Ohio Commercial Activity Tax

Ohio CAT: Identifying Businesses with “Bright-Line” Nexus

The Ohio Department of Taxation (the “Department”) is focused on increasing registration and compliance with the commercial activity tax (the “CAT”), which replaced Ohio’s corporate franchise, personal property and personal income taxes (although the final phase-out of the personal income tax has been delayed). As part of the Department’s addition of 100 revenue generating employees,... Read More

Ohio Supreme Court Upholds CAT as Applied to Food Sellers

The Ohio Grocers Association sought a declaratory judgment that the Commercial Activity Tax (CAT) violated Ohio’s constitutional prohibition against excise taxes levied or collected upon the sale or purchase of food for off-site consumption.  Commencing in 2005, Ohio’s tax landscape changed substantially by phasing out the personal property and corporate franchise taxes, while phasing in the CAT.  Essentially, the... Read More