DeWine considering changes to BID eligibility

Written on Oct 25, 2019

The Ohio Senate on Oct. 23 voted nearly unanimously to concur with House amendments to tax omnibus bill SB26, which allows lobbyists and attorneys to apply for the business income tax deduction.

The bill, which is supported by OSCPA, will be sent in the coming weeks to Governor DeWine, who then has 10 days to either sign it into law, which observers think he is likely to do, or veto it.

Sen. Matt Huffman, R-Lima, who has been critical of HB166’s (Oelslager) provision prohibiting attorneys and lobbyists from receiving the small business income tax deduction, praised the amendments made in the House.

“There were considerable constitutional problems, and considerable problems with the application of the tax,” Huffman said. “This is very proactive in terms of dealing with these things.”

Of note is the inclusion of a provision requiring all BID recipients to include their occupation on their tax return, using a code from the North American a code from the North American Industry Classification Classification. This addition is intended to better track exactly which professions are benefiting from the BID.

It is likely that additional attacks on the BID will come up again during the next biennial budget process in 2021.

The bill also gives teachers a tax break on school supply purchases and adds a sales tax exemption for feminine hygiene products.

Hannah News Service contributed to this report.

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