Tax and Finance Management

Economic Incentives Toolkit Available

Bricker Graydon, the OMA’s general counsel, has published the DevelopOhio Economic Incentives Toolkit, which outlines various federal, state, and local tools available to businesses. Specifically, it identifies incentives, clarifies changes to existing programs, and introduces new options for companies to consider. 9/18/2023

IRS Pauses Processing New ERC Claims

The IRS recently announced a moratorium on processing new employee retention credit (ERC) claims through the end of the year to better assess fraudulent claims before issuing refunds. Read insight from OMA Connections Partners CliftonLarsonAllen and HBK. 9/18/2023

Comparison: Property Taxes by County, State

With a median property tax bill of $6,125, property owners in Delaware County face the highest property tax burden in Ohio, according to an updated comparison by the Tax Foundation.

This interactive map provides a look at every U.S. county’s property taxes, which are typically levied by local governments, primarily school districts. Also, see this map comparing effective property tax rates across all states.

The Ohio Department of Taxation recently published this information and video explaining how real estate taxes are calculated in the Buckeye State. 9/14/2023

Ohio’s ‘Rainy Day Fund’ Hits New Record High

Ohio’s “rainy day fund” — or the Budget Stabilization Fund — now stands at a record $3.65 billion, according to the Office of Budget and Management.

During August, the second month of the state’s new fiscal year, tax revenues came in $37.7 million (1.4%) over estimates, according to the OBM’s monthly report. 9/12/2023

Economic Outlook Webinar, September 25

On Sept. 25, Joe Brusuelas, chief economist for OMA Connections Partner RSM, will discuss the economic outlook for the U.S. The webinar will examine economic growth, materials pricing, labor outlook, and other issues affecting middle market businesses. Register now. 9/13/2023

Analysis: CAT Changes Create Tax Uncertainty

The Corporate Activity Tax (CAT) — with its broad-based rate of 0.26% — was a key part of Ohio’s 2005 tax reform. Overall, the CAT has helped Ohio’s manufacturing competitiveness by replacing the former franchise tax and tangible personal property tax, both of which imposed a disproportionate burden on manufacturers.

But changes are in store for the CAT following this summer’s enactment of the current state budget (House Bill 33). In this new “Retooling Ohio,” the OMA examines the shrinking CAT base under HB 33 — and how it adds more uncertainty for manufacturers going forward. 9/6/2023

Webinar: The Power of Succession Planning

On Sept. 19, OMA Connections Partner GBQ Partners will host a no-cost webinar to examine the importance of succession plans for small businesses. Learn more and register. 9/7/2023

Summary: Changes to Ohio’s R&D Tax Credit

OMA Connections Partner Plante Moran has compiled this summary of Ohio’s tax changes under the new two-year budget, including changes to the R&D tax credit.

Changes include allowing the state to audit qualified R&D expenses and requiring taxpayers to maintain records substantiating the credit for four years. 9/7/2023

RSM: End in Sight for U.S. Manufacturing Recession

OMA Connections Partner RSM reports that the months-long decline in its U.S. Manufacturing Outlook Index appears to be nearing a bottom. In this summary, the firm writes that the manufacturing construction boom could soon translate into robust new orders, supporting the sector’s overall activity for at least the next three years. 8/29/2023

Make Tax Season Easier by Collecting W-9 Forms Now

OMA Connections Partner Clark Schaefer Hackett advises businesses to get a head start on tax season by beginning collection of W-9 forms (requests for taxpayer ID number and certification). This will ensure a smoother preparation of 1099 information returns, the firm says. Read more. 8/30/2023