2012-52

ORDINANCE AMENDING SECTION 193.02 (V) OF THE MARION CITY CODE TO PROVIDE FOR A MORE UNIFORM APPLICATION OF THE INCOME TAX AND TO ENSURE EQUAL APPLICATION OF THE CODE

WHEREAS, the Council has found a real and present need for the City of Marion, Ohio to follow the course taken by many similarly situated municipalities in Ohio to incorporate recent State wide changes as to gambling, availability of gambling and provide for a more up to date definition of income. The Council herein finds it to be in the best interests of the citizens of the City of Marion to incorporate the following modifications as to the City Code to provide for a more uniform application of the tax code ensuring a more equal application of the Code,

BE IT ORDAINED by the Council of Marion, Marion County, Ohio:

Section 1. § 193.02 (V) Qualifying Wages., now reading in relevant part as:

(V) QUALIFYING WAGES.

(1) Wages, as defined in § 3121 (a) of the Internal Revenue Code, without regard to any wage limitations, adjusted as follows:

(a) Deduct any amount included in wages if the amount constitutes compensation attributable to a plan or program described in § 125 of the Internal Revenue Code.

(b) Add the following amounts:

(i) Any amount not included in wages solely because the employee was employed by the employer prior to April 1, 1986.

(ii) Any amount not included in wages because the amount arises from the sale, exchange or other disposition of a stock option, or other disposition of stock purchased under a stock option. Division (V) (1) (b) (ii) of this section applies only to those amounts constituting ordinary income.

(iii) Any amount not included in wages if the amount is an amount described in § 401(k) or 457 of the Internal Revenue Code. Division (V) (1) (b) (iii) of this section applies only to employee contributions and employee deferrals.

(iv) Any amount that is supplemental unemployment compensation benefits described in § 3402 (o) (2) of the Internal Revenue Code and not included in wages.

(2) Except for the exemptions from wages provided in Internal Revenue Code § 3121 (a), no other provisions of the Internal Revenue Code (such as Internal Revenue Code § 3121 (b)) shall be construed to exclude remuneration paid by an employer to an employee from the definition of “qualifying wages” for the purposes of this chapter.

shall be amended to read as follows:

§ 193.02 (V) Qualifying Wages.

(V) QUALIFYING WAGES.

(1) Wages, as defined in § 3121 (a) of the Internal Revenue Code, without regard to any wage limitations, adjusted as follows:

(a) Deduct any amount included in wages if the amount constitutes compensation attributable to a plan or program described in § 125 of the Internal Revenue Code.

(b) Add the following amounts:

(i) Any amount not included in wages solely because the employee was employed by the employer prior to April 1, 1986.

(ii) Any amount not included in wages because the amount arises from the sale, exchange or other disposition of a stock option, or other disposition of stock purchased under a stock option. Division (V) (1) (b) (ii) of this section applies only to those amounts constituting ordinary income.

(iii) Any amount not included in wages if the amount is an amount described in § 401(k) or 457 of the Internal Revenue Code. Division (V) (1) (b) (iii) of this section applies only to employee contributions and employee deferrals.

(iv) Any amount that is supplemental unemployment compensation benefits described in § 3402 (o) (2) of the Internal Revenue Code and not included in wages.

Qualifying wages are expressly defined to include all income derived from prizes, awards, gaming, wagering, lotteries or other similar games of chance by a resident from whatever source and from anywhere derived;

(2) Except for the exemptions from wages provided in Internal Revenue Code § 3121 (a), no other provisions of the Internal Revenue Code (such as Internal Revenue Code § 3121 (b)) shall be construed to exclude remuneration paid by an employer to an employee from the definition of “qualifying wages” for the purposes of this chapter
Section 2. The effective date for the changes, modifications and alterations to Marion City Code 193.02 contained above shall be the 1st day of October 1, 2012 and shall be applicable for the last quarter of the tax year known as 2012 and each period or tax year thereafter.
Section 3. This Ordinance shall take effect and be in force from and after the earliest period allow by law

______________________________
Dave Edwards
President of Council

Approved:

 

________________________
Mayor Scott Schertzer


Attest:

________________________
Clerk of Council