-reference correction to existing language regarding the net operating loss carryforward. The correction is effective for tax year 2023.

Alternative Apportionment for Businesses with Remote Workers. For tax years ending on or after December 31, 2023, businesses with remote workers will be permitted to use an alternative apportionment formula for their net profit filings. Instead of apportioning net profits to the municipalities where employees are performing remote work, businesses may elect to apportion net profits to employees’ reporting locations, which in most cases will be a location owned or controlled by the employer business. This provision only impacts business net profits filings, and does not change an employer’s obligation to withhold tax for employees’ remote work locations. We will have more to report on this provision as we prepare for the tax year 2023 filing season. R.C. 718.02(A), 718.02(D), 718.021, 718.82(A), 718.82(D), 718.821 (this provision results in the renumber of existing R.C. 718.021 to R.C. 718.17)

Net Profit Extension Filings Extended One Month. For business net profit filers that are on a federal filing extension, the Bill extends the municipal income tax filing deadline by one month, to the 15th day of the 11th month after the end of the taxpayer’s tax year. This provision is in effect for tax years ending on or after January 1, 2023, meaning fiscal year net profit filers with a fiscal year ending during 2023 will receive the benefit of this additional month, if they are on a federal filing extension. R.C. 718.05(G)(2)(a), 718.85(D)(1)(a)

Notices Prohibited While Taxpayers on Extension. The Bill prohibits tax administrators from sending non-filing inquiries or notices to taxpayers about a tax year for which the taxpayer has a federal extension in place; and requires a municipality to reimburse a taxpayer up to $150 for any costs a taxpayer incurs to respond to a prohibited notice.

Late Filing Penalty Capped and Waiver Required. Beginning with tax year 2023, the penalty municipalities may charge a taxpayer for a late filed return is reduced to a maximum of $25, from the current maximum of $150. The Bill also requires that a municipality waive the fee the first time a taxpayer files a late return. The penalties and interest for late payment remain in place and unchanged. R.C. 718.27(C)(3), 718.89(A)(1)

General Information

Tax Rate  2%  (effective 7-1-15)

JEDD with Franklin Township Tax Rate 2% – map of district can be found here
Ordinance No. 72-04 Establishing JEDD with Franklin Township
JEDD with Tuscarawas Township Tax Rate 2% – map of district can be found here
Ordinance No. 71-04 Establishing JEDD with Tuscarawas Township

Penalty and Interest Rates:

Penalty – Unpaid Tax

A penalty may be imposed on unpaid income tax, including unpaid estimated income tax, equal to 15% of the amount not timely paid.

A penalty may be imposed on unpaid employer withholding tax equal to 50% of the amount not timely paid.

Late Filing Penalty

A late filing penalty may be imposed for a return, other than an estimated income tax return, that remains un-filed. This late filing penalty applies regardless of the liability on the return.

Tax filings and tax payments related to tax years beginning before January 1, 2016 are subject to the penalty and interest rates and late filing penalties, if any, imposed by each municipal income tax ordinance in effect prior to January 1, 2016 – regardless of the date of filing or payment.

Interest – Unpaid Tax

Interest shall be imposed on all unpaid income tax, unpaid estimated income tax and unpaid employer withholding tax. The interest rate to be applied each calendar year is the federal short-term rate, rounded to the nearest whole number percent, plus five percent (5.00%). The rate shall apply for the calendar year next following the July of the year in which the federal short-term rate is determined under Section 1274 of the Internal Revenue Code.

Calendar Year/Annual Interest Rate

2019    7.00%
2020    7.00%
2021    5.00%
2022    5.00%
2023    7.00%
2024    10.00%
2025    10.00%

Tax filings and tax payments are subject to the penalty and interest rates and late filing penalties, if any, imposed by each municipal income tax ordinance – regardless of the date of filing or payment.

State of Ohio Laws governing interest and penalties can be found at Ohio Revised Code Section 718.27.

The Federal Short Term Rate is available on the following webpage:

http://apps.irs.gov/app/picklist/list/federalRates.html

The interest and penalty charges for prior tax years before 1-1-16 remain the same.

For your convenience, we have provided documents below that can be downloaded to your computer and printed.

Business Registration

Coshocton City Income Tax Office Goes Green

In an effort to save tax dollars, taxpayers will no longer receive tax forms by mail.

All forms are available in the links below.

Any questions, please contact our office at 740-622-9515.

Forms will also be available at the following locations:

Coshocton Tax Office: 760 Chestnut Street Coshocton, Ohio 43812
Coshocton Post Office: 516 Chestnut Street Coshocton, Ohio 43812

Current Tax Forms:

General Information
2024 Individual/Joint Tax Return
2024 Business Income Tax Return
2024 Year End Payroll Withholding Reconciliation Form
2025 Payroll Withholding Coupon
2025 Estimated Payment Coupon

Tax Forms From Previous Years:

2023 Individual/Joint Tax Return
2023 Business Income Tax Return
2023 Year End Payroll Withholding Reconciliation Form
2024 Payroll Withholding Coupon
2024 Estimated Payment Coupon
2022 Individual/Joint Tax Return
2022 Business Income Tax Return
2022 Year End Payroll Withholding Reconciliation Form
2021 Individual/Joint Tax Return
2021 Business Tax Return
2020 Individual/Joint Tax Return
2020 Business Tax Return

Links to Federal and State of Ohio Tax Forms can be found below:

Federal Tax Form Link
State of Ohio Tax Form Link
Ohio Revised Code – Municipal Income Taxes