SECTION
5. RETURN AND PAYMENT OF TAX
A. On or before April 15th of each year, every resident
subject to the Provisions of Section 3, of the Ordinance
shall, except herein after provided, make and file with the Tax Administrator
a municipal tax return on a form prescribed by and acceptable to the Tax
Administrator, whether or not a tax is due. When the return is made for a
fiscal year or other period different from the calendar year, the return shall
be filed on or before the 15th day of the fourth month following
the end of such fiscal year or period. The Tax Administrator is hereby
authorized to provide by regulation that the return of an employer or
employers, showing the amount of municipal tax deducted by said employer or
employers from the qualifying wages, commissions other compensation, and other
taxably income of a non-resident employee, and paid by him or them to the Tax
Administrator may be accepted as the return required of
a non-resident
employee whose sole income, subject to tax under this Tax Code, is such
qualifying wages, commissions, other compensation, and other taxable income.
B. A husband and a wife may file either separate returns or a joint
return for municipal purposes, even though one of the spouses has
neither taxable income nor deductions included on the municipal return
regardless of whether they are federal and state returns were filed
separately or jointly. If a
joint village return in made, the tax shall be computed on the aggregate
taxable income and the liability with respect to the tax shall be joint
and several.
C. The return shall be filed with the Tax Administrator on a form or
forms furnished by or obtainable upon request from the Tax Administrator or on
a generic form, if the generic form, when completed and filed contains all the
information required to be submitted with the village’s prescribed return
and, if the taxpayer or return preparer filing the generic form otherwise
complies with the Tax Code governing the filing of returns.
D. The
return shall set forth:
1. The aggregate amounts of qualifying wages, commissions, other
compensations received, allocated,
appropriated or set-aside, other income defined by statue as taxable, and
gross income from any
business, profession, or other activity, less allowable expenses incurred in
the acquisition of such gross
income earned during the preceding year and subject to said tax.
2. The Amount of tax imposed by this Tax Code on such earnings and
profits;
3. Such other pertinent statements, information returns, copies of
federal or state tax returns and/or
Schedules, or other information as the Tax Administrator may require,
including a statement that figures
used in the return are the figures used for federal income tax adjusted to set
forth only such income as is
taxable under the Provision of this chapter
E. Extensions
1. Any taxpayer that has requested an extension for filing a federal
income tax return may request an
extension for the filing of a village income tax return by filing a copy of
the taxpayer’s federal extension
request with the Village Tax division. Any taxpayer not required to file a
federal income tax return may
request an extension for filing a Village income tax return in writing. The request for extension must
filed on or before the original due date for the annual return. If the request
is granted, the extended due
date of the Village income tax return shall be the last day of the month
following the month to which the
due date of the federal income tax return has been extended.
2. The Tax Administrator may deny a taxpayer’s request for
extension if the taxpayer:
a. fails to timely file the request
b. fails to file a copy of the federal extension request, (if
applicable)
c. owes the Village any delinquent income tax, penalty, interest or
other charge for the late payment
or non-payment of income tax
d. has failed to file any required income tax return, report, or
other related document for a prior tax
period.
3. The
granting of an extension for filing a village tax return does not extend the
due date as provided in this
section for payment of the tax hence, penalties and interest may apply to any
unpaid tax during the period
of extension at the rate set out by Section 10. No penalties shall be assessed in those cases which the
return is filed and the final tax paid within the extension period provided
all other filing payment
requirements of the Tax Code have been met. Any
extension by the Tax Administrator shall be granted
upon the condition that declaration filing and payment requirements have been
fulfilled, however, if upon
further examination it then becomes evident that the declaration filing and payment
requirements have not
been fulfilled, penalty and interest may be assessed in full and in the same manner
as though no
extension had been granted.
A. Payments
with Returns
1. The taxpayer making a return shall, at the time of the filing
thereof, pay to the Tax Administrator the
amount of taxes shown as due. However, credit shall be allowed for:
a. any portion of the tax so due which shall have been deducted at
the source pursuant to the
division of section
b. any portion of said tax which shall have been paid by the
taxpayer pursuant to the provisions of
section
c. credit to the extension allowed by section for tax paid to another municipality.
2. Subject to the limitations contained in Section
11of this Tax Code, any taxpayer who has overpaid the
amount of tax to
which the Village is entitled under the provisions of this Tax Code may
have such
overpayment applied against any
subsequent liability here under or, at this election indicated on the
return, such overpayment (or part thereof) shall be refunded,
provided that no additional taxes or refunds
of less than $1.00 shall be
collected or refunded.
B. B. Amended
Returns
1. Where necessary an amended return must be filed in order to
report additional income and pay any
additional
tax
due, or claim a refund of tax overpaid, subject to the requirements and/or
limitations contained
in Sections 10
and 11. The Tax Administrator shall provide by regulation the format
in which such amended
return shall
be filed. A taxpayer may not
change the method of accounting or apportioning of net profits after
the due date
for filing the original return.
2. Within three (3) months from the final determination of any
federal tax liability affecting the taxpayer’s Village
of New Waterford
tax liability, such taxpayer shall make and file an amended Village of New
Waterford return
showing
income subject to the Village of New Waterford tax based upon such final
determination of federal
tax liability,
and pay any additional tax shown due thereon or make claim for refund of
any overpayment.
C. C. Information
Returns
Schedules and statements required to support
tax returns which are incomplete without such information shall be filed
within the time limits set
forth for the filing of the tax returns and the failure to file such
information returns, Schedules and statements shall be a violation of this
ordinance. Provided, however,
that the tax payer shall have 10 days after notification by the Tax
Administrator, or his authorized representative, to file the items
required by this paragraph.
TOP
SECTION 6. COLLECTION AT
SOURCE
A. Withholding
by Employer: Each employer
within, or doing business within, the Village who employs one or more
persons on a salary, wage, commission or other compensation basis shall
deduct, when such salary, wage, commission or other compensation is paid,
allocated, apportioned or set aside, the tax at the rate provided in Section
3 hereof on the qualifying wages due by such employer to each such
employee and shall, on or before the last day of the month following the
close of each calendar quarter make a return and pay to the Tax
Administrator the amount of taxes so deducted. Said returns shall be on a
form or forms prescribed by or acceptable to the Tax Administrator and
shall be subject to the Rules and Regulations prescribed therefore by the
Village Council. Such employer shall be liable for the payment of the tax
required to be deducted and withheld, whether or not such taxes have in
fact been withheld.
B. An employer is not required to make any withholding with respect to
an individual’s disqualifying disposition of an incentive stock option
if, at the time of the disqualifying disposition, the individual is not an
employee of the corporation with respect to whose stock the option has
been issued.
C. An employee is not relieved from liability for a tax by the failure
of the employer to withhold the tax as required by the village or by the
employer’s exemption from the requirements to withhold the tax. The failure of an employer to remit to the village the tax withhold
relieves the employee from liability for that tax unless the employee
colluded with the employer in connection with the failure to remit the tax
withheld.
D. Each employer in collecting such tax shall be deemed to hold the
same until payment is made by such employer to the Village of New
Waterford, as a Trustee for the benefit of Village of New Waterford and
any such tax collected by such employer from his employees shall, until
the same is paid to Village of New Waterford, be deemed a trust fund in
the hands of such employer. Each
employer shall be liable for the payment of the tax required to be
deducted and withheld whether or not such tax, in fact, has been withheld.
E. Any person who is required to withhold tax from qualifying wages
shall pay all such tax to the Village in accordance with the provisions of
this section. In the event
taxes withheld from the qualifying wages of employees are not paid to the
Village in accordance with the provisions of this section, all officer,
members, manager, employees, and trustees having control or supervision of
or charged with the responsibility of filing the return and making payment
are jointly and severally personally liable for the tax not returned or
paid to the Village as well as any related interest and penalties, and are
also liable under the provisions of Section 10 hereof. The
dissolution, termination, or bankruptcy of a corporation, limited
liability company, or business trust does not discharge an officer’s,
member’s, manager’s, employee’s, or trustee’s liability for a
failure of the corporation, limited liability company, or business trust
to file returns or pay said taxes.
F. Withholding Return – List of Employees. Each employer shall file a withholding tax reconciliation showing
the sum total of all compensation paid all employees, the portion of which
(if any) was not subject to withholding along with an explanation for
same, and the portion of which was subject to withholding, together with
the amount of such withholdings remitted. Such return shall include information concerning each employee from
whom the Village tax was withheld, showing the name, address, zip code and
social security number of each such employee, the total amount of
compensation paid during the year and the amount of Village income tax
withheld. If the total tax
withheld from any employee included tax withheld and remitted to another
municipality, the amount of same shall be separately shown on the return
of information to the Village concerning each employee. The withholding tax reconciliation shall be filed by each employer
on or before February 28 following the each of such calendar year.
G. In addition to the wage reporting requirements of this section, any
person required by the Internal Revenue Service to report on Form
1099-Misc. payments to individuals not treated as employees for services
performed shall also report such payments to the Village when the services
were performed in the Village. The
information may be submitted on a listing, and shall include the name,
address and social security number (or federal identification number) and
the amount of the payments made. Federal
form(s) 1099 may be submitted in lieu of such listing. The information shall be filed annually on or before February 28
following the end of such calendar year.
H. Domestic Servants. No
person shall be required to withhold the tax on the qualifying wages,
commissions, other compensation, and other taxable income paid domestic
servants employed exclusively in or about such person’s residence. However, such domestic servants shall be responsible for filing and
paying their own returns and taxes.
SECTION 7.
DECLARATIONS
A. Requirements for Filing. Every person who anticipates any taxable income which is not subject to Section 6 thereof, or who engages in any business, profession, enterprise or activity subject to the tax imposed by Section 3 hereof shall file a declaration setting forth such estimated income or the estimated profit or loss from such business activity together with the estimated tax due thereon, however, the following are exempt from filing declaration:
1. Individuals, including sole proprietors, who shall file and pay tax in accord with Section 5; and
2. Persons whose income is wholly from qualifying wages from which the tax will be withheld and remitted to the Village of New Waterford in accordance with Section 6 hereof.
B. Dates for Filing.
1. Such declaration shall be filed on or before April 15th of each year during the life of this ordinance, or on or before the fifteenth (15th) day of the fourth (4th) month following the date the taxpayer becomes subject to the tax for the first time.
2. Those taxpayers having a fiscal year or period differing from the calendar year shall file a declaration on or before the fifteenth (15th) day of the fourth (4th) month following the start of each fiscal year or period.
C. Forms - Credit for tax withheld or paid another community.
1. Such declaration shall be filed upon a form furnished by, or obtainable from, the Tax Administrator or an acceptable generic form and credit shall be taken for the Village of New Waterford tax to be withheld from any portion of such income. In accordance with the provisions of Section 15 hereof, credit may be taken for tax to be paid to or to be withheld and remitted to another taxing municipality.
2. The original declaration (or any subsequent amendment thereof) may be increased or decreased on or before any subsequent quarterly payment date as provided for herein.
3. For taxpayers that are not individuals or sole proprietorships, such declaration of estimated tax to be paid the Village shall be accompanied by a payment of at least twenty-two and one-half percent (22.5%) of the estimated annual tax and at least a similar amount shall be paid on or before the fifteenth (15th) day of the sixth, ninth, and twelfth months after the beginning of the tax year.
4. The mere submission of a declaration estimating a tax liability shall not constitute filing unless accompanied by the required payment.
D Amended Declaration.
1. A declaration may be amended at any time.
2. In the event that an amended declaration has been filed, the unpaid balance shown due thereon shall be paid in equal installments on or before the remaining payment dates.
E. Annual Return Required.
On or before the fifteenth day of the fourth month of the calendar or fiscal year, an annual return shall be filed and any balance which may be due the Village shall be paid therewith in accordance with the provisions of Section 5.
