MOUNT VERNON — City Council Monday reluctantly passed legislation complying with the state law passed last year to centralize collection of business taxes from companies with operations in more than one municipality in state hands.
Councilman Sam Barone explained that the ordinance, prepared by Law Director Rob Broeren, makes the technical changes in the city ordinances to comply with the law.
The city had joined the lawsuit filed last year by many municipalities opposed to the change, but when a Franklin County judge ruled against the suit recently, it left no alternative but to comply.
“What happens if we vote no?” asked Nancy Vail.
“Than we lose our ability to collect any income taxes,” said Broeren.
The state will collect a 1/2 percent fee for collecting the taxes and distributing them to the cities.
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