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Tax Department |
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Tax Information Thomas R. Peterson, Senior Tax Admnistrator Leighanne M. Helmes, Tax Clerk
6860 Plainfield Road Income Tax Office Hours: Tax Forms The Silverton Tax Department is responsible for the collection and enforcement of the city's tax code. General provisions of the code are outlined below. The information contained on this webpage does not include all the rules and regulations governing the city's tax code. General Information Silverton adopted a municipal earnings tax on December 15, 1977. The current rate is 1.25% on gross income. Annual filing is mandatory for all residents and businesses no later than April 15th. The city does not provide reciprocity credit for taxes paid by residents to another municipality. All Silverton residents and businesses must register with the Silverton Tax Department. Please contact the tax department or click on the attached link for a registration form. Extensions Extensions as approved by the Internal Revenue Service (IRS) may be granted provided a copy of the extension is presented to the Silverton Tax Department on or before the original due date of your city return. The extension due date for your city return will be 15 days beyond the extension date granted by the IRS, not to exceed six months past the original due date of your return. Please keep in mind that an extension only extends the time to file. It is not an extension to pay. Who must file The Silverton tax ordinance requires all Silverton residents to file a tax return annually, whether or not taxes are due or your employer has fully withheld Silverton tax. All businesses within the city must file a return, whether or not a profit was made. All non-resident businesses and individuals who have sales, work done, services performed, or rental property within the city limits must file a return, whether or not a profit was made. There is no minimum or maximum age requirement for filing on earned income. Interest and Penalties Failure to file a tax return will result in a late filing fee charge of $50.00 and failure to make estimated tax payments on or before the due dates will result in penalty charges of 1.5% per month and interest charges of .5% per month on unpaid balances due. When to file You are encouraged to file as early as possible, but residents shall file no later than April 15th of each year and businesses shall file no later than four months after the calendar/fiscal year end. Declaration of Estimated Taxes A declaration must be filed by all individuals and business entities that can reasonably expect to owe Silverton income tax of $100.00 for any tax year is not required to file a declaration form, but they must file a tax return. The declaration and first quarterly payment (with at least 25% of estimated tax owed) are due by April 15th or four months after the start of the fiscal year. The remaining quarterly payments are due on July 31, October 31 and January 31 for calendar year taxpayers or every three months of the fiscal year. Taxable Income Taxable income includes all wages, salaries and other compensation paid by an employer or employers before deductions and/or the net profits from the operation of a business, profession, or other enterprise or activity. Sick pay, vacation pay, supplemental unemployment benefits paid by the employer (sub-pay), insurance premium payments by the employer included on the W-2 (s) and deferred compensation when earned are also taxable for city purposes. Tips, bonuses, profit sharing, deferred compensation benefits, stock options (taxed when exercised on amount indicated on a W-2 form), dismissal or severance pay are also taxable. Group term life insurance over $50,000, cafeteria plans, compensation paid on property at the fair market value as indicated on the W-2 form is taxable. Non-Taxable Income Interest, dividends, pension distributions, social security distributions, active military pay, alimony received, child support received or state unemployment benefits are not taxable. Capital gains, worker's compensation, insurance benefits, gambling winnings (losses not deductible), prizes (unless connected with your employment), patent or copyright income, royalties (derived from intangible property) and government allotments are not taxable.
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