OSCPA supports tax conformity legislation

The Ohio Society of CPAs provided proponent testimony to the Senate Ways & Means Committee on Wednesday for Senate Bill 9, the annual federal/state tax conformity legislation. A companion bill, House Bill 14, is also pending in the House Ways & Means Committee. H.B. 14 is sponsored by Rep. Bill Roemer, CPA (R-Richfield) and Rep. Heidi Workman (R-Rootstown).

S.B. 9, sponsored by Senator Bill Blessing (R-Colerain Township) will incorporate into Ohio law the federal tax changes to the Internal Revenue Code (IRC) which became law between March 15, 2023 (S.B. 10, 135th GA) and S.B. 9’s eventual effective date. If enacted, S.B. 9 will incorporate federal tax provisions that were enacted as part of the Federal Disaster Tax Relief Act of 2023 (signed on Dec. 12, 2024) impacting payments received for losses suffered from wildfires and disaster relief payments from the East Palestine derailment.

The Ohio Society also strongly supports the emergency clause in S.B. 9 given that the normal 90-day effective date for legislation would already occur after the current tax deadline of April 15.

The OSCPA has traditionally supported legislation incorporating federal tax law changes into the Ohio Revised Code to bring conformity to most federal and state tax calculations, thus preventing taxpayers from having to make “add-backs” on their 2024 income tax returns.