The city income tax rate of 2% is levied upon all wages, salaries, commissions, and other compensation, including lottery, gaming, and gambling winnings, received by residents of the City or received by non-residents for work done or services performed in the City.
The City of Springfield requires mandatory filing of annual tax returns by all residents age 18 and over.
The city income tax rate of 2% is levied on the net profits of all unincorporated businesses, rental properties, partnerships, or other activities conducted in the City; and on the net profits of all corporations conducting activities in the City. Annual tax returns are required from any entity doing business within the City.
Employers located in or doing business within the City of Springfield who employ one or more persons are required to deduct city income tax at the rate of 2% from the compensation of their employees. Employee W2s must be submitted to the tax office by February 28th of each year. If using sub-contractors, copies of Federal Form 1099 Misc must be submitted to the tax office.
SPRINGFIELD-BECKLEY JOINT ECONOMIC DEVELOPMENT DISTRICT (JEDD)
The JEDD income tax rate of 1% is levied upon all wages, salaries, commissions, and other compensation of individuals working within the JEDD; and the net profits of all businesses conducting activities with the JEDD. The JEDD income tax is administered and collected by the City of Springfield Income Tax Division.
DELARATION OF ESTIMATED TAX
An annual declaration of estimated tax must be filed by all individuals and entities that anticipate income which is not fully withheld upon. Estimated payments must be made in quarterly installments and are due on or before the last day of the month following the end of the quarter. Failure to file and pay estimated taxes in timely quarterly installments might result in an assessment of interest charges. Interest assessments will not be made when the total estimated tax payments, received in timely quarterly installments, are at least 90% of the final tax liability or are at least 100% of the previous year final tax liability, and paid by the end of the month following the end of the taxable year. A calendar year filer (all individuals) must have at least 90% paid by January 31st to avoid an assessment.
In order to make current year quarterly estimated tax payments, you can find Estimated Income Tax vouchers here. You can also make quarterly, estimated payments through Tax Connect.
Extensions are not granted on an automatic basis. All extension requests must include a copy of the Federal Extension Request Form and be received by the Tax Office by the due date of the original return. An extension will not be granted if the taxpayer has prior year balances or prior year filing delinquencies. An extension of time to file is not an extension of time to pay. Interest will be assessed on any tax balance remaining due after the original due date.