Tax Advantages
Reduce operating costs with the lowest taxes in the Midwest
Making a commitment to eliminate a burdensome tax system, Ohio in 2005 implemented full-scale, sweeping tax reform. Ohio's new business taxation model will mean a reduction in tax burden of up to 63% by 2010, the first year reform is fully implemented.
Ohio's new tax system means businesses can:
- Reduce operating costs - No tax on inventory or corporate income
- Enhance productivity - No tax on investments in machinery and equipment
- Attract talent - Shrink labor costs through a 21% reduction in personal income tax
- Enjoy a level playing field - All companies taxed the same low rate
- Boost return on investment - No tax on product sold to customers outside Ohio
- Reward entrepreneurship - First $1 million in gross receipts are tax free
With these reforms, Ohio and communities like Wapakoneta will become even more competitive. Ohio's favorable business climate and high quality of living, combined with low business and personal costs, make us an increasingly viable location for business growth.
Ohio is one of the top five states ranked with the lowest effective tax rate on new investment
An Ernst & Young analysis of key manufacturing and service industries in these Midwestern states -- Illinois, Indiana, Michigan, Minnesota, and Wisconsin -- found that:
- Ohio's effective tax rate on new capital investment by manufacturing industries will be 40% lower than the five-state average.
- Ohio's effective tax rate on selected service industries will be 29% lower than the five-state average.
- For all industries studied, Ohio's effective state and local tax rate is 37% lower than the five-state average.
State Tax Rates
Ohio's tax on new investments is the lowest in the Midwest.
A balanced budget, a pro-business tax climate, low operations costs, a skilled workforce, and JobsOhio’s flexibility to build customized solution to meet business needs all combine to make Ohio a strong, economically viable option for a range of companies and growth industries. Ohio also places importance on economic diversity and jobs of the future.
Local Tax Rates
Wapakoneta and Auglaize County, Ohio have some of the lowest tax rates in the U.S. They help our local businesses reduce their operating cost and increase profitability.
Total tax rates for business operations in the City of Wapakoneta, Ohio
Sales and Use Tax - 7.5% (state and county)
Income Tax
-2.25% (city. 1.5% and school district, .75%)
Real Estate Tax - $44.90 per $1000 of tax value with 35% assessment (city, county, school & township)
Personal Property Tax - None
Auglaize County Taxes
Sales and Use Tax - 1.5% on taxable purchases
Personal Income Tax - None
Personal Property Tax - None
City of Wapakoneta Taxes
Sales and Use Tax- None
Personal Income Tax - 1.5% for residents and individuals working in Wapakoneta
Real Estate Tax - $3.25 per $1000 of tax value with assessment at 35%
Personal Property Tax - None
Wapakoneta City School District Taxes
Personal Income Tax - 0.75%, applies to school district residents only
Personal Property Tax - None
Township Tax Rates
Personal Income Tax - None
Personal Property Tax - None