Business owners should double check the amount of sales tax they are collecting, advises Hancock County Auditor Charity Rauschenberg,
Rauschenberg said her office has been receiving complaints about businesses either charging too much or too little in sales tax in Hancock County, and will be sending out inspectors. Either way, any discrepancy will have to be settled with the State of Ohio come tax time, she said.
“Part of the problem, I think, is with businesses that operate outside of Hancock County, too. Maybe they don’t know our sales tax rate. It is the lowest among surrounding counties,” she said.
Rauschenberg explained that Ohio’s sales tax went up on July 1, which may be adding to the confusion.
The state tax went up by one-quarter percent; increasing from 5.5 percent to 5.75 percent. That’s an increase of 25 cents for every $100 spent on purchases of vehicles, electronics, clothing and other retail goods.
It was the first increase in the state sales tax in a decade. The change was included in the state’s new two-year, $62 billion operating budget. The budget also included tax cuts for businesses and individuals, including a 10 percent cut in the Ohio personal income tax.
Hancock County collects its own 1 percent sales tax. The combined state and local sales tax rate in Hancock County is 6.75 percent.
The sales tax rates in surrounding counties are as follows: Allen, 6.75 percent; Putnam, 7.25 percent; Hardin, 7.25 percent; Henry, 7.25 percent; Sandusky, 7.25 percent; Seneca, 7.25 percent; Wood, 6.75 percent; and Wyandot, 7.25 percent.
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