Centralizing Ohio income taxes

Cincinnati.com this morning’s reporting that “Ohio cities and towns are resisting something being studied by the Kasich administration, to have the state collect local taxes,” and, as its Columbus Dispatch counterpart puts it, “Opposition is growing to the proposal before it’s even seen the light of day.”

“Centralizing municipal income-tax collections is an idea Gov. John Kasich has kicked around for months, and it continues to percolate within the Department of Taxation,” the Dispatch article says, “but as Tax Commissioner Joseph Testa approaches some municipal leaders about the possibility, he has been met with tough questions from some and opposition from others… a major concern being about local tax money going first to the state and then being redistributed back to municipalities.”

That concern was expressed by Gahanna, Ohio Finance Director Angel Mumma, who recommended that its city council draft a resolution against centralizing local tax collections. Gahanna outsourced its local tax collections to the Regional Income Tax Agency last year, but Mumma said she is concerned the city would lose its ability to enforce its tax code or losing control of that revenue.

The Cleveland Plain Dealer had an article yesterday.