COVID-19 Refund Requests

COVID-19 Refund Requests - 2020

On March 9, 2020, Governor DeWine declared a Covid-19, State of Emergency in Ohio.  (Executive Order 2020-01D).

By law, nonresident employees of Canton employers continue to have Canton city income taxes withheld from their pay throughout the state of emergency, and for thirty days thereafter:  “any day on which an employee performs personal services at a location, including the employee’s home, to which the employee is required to report for employment duties because of the declaration shall be deemed to be a day performing personal services at the employee’s principal place of work.” (Make technical and corrective changes to tax law, H.B. 197 Section 29, 133rd GA – 2020).

This law is being challenged. (Buckeye Institute, et al., v. Columbus City Auditor, et al, Franklin County Common Pleas Court Case No. 20-CV-04301).

A claim for a refund of the Canton tax withheld from Covid-19 earnings for work from home or another location may not be available until the challenge is fully litigated.  The City of Canton, Income Tax Division will hold your refund request in a suspended status until the litigation is concluded.

Should the conclusion of the litigation determine that a refund is allowed, your claim will be processed at that time.  Should the conclusion find that a refund is not allowed, you will receive a notice that the refund is not available to you.

You may download a Nonresident COVID-19 Refund claim, 2020 (PDF).

COVID-19 Refund Requests – 2021 Update

Important Dates in 2021                         

  •  04/27/2021 Judgement Entry The Buckeye Institute et al –vs– Columbus City Auditor et al
                        -- Dismissed with Prejudice; HB 197  Section 29 upheld.
  •  04/28/2021 Notice of Appeal Filed
  •  05/26/2021 HB 157 passed in General Assembly
  •  12/09/2021 Judgement affirmed Tenth Appellate District

2020 -- Regarding the refund of city income tax paid on Covid displaced workers' pay from 2020, the December 9, 2021, ruling in the Tenth District Court of Appeals doesn't have a lot of effect.  It, too, can be appealed.  Moreover, there are still cases pending in Cleveland, Toledo, and Cincinnati, which will examine the same issue.  As a result, nothing's changed for 2020 refunds.  Please refer back to 2020 Update, above.

2021 --  In May, 2021, Sub HB 157 was adopted.  In short, the Bill mandated continued withholding to the Principal Place of Work (as defined at RC 718.011(A)(7)) through 2021, for employer convenience and Schedule Y purposes.  At the same time, it also provides for employee refunds back to January 1, 2021.  Please refer to the 2021 COVID Refund Form.

2022 – On January 1, 2022, Canton returns to pre-COVID rules for withholding of city income tax:

  • Small Employer Rule [RC 718.011(E); 182.052(E) Codified Ordinances of Canton]
  • Occasional Entrant Rules [RC 718.011; 182.052 Codified Ordinances]
  • Withhold where work is performed [RC 718.011(D)(1); 182.052(D)(1) Codified Ordinances]
  • Withholding Agreements apply [RC 718.011(F); 182.052(F), 105.15, 1312.04(i)(4) Codified Ordinances]
  • Work at a Petroleum Refinery [RC 718.011(G); 182.052(G) Codified Ordinances]

Please contact our department with any questions.

You may download a Nonresident COVID-19 Refund claim, 2021 (PDF).