Income Taxes

Filing Date

The City of Lima is extending our 2020 tax filing date to May 17, 2021 for all taxpayers, except fiscal year accounts, or taxpayers on Federal extension. This is to align with the change made by the Internal Revenue Service.

** NOTICE TO LIMA TAXPAYERS **

Due to the Coronavirus (Covid-19), the City of Lima Income Tax Department will continue to assist taxpayers BY APPOINTMENT ONLY.

Please call 419-221-5245 to schedule an appointment. Please leave a voicemail if you do not get through, and we will call you back to schedule your appointment.

                                                   ** PLEASE NOTE **

** Masks will be required (one will be supplied if you do not have one)

** Only one person is needed to file a joint tax return

** Please leave children at home, if possible.


Any taxpayer who has requested an extension for filing their Federal income tax return shall automatically receive the same extension for the filing of the City tax return. Taxpayers who have not received or requested a Federal extension may request an extension from the Income Tax Department provided the request is received before the original due date of the return and their account is current. An extension of time to file is NOT an extension of the time to pay any tax due.

The income tax rate for the city of Lima is 1.5%.

Liability

90% of tax is due by December 15th for businesses and January 15th for individuals of the tax year. The remaining 10% is due on the filing deadline. Late payment may result in penalty and interest being applied.

LD-1

Declaration of estimated taxes-this form is required for taxpayers who are not withheld where they work, are self-employed, own rentals or are a corporate or partnership account who will owe more than $200 tax. It allows you to estimate your tax liability for the current year and submit this estimate for input into our computer. Then, the computer can issue quarterly billings based on your estimate. Changes can be made to this estimate during the tax year by filling out the back of the quarterly billing (lq-1).

Published Interest Rate: Ohio Revised Code 718.27 requires the Tax Administrator to publish, by October 31st, the established interest rate for tax underpayments based on the Federal short-term rate that will apply during the next calendar year.

Interest shall be imposed per annum, on all unpaid income tax, unpaid estimated income tax and unpaid withholding tax.

The interest rate used shall be the Federal short-term rate (rounded to the nearest whole number percent) plus five percent (5%). The rate shall apply for the calendar year next following the July of the year in which the Federal short-term rate is determined.

Note: Interest applies to any balance of tax due that is not paid by the due date of a return, even if the return is filed under extension.

Calendar YearMonthly Interest RateYearly Interest Rate
2021
0.42%
5.0%
20200.583%7.00%
20190.583%7.00%
20180.50%6.00%
20170.50%6.00%
20160.42%5.00%