Special Council Meeting

12 12 22 Special Council Agenda

This evening will be the third reading for the resolution to enter into an agreement with the Regional Income Tax Authority (RITA) for the administration and collection of the municipal income taxes in the City of Bedford.  Please note the following:

• RITA does complete taxpayer returns for individual taxpayers free of charge, assuming all the appropriate documentation has been provided.  Taxpayers can do this via the drop box at Bedford City Hall or at any RITA office, in person at a RITA office, or by mailing in the forms.

• RITA also offers multiple online filing options, most of which the city does not currently provide.

• Taxpayers can continue to drop off returns and pertinent information to Bedford City Hall.  The city has agreed to courier the documents to RITA’s Brecksville office on a regular basis.
• If someone sends a return to RITA for a non-RITA municipality it will not get processed, the system does not allow RITA to process a return with a non-RITA municipality on it.  The return would be mailed back to the taxpayer.
• With the current proposal, the city would retain the collection efforts of the delinquent taxes through the process currently in place utilizing existing staff and continuing to partner with Keith Weiner & Associates.  All taxes collected through these efforts would NOT be subjected to the percentage agreed to with RITA.
• The city will retain all authority and control of the tax services.  This includes but is not limited to the ability to waive all penalties, fines, and interest.
• The city’s current charges for penalty and interest are the same as RITA’s.  This is governed under Ohio Revised Code 718.
• Bedford’s current policy that there is no penalty for not making estimated payments will remain in place.
• Under the current proposal, the city may withdraw from the agreement on December 31^st of any given year.  The city would be required to provide written notice no later than July 1^st.
• The decision would result in cost savings to the city which would increase annually.