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Ohio tax change

Discussion in 'Business Fundamentals' started by Sno, Nov 17, 2003.

  1. Sno

    Sno Senior Member
    Messages: 320

    Hey all, the snow times upon us....

    Anyone know for sure the details on the new Ohio tax law in relation to Snow Plowing??
  2. firefighter

    firefighter Member
    from Ohio
    Messages: 44


    I was told that if you make over $4999.99 then you pay tax on that amount.

    Firefighter purplebou
  3. Sno

    Sno Senior Member
    Messages: 320

    Thats what I heard... But must be more to it.

    Do I send a sales tax bill out at the end of the year to every customer cause I made 5,100.00


    How do I charge sales tax if I dont know if I'll pass the 5,000 mark??


    Doesnt seem very well thought out.
  4. John Allin

    John Allin PlowSite.com Addict
    Messages: 1,327

    Call the Ohio Department of Revenue and they will send you the exact information, no charge.
  5. Lawn Lad

    Lawn Lad Senior Member
    Messages: 407

    Their information is vague as well. After an hour plus on the phone with the department talking to those who are in the "know" on how to apply the law, I had little conclusive information. Basically, read the law - talk to your accountant and collect what you believe is the correct amount to collect. Besides, you're more likely to get audited on use tax than you are on the collection of sales tax. Do the best you can, and you should be alright.

    You are to collect state and county tax on mechanical snow removal service. This would include the clearing, stacking, hauling, piling, plowing, relocating of snow by means of snow shovel, blower, ATV, truck, loader, etc. Basically, if you move it, you collect the tax and send it into the state in the normal fashion. If you don't have a service vendor's license you need to contact the Ohio Department of Taxation and file your paperwork.

    The answer for ice control applications came back to me as you DO NOT need to collect sales tax on ice control applications because it is the position of the state that the materials become incorporated into the real property. No where in the ORC or their supplemental information that we could find (1 hour of searching with a state tax speacilist) anything that indicated salting or likewise was also included in the law. There is nothing specific that says not to collect tax, as is the case with a multitude of other things. Simply put, you only need to collect tax for those items specifically mentioned in ORC.

    Here are a couple of other threads that sales tax in Ohio was discussed:

  6. imasnowpro

    imasnowpro Member
    Messages: 43

    I haven't heard of this for Illinois or Indiana. Is this a trend that's beginning with you "leaders" in Ohio? Lucky you! Keep it on your side of the border. Thanx!
  7. tovoninc

    tovoninc Senior Member
    Messages: 105

    Our state government is in the hole like most states after they overspent and now that the tax revenue is down they need $$. They added a tax to things like tanning salons, snow plowers, barbers, etc.
  8. parrothead

    parrothead Senior Member
    Messages: 157

    im with mike, keep it over there on your side of the border, let rick at winnscapes deal with it. see ya
  9. Foxfire

    Foxfire Senior Member
    Messages: 153

    Ohio's tax

    Ohio should not get a thing, they steal way to much as it is.....