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General
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The Transit Tax was established by City Ordinance 1081
in December 2001. Taxes are calculated on applicable
wages and/or self employment net income earned beginning
on January 1, 2002. The transit tax is an "employer" tax
and cannot be withheld from an employee's earnings. The
tax finances the locally operated transit system and
cannot be used for any other purpose. City general
fund monies will not be used to fund the transit system.
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Who
Benefits from the Tax?
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The system provides transit services in Canby with links
to other cities. Increased and improved public transportation
benefits riders and the businesses where they work and
shop. Those who are unable to drive, and those
who like to have a transportation choice, benefit form
having the option of a city transit service. People
who choose to drive may see reduced traffic as ridership
increases.
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What
is the Tax Rate?
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The tax rate is 0.6% ($6 for every $1000 of taxable
wages and/or self employment net income). Multiplication
Factor = .0060
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What
are Taxable Wages?
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The definition used for taxable wages
comes from ORS 267.380 and includes all wages except
the following:
- Employer contributions to
a qualified cash or deferred compensation plan are
not subject unless employer is making a matching
401k contribution.
- Cafeteria Plans
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Who
Must Pay This Tax?
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Every corporation, firm, association,
or person doing business within Canby's Urban Growth Boundary
is subject to this tax. NOTE: Self-employment earnings
are those earnings reported on federal Schedule SE, and
defined in IRC SS 1402.
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Who
is Exempt From this Tax?
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Institutions exempt from taxation under IRS section
501(c)(3). A copy of the organization's "exemption
certificate" must be on file with the city. (NOTE:
501(c)(3) organizations operating profit-based activities
such as a daycare or bookstore are subject to the tax
on the portion of the employees' wages directly incurred
from such activities).
Insurance agents are exempt
because of Oregon law limitations (ORS
731.840).
Ministers or members of a religious
order performing religious services
as a employee are exempt. However,
compensation received for performing
religious services as an independent
contractor is taxable through the individual's
net earnings from self-employment.
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Apportionment
of Tax
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Employers located outside the Canby Urban Growth Boundary
are subject to the Payroll and self-employment tax if
any employee, commission merchant, or commission employee
does business in the local transit area. Taxpayers
do not pay both Canby Transit Tax and Tri-Met
Tax on the same taxable wages. Wages should be prorated
and the applicable amounts paid to each district.
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When
To File?
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No later that the last day of the month following
the calendar year quarter:
| Quarter ending: |
Deadline to file is: |
| March 31 |
April 30 |
| June 30 |
July 31 |
| September 30 |
October 31 |
| December 31 |
January 31 |
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Where
Do I Start?
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Upon obtaining a Canby business license, your Tax ID
number will be used as your Transit Tax account number. Transit
tax remittance forms are available below. Please
make copies as needed and remit quarterly with your payment.
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Remittance
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Click on the form of your choice. Each form
is a Word document that can be printed out or typed
directly into.
2002 Quarterly
Payroll Tax Form
2003 Quarterly Payroll
Tax Form
2004 Quarterly Payroll
Tax Form
2005 Quarterly Payroll
Tax Form
2006 Quarterly Payroll
Tax Form
2007 Quarterly Payroll
Tax Form
2008 Quarterly Payroll
Tax Form
2009 Quarterly Payroll
Tax Form
2010 Quarterly Payroll
Tax Form
2002 Annual
Self Employment Tax Form
2003 Annual
Self Employment Tax Form
2004 Annual
Self Employment Tax Form
2005
Annual Self Employment Tax Form
2006 Annual
Self Employment Tax Form
2007 Annual
Self Employment Tax Form
2008 Annual
Self Employment Tax Form
2009 Annual
Self-Employment Tax Form
2006
Annual Payroll Tax Form
2007
Annual Payroll Tax Form
2008
Annual Payroll Tax Form
2009
Annual Payroll Tax Form
Include the form with your payment and mail
to:
City of Canby
Transit Tax
PO Box 930
Canby OR 97013
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What
are the Penalties and Interest?
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Late payment or nonpayment will result in a penalty
of 10 % of the tax due for the first 30 days past due. An
additional penalty of 15 % will be assessed on the tax
due over 30 days. Fraudulent tax returns or intent
to evade will result in an additional 25 % penalty. Interest
shall be assessed at the rate of 1.5 % per month. Legal
fees and cost associated with the collection of tax will
be the liability of the taxpayer
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Questions:
Please call the Transit Department
at 503-266-4022
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