Get 2022 Ohio It Re Explanation Of Corrections

Governor Mike DeWine signed HB 33, which, retroactive to January 1, 2023, gradually reduces the Ohio personal income tax rates over two years, collapsing the current four tax brackets to two by 2024.

Ohio's Budget Bill (H.B. 33) significantly changed corporate activity tax (“CAT”) by increasing the annual exclusion beginning with the 2024 tax year. H.B. 33 eliminated the CAT's alternative minimum tax and increased the annual exclusion from $1 million to $3 million for 2024 and $6 million for 2025.

As a result, for tax year 2023, an unmarried filer with taxable income of $95,000 will have a top rate of 22%, down from 24% for the same amount of income in 2022. That shakes out to tax savings of $429. The last $50,275 will be taxed at 22%.

The IT 4708 is a composite income tax return a PTE elects to file on behalf of its qualifying investors. It is filed in lieu of the IT 1140 Pass- Through Entity & Trust Withholding Tax Return. An entity cannot file the IT 4708 if it has elected to file the IT 4738 for the taxable year.

The Ohio Department of Taxation is advising employers that it has issued new employer withholding tables to be used for payrolls that end on or after Nov. 1, 2023. The new tables include the income tax rate reductions that went into effect when House Bill 33 (135th General Assembly) was signed into law on July 4, 2023.

Governor Mike DeWine signed HB 33, which, retroactive to January 1, 2023, gradually reduces the Ohio personal income tax rates over two years, collapsing the current four tax brackets to two by 2024.

Flattens and consolidates Ohio income tax brackets from four to two by tax year 2024. The top income tax bracket will also be reduced from 3.99 to 3.75% in 2023. In 2024, the top two income tax brackets will be consolidated and the rate reduced to 3.5%.