Effective: July 1, 2005
Latest Legislation: House Bill 66 - 126th General Assembly
(A) As used in this section, "litter stream products" means:
(1) Intoxicating liquor, beer, wine, mixed beverages, or spirituous liquor as defined in section 4301.01 of the Revised Code;
(2) Soft drinks as defined in section 913.22 of the Revised Code;
(3) Glass, metal, plastic, or fiber containers with a capacity of less than two gallons sold for the purpose of being incorporated into or becoming a part of a product enumerated in divisions (A)(1) and (2) of this section;
(4) Container crowns and closures sold for the purpose of being incorporated into or becoming a part of a product enumerated in divisions (A)(1) and (2) of this section;
(5) Packaging materials transferred or intended for transfer of use or possession in conjunction with retail sales of products enumerated in divisions (A)(1) and (2) of this section;
(6) Packaging materials in the finished form in which they are to be used, including sacks, bags, cups, lids, straws, plates, wrappings, boxes, or containers of any type used in the packaging or serving of food or beverages, when the food or beverages are prepared for human consumption by a restaurant or take-out food outlet at the premises where sold at retail and are delivered to a purchaser for consumption off the premises where the food or beverages are sold;
(7) Cigarettes, cigars, tobacco, matches, candy, and gum.
(B) For the purpose of providing additional funding for recycling and litter prevention, there is hereby levied an additional tax on corporations for the privilege of manufacturing or selling litter stream products in this state. The tax imposed by this section is in addition to the tax charged under section 5733.06 of the Revised Code, computed at the rate prescribed by section 5733.066 of the Revised Code.
(C) The tax shall be imposed upon each corporation subject to the tax imposed by section 5733.06 of the Revised Code that manufactures or sells litter stream products in this state. The tax for each year shall be in an amount equal to the greater of either:
(1) Twenty-two hundredths of one per cent upon the value of that portion of the taxpayer's issued and outstanding shares of stock as determined under division (B) of section 5733.05 of the Revised Code that is subject to the rate contained in division (B) of section 5733.06 of the Revised Code;
(2) Fourteen one-hundredths of a mill times the value of the taxpayer's issued and outstanding shares of stock as determined under division (C) of section 5733.05 of the Revised Code.
The additional tax charged any taxpayer or group of combined taxpayers pursuant to this section for any tax year shall not exceed five thousand dollars.
(D)(1) In the case of a corporation engaged in the business of manufacturing litter stream products, no tax shall be due under this section unless the sale of litter stream products in this state during the taxable year exceeds five per cent of the total sales in this state of the corporation during that period or unless the total sales in this state of litter stream products by the corporation during the taxable year exceed ten million dollars.
(2) In the case of a corporation engaged in the business of selling litter stream products in the form in which the item is or is to be received, no tax shall be due under this section unless the corporation's sales of litter stream products in this state during the taxable year constitute more than five per cent of its total sales in this state during that period.
(3) In the case of a corporation transferring possession of litter stream products included in division (A)(6) of this section, in which food or beverages prepared for human consumption are placed, when the food or beverages are prepared for retail sale at the premises where sold and are delivered to a purchaser for consumption off the premises where the food or beverages are sold, no tax shall be due under this section unless such sales for off-premises consumption during the taxable year exceed five per cent of the corporation's total annual sales during the taxable year.
(E)(1) The tax imposed by this section is due in the proportions and on the dates on which the tax imposed by section 5733.06 of the Revised Code may be paid without penalty.
(2) Payment of the tax and any reports or returns required to enable the tax commissioner to determine the correct amount of the tax shall be submitted with and are due at the same time as payments and reports required to be submitted under this chapter.
(3) If the tax is not paid in full on or before the date required by division (E)(1) of this section, the unpaid portion of the tax due and unpaid shall be subject to all provisions of this chapter for the collection of unpaid, delinquent taxes imposed by section 5733.06 of the Revised Code, except that all such taxes, interest, and penalties, when collected, shall be treated as proceeds arising from the tax imposed by this section and shall be deposited in the general revenue fund.
The tax levied on corporations under this section does not prohibit or otherwise limit the authority of municipal corporations to impose an income tax on the income of such corporations.
Structure Ohio Revised Code
Chapter 5733 | Corporation Franchise Tax
Section 5733.01 | Tax Charged Against Corporations.
Section 5733.02 | Annual Taxpayer Report and Remittance - Report on Dissolution or Withdrawal.
Section 5733.021 | Declaration of Estimated Tax Report.
Section 5733.022 | Tax Payment by Electronic Funds Transfer.
Section 5733.03 | Annual Report.
Section 5733.04 | Corporation Franchise Tax Definitions.
Section 5733.041 | Net Income Defined for Tax Years 1984 to 1993.
Section 5733.042 | Computing Net Income of Member of Affiliated Group.
Section 5733.051 | Allocating and Apportioning of Net Income of Corporation.
Section 5733.052 | Combining Net Incomes of Corporations.
Section 5733.053 | Transferee Corporation Subject to Transferor's Tax Liability.
Section 5733.055 | Deducting Expenses and Costs Paid to Related Member.
Section 5733.056 | Determining Value of Issued and Outstanding Shares of Stock.
Section 5733.057 | Ownership Interest in Pass-Through Entity.
Section 5733.058 | Adjusting for Equity Investment in an Exempted Investment.
Section 5733.059 | Allocating Sales of Electric Transmission and Distribution Services.
Section 5733.0510 | Reducing Net Income for Qualifying Assets.
Section 5733.0511 | Net Income for Qualifying Telephone Company Taxpayer.
Section 5733.06 | Computing Tax.
Section 5733.061 | Credit Allowed for Investment in Property Used in Refining or Manufacturing.
Section 5733.064 | Credit for Recycling and Litter Prevention Program Donations.
Section 5733.066 | Surcharge Added to Rates to Fund Recycling and Litter Prevention.
Section 5733.068 | Credit Allowed to Member of Qualifying Affiliated Group.
Section 5733.069 | Credit Allowed for Increase in Export Sales.
Section 5733.0610 | Credit for Ohio Job Creation.
Section 5733.0611 | Credit Relating to Tax on Qualifying Pass-Through Entities.
Section 5733.07 | Powers and Duties of Tax Commissioner.
Section 5733.09 | Exempted Companies.
Section 5733.10 | Exemption of Municipal Corporations.
Section 5733.11 | Failing to File or Remit - Filing Incorrect Report.
Section 5733.12 | Crediting of Payments to Funds - Filing of Refund Application.
Section 5733.121 | Applying Refund in Partial Satisfaction of Debt.
Section 5733.13 | Extension of Time to File Report.
Section 5733.14 | Monthly Report by Secretary of State - Access to Records of County Auditors.
Section 5733.16 | Organization of Domestic and Foreign Corporations.
Section 5733.17 | Duty to Make Reports or Pay Taxes on Dissolution or Retirement.
Section 5733.21 | Prohibition Against Doing Business After Cancellation of Articles or Certificate.
Section 5733.22 | Reinstatement of Corporation.
Section 5733.23 | Petition for Judgment for Taxes - Injunction - Procedure - Evidence.
Section 5733.24 | Quo Warranto Proceedings.
Section 5733.26 | Interest on Unpaid Tax or Refund.
Section 5733.261 | Qualifying Refund Overpayment - Liability for Interest or Penalty.
Section 5733.27 | Affidavit Denying Unlawful Political Contributions.
Section 5733.28 | Failing to File Complying Report or Pay Tax.
Section 5733.29 | Underpayment of Estimated Tax.
Section 5733.32 | Credit for Grape Producing Business Purchasing Qualifying Property.
Section 5733.34 | Credit for Economic Redevelopment of Voluntary Environmental Clean-Up Site.
Section 5733.351 | Credit for Qualified Research Expenses.
Section 5733.36 | Credit for Providing Day-Care for Children of Employees.
Section 5733.37 | Credit for Establishing Day-Care Center for Children of Employees.
Section 5733.38 | Credit for Reimbursement of Employee Day-Care Expenses.
Section 5733.39 | Credit for Use of Ohio Coal in Coal-Fired Electric Generating Unit.
Section 5733.40 | Qualified Pass-Through Entity Definitions.
Section 5733.401 | Investment in Pass-Through Entities.
Section 5733.42 | Credit for Eligible Employee Training Costs.
Section 5733.45 | Credit Concerning Qualifying Dealer in Intangibles.
Section 5733.47 | Refundable Franchise Tax Credit for Owner of Rc 149.311 Certificate.
Section 5733.49 | Issuance of Tax Credits by Ohio Venture Capital Authority.
Section 5733.55 | Nonrefundable Credit Equal to Amount of Eligible Nonrecurring 9-1-1 Charges.
Section 5733.58 | Nonrefundable Credit Financial Institution Holding a Qualified Equity Investment.