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WHO PAYS THE TAX? a) Any individual residing in the state of Ohio who lives during all or part of a tax year in a school district that levies the tax.
What does CAT for tax mean?
The commercial activity tax (CAT) is an annual tax imposed on the privilege of doing business in Ohio, measured by gross receipts from business activities in Ohio.
What is a cat tax in Ohio?
Page Title. The CAT is an annual privilege tax measured by taxable gross receipts from most business activities. Most receipts generated in the ordinary course of business are subject to the CAT.
Who has to pay cat tax?
If your taxable gross receipts are $6 million or less per calendar year, you will NOT have to pay the Commercial Activity Tax (CAT). Quarterly taxpayers who anticipate having $6 million or less in taxable gross receipts in tax year 2025 may cancel their CAT account immediately.
Who owes the Ohio cat tax?
Ohios CAT is a 0.26% privilege tax on gross receipts for all business conducted in Ohio regardless if the business is located outside the state. This summary is meant to help filers understand the changes and updates, what is required in 2025 and links to additional information.
The CAT is an annual privilege tax measured by taxable gross receipts from most business activities. Most receipts generated in the ordinary course of business are subject to the CAT. The CAT only applies to those gross receipts that are situs (sourced) to Ohio.
Who is exempt from Ohio cat tax?
Exceptions: (i) employee compensation and wages (most individuals who do not operate a business are therefore exempt from the CAT); (ii) interest, dividends, federally defined capital gains, and distributions; and (iv) proceeds from loans, stocks, bonds, mutual funds, trusts, and pensions.
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