This is a tax collected on revenue collected in the City of Canton. It was passed in late 2016 by the City of Canton with collusion from Ohio’s legislature. In a nutshell it is a hidden sales tax paid by the vendors who make sales taxable sales within the City of Canton. The Ohio Department of Taxation just sent out a bunch of letters to businesses with vendor’s licenses and a Canton zip code. I just received one myself. I immediately called the Department of Taxation and confirmed that if your business is in a township it is not subject to the tax and you can ignore the letter. My suggestion is that you go to the Stark County Auditor website, do a real estate search for your business address and print the front page which will have your tax district under the heading “Geographic Information” on the right hand side. This will indicate whether you are in a township. Staple this to the letter and put it in the file with your other sales tax information for future quick reference.
If you are unsure if you are in a township you can call us and we can help you make that determination.
As an aside in looking into this, Todd Porter and the Repository made it a point to say that nobody’s taxes are going to be raised with this new tax. Ordinarily a pretty straight shooter I have to disagree with that statement. Any time you don’t have a tax and the government creates a new tax and collects it, taxes are being raised. He may have meant personal income taxes but that one fails the fact check.