The City of Cincinnati Income tax rate of 2.1 % must be withheld from taxable earnings of each employee. Taxable earnings include, but are not limited to all salaries, tips, incentive payments, fees, commissions, and deferred compensation.

If you are an employer who conducts business solely within the City of Cincinnati, all of your employees are subject to the City of Cincinnati withholding tax. The tax should be withheld and remitted to the City of Cincinnati at the rate of 2.1% of the gross wage amount for each employee.

If you are an employer who does business both inside and outside the jurisdiction of Cincinnati, you are required to withhold 2.1% on all compensation earned by your employees who work within the City of Cincinnati. In addition, you are required to withhold that tax at 2.1% on 100% of the wage amount for all employees who are Cincinnati residents.

If you are an employer who conducts no business activity within the city limits of Cincinnati, you may choose to voluntarily withhold the Cincinnati tax for those employees who reside within the City of Cincinnati. Withholding for Cincinnati residents should be an amount sufficient to bring their total local withholding to 2.1%. (Credit is given to Cincinnati residents for local taxes paid to other municipalities up to 2.1%).

Withholding tax payments are to be made quarterly or monthly, depending on the total amount to be remitted. If the withholding amount exceeds $300.00 per month (City ordinance change from $200.00 per month, effective 09/19/2001), then you are required to remit the tax monthly. Monthly payments are due within 15 days after the close of each calendar month. All monthly payments should be reported on Form M-1 through M-12 (for the months of January through December).

If the withholding amount is less that $300.00 per month, payments may be made on a quarterly basis. Quarterly payments are due no later that the last day of the month following each calendar quarter. All quarterly payments should be reported on Form Q-1 through Q-4 (for first quarter through fourth quarter). You may contact our office at (513) 352-3838 to request any forms that you may need.

For information on our electronic filing program, please go the  Electronic Tax Programs page or contact our office at (513) 352-3838.