Individual FAQs - Estimates - Estimated Tax Payment Requirements

Why do I have to pay estimated municipal income taxes?

As with both the Federal Income Tax and Ohio’s Individual Income Tax, the Municipal Income Tax may require taxpayers to make estimated payments during each tax year. Estimated payments may be required if you have taxable income in an Ohio municipality that is not subject to withholding, if you have business income in an Ohio municipality, and/or if you owe residence tax to the municipality where you reside.

Beginning with tax year 2016, Ohio law requires you to make estimated municipal income tax payments if you will owe $200.00 or more to an Ohio municipality.

2. Due Dates for Estimated Payments

What are the due dates for estimated municipal income taxes?

Estimated payments are due quarterly:

1^st Quarter - April 15^th *

2^nd Quarter - June 15^th

3^rd Quarter - September 15^th

4^th Quarter - January 15^th

* This date usually coincides with the annual income tax return filing deadline, and may change from year to year if the filing deadline is extended due to weekends and/or a legal holiday.

3. De minimis Amounts

Is there a minimum estimate amount?

You are required to make estimated payments if your estimated tax liability for the year (after credits and withholding, if any) is $200 or more.

4. Penalty and Interest

Is it possible to incur penalty and interest for not remitting estimated payments?

Yes. You are required to make quarterly estimated payments if the tax due for any municipality is greater than or equal to $200.

For each RITA municipality where income tax is owed, if your estimated payments are not 90% of the tax due for the year or are not equal to or greater than your prior year’s total tax liability on or before the estimated due dates, you will be subject to penalty and interest charges. These requirements are detailed in the Ohio Revised Code §718.08.