Canton joins cities ready to sue state over business tax change

October 30, 2017 By Kelly Byer

The city is prepared to join other municipalities in a lawsuit against the state over business tax collection changes.

A provision in the state budget, which takes effect at the start of 2018, allows business owners to file income taxes with Ohio instead of a local municipality. Canton’s treasurer and chief deputy treasurer said the state would charge a half-percentage-point fee for processing the returns, and cities wouldn’t be able to check the details of net profit tax returns.

“This is problematic for a number of reasons,” Chief Deputy Treasurer Michael McEnaney told City Council on Monday.Canton City Council on Monday approved an ordinance to join the coalition of cities opposed to the change. The vote also approved $8,000 to retain Frost Brown Todd LLC, the law firm preparing the legal challenge.

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