Income Tax

Taxable Income

The following list is not all-inclusive and should be used as a guide:

• Wages, salaries and other compensation
• Bonuses, stipends and tip income
• Commissions, fees and other earned income
• Board of Director income
• Employer provided supplemental unemployment benefits (sub pay)
• Stock options (taxed when exercised)
• Severance pay
• Sick pay (excluding 3rd party sick pay)
• Disability pay if received as a benefit of employment
• Vacation pay
• Employee contributions to retirement plans and tax deferred annuity plans (including Sec. 401k, Sec. 403b, Sec. 457b, etc.)
• Any amount attributable to a non-qualified deferred compensation plan included in qualified wages
• Self-employment income (Schedule C)
• Net farm income (Schedule F)
• Income from pass-through entities, estates or trusts (Schedule E Part II and Part III)
• Net rental income (Schedule E)
• Lottery/gambling winnings
• Oil and gas rights income
• Royalties from a tangible income source
• Ordinary gains as reported on Federal Form 4797, Part II
• Employer paid premiums for group term life insurance over $50,000
• Compensation paid in goods or services or property usage. Taxed at fair market value
• Prizes and gifts if connected with employment to the same extent as taxable for Federal income tax purposes
• Strike pay
• Profit sharing

Non-Taxable Income

• Interest
• Dividends
• Capital gains
• Social Security
• Pension distributions
• Covid-19 Stimulus Payments
• Income earned by someone under 18 years of age
• Disability income, except when issued on a W2 (a benefit of employer)
• Cancellation of debt, 1099-C
• SERP’s (supplemental executive retirement plan)
• Income from Boards of Elections up to $1,000.00
• Workers compensation
• Third-party sick pay
• Public assistance
• State unemployment compensation
• Military pay or allowance of members of the Armed Forces of the United States and members of their reserve components, including the National Guard
• Alimony received
• Royalties from intangible income sources
• Contributions made to Section 125 cafeteria plans
• HSA accounts
• Annuity distributions
• Retirement plan distributions
• IRA distributions
• Insurance proceeds
• Executor fees
• Housing Allowance for clergy
• Health and welfare benefits distributed by charitable, religious or educational organizations 
• An S Corporation shareholder's distributive share of net profits of the S Corporation

Effective with tax year 2019, all Archbold residents over 18 years of age, are required to file a tax return. An exemption from filing may be approved by the Income Tax Commissioner for residents whose sole income is derived from pension, social security benefits, disability benefits, or interest and dividends. This written exemption is done on the Individual Registration/Exemption Form, found in the Forms area above or at the Income Tax Office.  Once it is on file with the Archbold Income Tax Office, it does not need completed again. The exemption shall be in effect until such time as the resident taxpayer receives municipal taxable income to Archbold.

Effective with tax year 2016 and beyond:

Estimated Tax Payments are required by Individuals and Businesses if you will owe over $200 in a year. If you are not fully withheld by your employer, and liability will be over this threshold, you must make estimated payments according to ORC Chapter 718, HB 5, Municipal Income Tax Uniformity. Quarterly payments are due as follows:

Individual Taxpayers- April 15th, June 15th, Sept. 15th, Jan.15th

Business Taxpayers- April 15th, June 15th, Sept. 15th, Dec. 15th

Failure to have at least 90% of your Archbold tax liability paid via withholding credits and/or estimated payments will result in a penalty of 15% of the amount not timely paid.  This penalty applies to each quarter that was not timely paid.  You may also avoid this penalty by having 100% of your previous year’s tax liability paid via withholding credits and/or estimated payments by the April 15th due date or federal revised due date.

We accept the federal extension, Form 4868 for individuals or Form 7004 for businesses.
INDIVIDUAL EXTENSION DUE DATE: OCTOBER 15th
BUSINESS EXTENSION DUE DATE: NOVEMBER 15th
We require Form 4868 for individuals, or Form 7004 for businesses, to be attached to the Archbold return when filed to avoid late filing penalties. 

• Calendar Year End Due Date – April 15th or the Federal due date
• Fiscal Year End Due Date – 15th day of fourth month following fiscal year end

Interest

•  – Based on the Federal Reserve rate and may change annually in accordance with Ohio Revised Code 718:  
  • 2026 - 9% per annum (.75% per month)
  • 2025 - 10% per annum (.83% per month)
  • 2024 - 10% per annum (.83% per month) 
  • 2023 - 7% per annum (.58% per month)
  • 2022 – 5% per annum (.42% per month)
  • 2021 – 5% per annum (.42% per month)
  • 2020 –7% per annum  (.58% per month)
  • 2019 – 7%  per annum (.58% per month)
• Late Filing Penalty – $25.00 for tax years 2023 & beyond; $25/month up to $150 for prior tax years.  
• Late Payment Penalty- 15% on amount due, including unpaid estimate payments.

Filing of returns and payments are due as follows:

• Quarterly Due Dates: April 30, July 31, October 31 and January 31
• Monthly Due Dates: by the 15th of the following month

Threshold requiring monthly remittance: Prior year annual total withholding for the municipality exceeded $2,399.00, or month of prior quarter withholding for the municipality exceeded $200.00
We encourage businesses to submit withholding thru Ohio Business Gateway for less paperwork and ease of processing!

Interest

•  – Based on the Federal Reserve rate and may change annually in accordance with Ohio Revised Code 718:
  • 2026 - 9% per annum (.75% per month)       
  • 2025 - 10% per annum (.83% per month)
  • 2024 - 10% per annum (.83% per month) 
  • 2023 - 7% per annum (.58% per month)
  • 2022 – 5% per annum (.42% per month)
  • 2021 – 5% per annum (.42% per month)
  • 2020 – 7% per annum  (.58% per month)
  • 2019 – 7%  per annum (.58% per month)
• Late Payment Penalty – Not to exceed 50% of the amount past due
• Late Filing Penalty – $25.00 for tax years 2023 & beyond; $25/month up to $150 for prior tax years.

Late filing fee after February 28th:  $25.00

• ORDINANCE 2023-55 AMENDMENTS TO CHAPTER 33, EFFECTIVE JAN. 1, 2024
• ORDINANCE 2022-05 TAX INCREASE TO 1.80% EFFECTIVE JAN. 1, 2023
• ORDINANCE 2019-49 IMPLEMENTING MANDATORY FILING & LANDLORD REPORTING

State Mandated Changes to Ohio Municipal Taxes Effective in 2016 & 2018 The 132nd Ohio General Assembly amended Municipal Income Tax Codes in House Bill 49 effective January 1, 2018. CHAPTER 33 INCOME TAX CODE click here.

The 130th Ohio General Assembly passed Substitute House Bill 5 which changed the laws governing municipal income taxes. The changes are effective for tax year 2016. CHAPTER 33 INCOME TAX CODE click here.