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Bill would require voters to approve cuts to municipal tax reciprocity credits
Summary
Sponsors told the Senate Ways and Means Committee that House Bill 503 would require voter approval at a general election before a city or village could reduce, repeal or modify municipal income tax reciprocity credits; sponsors said the change would add transparency and prevent unexpected tax increases for commuters.
Representatives sponsoring House Bill 503 told the Senate Ways and Means Committee that the measure would give taxpayers a direct vote before their local government reduces or eliminates municipal income tax reciprocity credits.
"House Bill 503 seeks to modernize this structure by ensuring that any reduction, appeal, or modification of a reciprocity credit is made with direct voter input at an election," the bill’s sponsor said in testimony to the committee. The sponsor described the patchwork of local reciprocity policies across Ohio as confusing and said it can produce double taxation…
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