Personal Property Tax

One of Ohio's most significant tax reforms in decades began in 2005, when the Ohio General Assembly launched a five-year phase-out of the tangible personal property tax with House Bill 66. The phase-out, which was complete after 2008 for nearly all general taxpayers, included a system of direct payments from the state to schools and local governments to help offset the loss of property tax revenue.

The tangible personal property tax was replaced with the Commercial Activity Tax (CAT). The CAT is an annual tax imposed on the privilege of doing business in Ohio, measured by gross receipts from business activities in Ohio. Businesses with Ohio taxable gross receipts of $150,000 or more per calendar year must register for the CAT, file all applicable returns, and make all corresponding payments through the Ohio Department of Taxation.

Taxpayers may file and pay electronically through the Ohio Business Gateway at business.ohio.gov. The annual minimum tax is structured in tiers based on a taxpayer's overall commercial activity, determined using the prior calendar year's taxable gross receipts.

• Ohio Department of Taxation
• Email your questions to the Tax Analysis Division