OMA Pushes for Elimination of Sales Tax on Temp Employees

Today is the deadline for Ohio House members to submit their amendment priorities to leadership for the state budget. One of the amendments the OMA was able to secure for submission is the elimination of sales tax on temporary manufacturing employees.

This has been a long-time pain for Ohio’s manufacturers. Effective January 1993, in order to fill a hole in the state budget, employment services were added as a taxable service by a legislative conference committee facing a midnight deadline to reach agreement on a new budget. Since then Ohio has been one of the minority of states to burden employers with this additional tax.

OMA continues to seek a solution for manufacturers through the manufacturing sales and use tax exemption, which should include temporary labor. To learn more about this issue and how you can be involved, contact OMA’s Rob Brundrett. 4/11/2018