Tax commissioner: Toledoincome-tax collections for 2024 finish just over $237 million; refunds projected

Tax Commissioner John Zavisha told the Toledo Finance Committee on a regular monthly meeting that preliminary, unaudited income-tax collections for the year ending Dec. 31, 2024, stand at "just over $237,000,000." Zavisha said the figure reflects a projected "thirteenth period" of revenues that are received Jan. 1 through Feb. 28 but relate to prior years.

Zavisha said the thirteenth-period receipts currently are projected at $29,745,000, and that after projected refunds are removed the year-end total would be the roughly $237 million figure. "Weare looking at the 2024 tax number to be just over $237,000,000," he said.

The tax commissioner told the committee the department expects to finalize audits and clear anomalous items in the next 15 to 30 days, noting that items such as bad checks or adjustments from the annual JEDS audit could move the number slightly. "We do audit certain things," Zavisha said, adding those reconciliations can shift amounts between years.

Zavisha attributed the department—s positive variance from earlier projections largely to business net profits from a few larger employers that filed on federal extensions. He said the original projection discussed earlier in the packet was lower and that late returns filed on extension can materially change the final amounts.

On refunds, the commissioner recommended a conservative budgeting approach. When asked what figure the department would use for refund banking, Zavisha said the office was "floating probably $6,000,000" as an estimate for refunds to allocate in the next budget cycle. He added that projected refunds for the prior year were about $5.4 million and that earlier in the prior year staff had projected refunds closer to $4.08 million.

Committee members and staff discussed the volatility tied to estimated tax payments and business net-profit filings. Zavisha said many business payments are estimate payments and the annual returns determine whether taxpayers owe or are due refunds; taxpayers must have paid 90% of liability to avoid penalties. "It could either result in a decent size refund or additional funds being owed," he said.

Chairman Serrantu and Director of Finance Melanie Campbell thanked tax staff for the update and noted the department will reconcile final figures within weeks. The committee received the report; no formal action was taken at the meeting.

Clarifying details: the tax office identified a projected 13th-period receipt of $29,745,000 (John Zavisha), an estimated year-end income-tax total of just over $237,000,000 (Zavisha), and a refund estimate being budgeted at about $6,000,000 (Zavisha). The department said final audit and clearing work would occur in the next 15 to 30 days and that the JEDS audit could cause small adjustments.

Ending: Finance staff said they will return when the year-end reconciliations are complete; the committeereceived the report and moved on to other items.