Coupon Packet—Included in this packet are quarterly Employer Withholding Coupons
and a year-end Annual Reconciliation Form. Note: any employer who is required to
remit deposit of withholding by electronic funds transfer (EFT) for Federal tax
purposes must also remit deposit of withholding by EFT for Delaware tax purposes.
Remittance of withholding coupon is not necessary if remitting payment of
withholding via EFT. Visit our website at www.delawareohio.net/income-tax-faqs for
more information including EFT file specifications.
Who must file—Any employer within or doing business within the City of Delaware,
Ohio, who employs one or more persons is required to withhold the current tax rate
from all qualifying wages paid to or accrued by the employee(s) and to file these
coupon forms and remit tax to the City of Delaware Income Tax Department
pursuant to the Delaware Income Tax Ordinance.
Deposit Requirements—The City of Delaware income tax must be remitted to the
Income Tax Department on a monthly basis unless withholding amounts are less than
two hundered dollars ($200.00) per month. Each employer is required to file the
“Employer’s Return of Tax Withheld” coupon along with the monthly or quarterly
withholding payments on or before the due dates as shown below to the Income Tax
Department. The failure of any employer to receive or procure the forms shall not
excuse them from making this return or from remitting the tax withheld.
Quarterly—If tax withheld or required to be withheld is less than $200 per
month, remittance is due by the last day of the month following the end of a
quarterly period (April 30, July 31, October 31, January 31).
• Monthly—If more than $200 is withheld or required to be withheld per month,
remittance is due by the fifteenth day of the following month.
Failure To File Return and Pay Tax—All taxes, including taxes withheld or required to
be withheld from wages by an employer and remaining unpaid after they become
due, shall bear interest on the amount of the unpaid tax at the current annual
short term rate plus five percent (5%) annually and a late payment penalty of fifty
percent (50%) of tax due. The failure to receive a withholding deposit coupon
form shall not excuse an employer from making a return and depositing the taxes
1 S SANDUSKY ST / P.O. BOX 496
DELAWARE, OH 43015
740-203-1225 / FAX: 740-203-1249
2020 CURRENT RATE: 1.85% QUARTERLY EMPLOYER CITY TAX WITHHOLDING PACKET
QUALIFYING WAGES FOR WITHHOLDING (Ohio Revised Code, Sec 718.03)
An employer is required to withhold only on “qualifying wages,” which are wages as
defined in Internal Revenue Code Section 3121(a), generally the Medicare Wage Box
of Form W-2.
• Medicare Exempt Employees—These employees are subject to the requirements
for “qualifying wages” in the Medicare Wage Box of FormW-2 even though that
box will remain blank.
• Cafeteria Plans—Internal Revenue Code Section 125 wages are not included in
the definition of Medicare wages and do not need to be deducted from the
Medicare Wage Box.
• 401(k), 457, and Supplemental Unemployment Compensation Benefits—These
items should all be included in the Medicare Wage Box and are subject to
• Stock Options—Income from the exercise of stock options is included in the
definition of “qualifying wages” and is subject to withholding requirements.
• Disqualifying Disposition of an Incentive Stock Option—Employer is not required
to withhold, but the income is considered “qualifying wages,” and the recipient is
liable for the tax.
Note: As an employer, if the Medicare Wage Box is not the largest wage figure on
the W-2 Form, a written explanation will be required.
Questions? Contact the City of Delaware Income Tax Department:
740-203-1225 or IncomeTax@DelawareOhio.Net
Line 1— Enter tax
withheld on all qualifying wages paid to or accrued by all
employees working within the City of Delaware.
Line 2—Enter tax withheld as courtesy to Delaware City residents and indicate
percentage used. If unsure of proper courtesy rate, please call the Income Tax
Line 3—Enter total of Lines 1 and 2.
Line 4—Adjust current payment of actual tax withheld for under payment or over
payment in previous period. Attach explanation.
Lines 5 & 6—See instructions under Failure To File Return and Pay Tax.
Line 7—Enter total amount to be remitted.
COMPLETING THE WITHHOLDING COUPON FORMS
ANNUAL WITHHOLDING TAX WORKSHEET
PD ENDING DUE DATE AMT DATE CHECK # PD ENDING DUE DATE AMT DATE CHECK #
1/31 2/28 7/31
4/30 5/31 10/31
4TH QTR 1/31