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I try to add tax blog articles weekly on tax topics that may be interesting to you. Please browse. If there is a topic you would like to see here or would like to more information on, please contact me.
2024 Ohio Tax Changes
From Annual Tax Newsletter: Not Every change but the changes that affect most Taxpayers and Small Business. . . .
Ohio Tax Law Changes, Individuals
Tax Rates: If taxable income is under 26,050 Ohio Income Tax Rate is $0 (yes, you read that correctly).
if taxable income is 26,051 to $100,000 Ohio Income Tax Rate is 2.75%
if Taxable income is 100,001 and up Ohio Income Tax Rate was lowered to 3.5%
Home Buyers: Ohio Homeowners Plus Savings Account Program. A savings account is set up for purchasing a primary residence and closing costs. Savings Interest is tax-free. Contributions are tax deductible if requirements met. Maximum Annual contributions are $10,000 for joint filers and $5,000 for all others. Account must be used within five years. Info: see:https://tos.ohio.gov/homebuyerplus/
Non-Chartered School Credit increased 1,000.00 to $1,500.00 and income limits removed. Qualifying School List: https://education.ohio.gov/Topics/Ohio-Education-Options/Private-Schools/Non-Chartered-Non-Tax-School-Information
No OHIO CITY TAX on Stock options and deferred compensation income.
No Ohio City Tax on Minor’s earned income.
Ohio Tax Law Changes, Businesses
Ohio Gateway Account Changes if have an existing Ohio Gateway Account (for paying sales tax, employer withholding taxes etc), Ohio is migrating to a new system starting December 10, 2024. Accounts must have two factor authentication (password + secondary contact method to send a code) set up on their account. Existing Ohio Business Gateway accounts will be grandfathered in. New accounts must set up an Ohio ID account (similar process as IRS ID account)
No Commercial Activities Tax (CAT) filing required if businesses gross receipts are less than three million dollars (expanded to six million for 2025).
Pass through Entity taxes for other States: can be deducted on the Ohio Tax return.