Developments continue to affect HB 5 rollout

Written on Apr 13, 2017

By Gary Hunt, senior content editor

House Bill 5 is mostly implemented, but still there are things CPAs need to be aware of – especially as additional changes to Ohio tax law come along.

“This is the first filing season for implementation, and everything is still kind of new,” said Adam Garn, JD, CPA, MT, of Zaino Hall & Farrin LLC in Columbus.

He said the concerns of practitioners he has spoken with hinge in part on the cities they are working with.

“There is still some learning going on” on the part of cities and practitioners, he said.

Garn will break down the details of the law April 20 at OSCPA’s Spring CPE Conference in Cincinnati.

“We’ll get into the details of the law and look at real-life examples to understand some of the complexities included within the law,” Garn said of the discussion.

He said lawmaker actions continue to impact provisions of the law. For example, in the fall Ohio’s Municipal Income Tax Net Operating Loss Review Committee agreed to postpone its findings for five years – from 2017 to 2022. (NOTE:  the delay doesn’t impact the 50%, five-year phase in that began on January 1, 2017.)  There was also confusion over quarterly employee withholding taxes because HB 5 inadvertently changed the due dates, until the issue was fixed in a subsequent bill.

There is also the current discussion over HB 49, Governor Kasich’s biennial budget proposal.

“Our governor has proposed centralized collection as well as the elimination of the throwback rule, and people are going to want to know about that,” Garn said. “People I talk to are digging into the details on a lot of it."

“Ultimately I hope that there is another reform bill, but that’s up to the legislature.”

Focus on your core at Spring CPE Conferences

The discussion over HB 5 is just one of the topics CPAs can learn about at the 2017 Spring CPE Conferences, which focus on building core competencies for tax or accounting professionals.

Among the issues in this year’s lineup:

· The outlook for the economy and financial markets in 2017
· What you need to know about leases
· What you need to know about revenue recognition
· A&A Update
· Ohio CPA professional standards and responsibilities
· Technology updates
· A guide to the risks of fraud

· An update from the Ohio Tax Commissioner's office

April 20 | Cincinnati

May 9 | Columbus

May 18 | Akron

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  1. Gene Welsh | Apr 13, 2017

    Ohio city tax has gotten totally out of control and will continue unless the governor puts a stop to it.  Initially the state of Ohio permitted each city to tax employees as an employment tax.  Soon the mayors of each city realized this was a pot of gold, and enacted the residence tax, and now it has become a full blown tax where every possible source of income imaginable is taxed.

    The governor thinks by offering a small business income deduction to encourage new business in Ohio is mistaken.  It's city taxes that are hurting our state and keeping business away.

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