US City overtaxing for 15 years

News

A city council in the US state of Ohio has been collecting more municipal income tax than authorised for the last 15 years.

Rittman taxpayers have received a letter from the city revealing that they have been charged tax at the rate of 1.5%, instead of the authorised rate of 1%.

The issue dates back to 1996 when a previous ordinance was “inadvertently omitted from the city’s tax code”, according to a report from news5cleveland.com.

The city says residents won’t be refunded for “legal and practical reasons”, and the likelihood that it would bankrupt the city.