This week, Sen. Kristina Roegner (R-Hudson) gave sponsor testimony on Senate Bill 352, which would repeal the temporary municipal income taxation rule for employees who are working from home due to COVID-19. That provision, passed early in the pandemic to protect cities’ income tax revenues, allowed employers to continue to send withholdings to an employee’s principal city of work rather than to the city in which the employee lives.
The issue has created much conversation since Ohio’s state of emergency remains in place. The OMA fought for the creation of the temporary provision so employers’ tax systems would not be overwhelmed as many employees work remotely for an indefinite period of time. The OMA created a tax working group to address the issue, which will be discussed at the next OMA Tax Committee meeting. 9/24/2020