Thomas' Bill Limiting Tax Penalties Passes in Ohio House

COLUMBUS – The Ohio House of Representatives passed House Bill 105, legislation that limits municipal income tax late filing penalties, announced State Representative Jim Thomas (R-Jackson Twp.).

The legislation had strong bipartisan support with a sweeping vote of 88-0. 

“The changes implemented by House Bill 105 will help taxpayers avoid excessive late filing fees,” Thomas said. “My legislation will help Ohioans by limiting disproportionate charges from municipalities.” 

Under current law, taxpayers can be charged up to $150 in municipal income tax penalties. House Bill 105 will place a flat fee on late filing penalties of $25 for failure to timely file each return, regardless of the liability. The proposed legislation will also cut down on the burdensome late return notices from a municipal tax administrator or commissioner.

During the committee process, The Ohio Society of CPAs, the Council on State Taxation, and the Ohio Chamber of Commerce spoke in favor of the bill. 

The legislation now heads to the Ohio Senate for further consideration.