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Are You In Compliance with Local City Taxes?

January 26, 2018

Local city taxes are often overlooked.  Be aware that effective January 1, 2018, the City of Benton Harbor has adopted a local city tax on all persons employed in the City.

As an employer you are required to withhold from employees if:

1) You have a location in the city, or

2) You are doing business in the city even though the employer has no location in the city.

The law defines several activities that are “not” considered doing business. These include some solicitation of orders, storage of personal property in a warehouse neither owned nor leased by the taxpayer.

Example: A construction firm from Ohio is doing work in the City of Benton Harbor. Even though it has no City of Benton Harbor business location, the firm is required to withhold.

Contact us if you need assistance with how to comply with the Benton Harbor city tax, or any other local tax issues you may have: 269.782.3957.


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