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Level 1
posted Feb 13, 2021 11:44:39 AM

I am a resident of Michigan. I earned money while staying in Ohio in 2020. Columbus city tax was taken out, do I have to file a Columbus city return?

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1 Best answer
Level 15
Feb 13, 2021 7:16:02 PM

Q. Do I have to file a Columbus city return?

A.  No, but you may want to. See below*.   The only time a non resident is required to file a city return is when an improper amount was withheld and that is very rare.

 

Although MI & OH have a reciprocity agreement on state taxes, that agreement does not apply to city tax.  Columbus is allowed to withhold from your pay and you cannot get that refunded.  

 

*But, Michigan will give you credit for that on the state return, but you have to attach a copy of the city return. So, even though the Ohio city does not require you to file a return, you have to file one to get the MI credit, even though there will be no tax due or refunded from the Ohio city.  

Columbus forms (you want IR-25) https://www.columbus.gov/IncomeTaxDivision/TaxForms/Individuals/

8 Replies
Employee Tax Expert
Feb 13, 2021 12:44:29 PM

Yes. Per the State of Ohio, non-residents who work or conduct business in Columbus owe 2.5% tax on the income they earn in Columbus and must file IR-25. Although Michigan and Ohio have a reciprocal agreement on wages, it does not include city returns.

Level 1
Feb 13, 2021 2:26:38 PM

Thank you for your reply. My Ohio employer did take the 2.5% out of my check and report it on my W2's. I was wondering if I also needed to file some sort of paperwork. Do you know if I am supposed to and where I can get the forms?

Employee Tax Expert
Feb 13, 2021 4:58:37 PM

 

It depends. Per the City of Columbus, you have to consider four things when deciding whether or not you have to file a city income tax return. Although the answer to the question 2, 3 and 4 below indicate that you do not have to file a Columbus return, I am not sure about question 1. 

  1. Did I file a previous year return in which additional tax was due?
     
  2. Am I a resident of the City of Columbus or a non-resident working in Columbus? Yes
     
  3. Was less than 2.5% of my total wages withheld for city tax? No
     
  4. Did I have other earnings from which city tax totaling at least 2.5% was not withheld? No

 

If you answered "yes" to question 1 you are required to file a return.   

 

Unfortunately, TurboTax does not support the filing of Columbus, Ohio city tax.

 

@dondelwarb

Level 1
Feb 13, 2021 5:58:48 PM

Thank you very much. That answers my question. I appreciate your help!

Level 15
Feb 13, 2021 7:16:02 PM

Q. Do I have to file a Columbus city return?

A.  No, but you may want to. See below*.   The only time a non resident is required to file a city return is when an improper amount was withheld and that is very rare.

 

Although MI & OH have a reciprocity agreement on state taxes, that agreement does not apply to city tax.  Columbus is allowed to withhold from your pay and you cannot get that refunded.  

 

*But, Michigan will give you credit for that on the state return, but you have to attach a copy of the city return. So, even though the Ohio city does not require you to file a return, you have to file one to get the MI credit, even though there will be no tax due or refunded from the Ohio city.  

Columbus forms (you want IR-25) https://www.columbus.gov/IncomeTaxDivision/TaxForms/Individuals/

Level 1
Feb 16, 2021 5:28:34 AM

Thank you very much. I did already file my Michigan return. I guess I am wondering if I can amend it with the city return.

Expert Alumni
Feb 16, 2021 5:58:16 AM

Yes, you can amend the Michigan (MI) return if you did not take the credit as indicated by @Hal_Al.

 

When you are in the MI return, you will see the screen images when you get to the screen labeled: Take a look at Michigan credits and taxes

In the MI return, when you get to the screen A few things before we wrap up your state taxes, you can select to amend your state return. See the images below.

 

Level 1
Feb 16, 2021 6:07:24 AM

Thanks again for all your very good help in this situation.