Understanding Ohio Municipal Taxes: RITA vs. CCA
Complete 2025 guide to Ohio’s municipal income tax collection agencies, rates, and filing requirements for individuals and businesses
Ohio Municipal Tax Overview
What Are Municipal Taxes?
Municipal income taxes in Ohio are local taxes imposed by cities and villages on residents and businesses. Unlike federal and state taxes, these are collected by local tax agencies to fund municipal services, infrastructure, and local government operations.
Who Pays Municipal Taxes?
Both residents and non-residents working in Ohio municipalities must pay local income taxes. The tax applies to wages, salaries, business income, and other compensation earned within the municipality’s boundaries.
2025 Important Changes
- Municipal tax penalty rates increased to 10% for unpaid taxes
- Updated filing deadlines with April 15, 2025 for tax year 2024
- Enhanced electronic filing systems for both RITA and CCA
- New reporting requirements for remote work arrangements
RITA vs. CCA: Key Differences
RITA (Regional Income Tax Agency)
- Service Area: Over 300 municipalities across Ohio
- Established: 1971
- Headquarters: Oakwood Village, Ohio
- Primary Function: Regional tax collection and administration
- Coverage: Suburban and smaller cities
- Tax Rates: Varies by municipality (0.5% to 2.85%)
CCA (Division of Taxation)
- Service Area: Cleveland and select municipalities
- Established: City of Cleveland tax division
- Headquarters: Cleveland, Ohio
- Primary Function: Cleveland municipal tax collection
- Coverage: Major urban areas
- Tax Rates: 2.5% (Cleveland), varies for other areas
| Feature | RITA | CCA |
|---|---|---|
| Number of Municipalities | 300+ | Cleveland + select cities |
| Online Filing | Available | Available |
| Tax Credit System | Varies by municipality | 100% for Cleveland residents |
| Office Hours | Monday-Friday, 8:00 AM – 4:30 PM | Monday-Friday, 7:30 AM – 4:00 PM |
| 2025 Penalty Rate | 10% | 10% |
2025 Municipal Tax Rates
Cleveland (CCA)
Highest rate in Ohio
100% CreditRITA Average
Typical suburban rate
50% Credit2025 Penalties
Annual penalty rate
IncreasedCommon RITA Municipality Rates (2025)
2025 Filing Requirements & Deadlines
Important 2025 Deadlines
- April 15, 2025: Tax year 2024 filing deadline
- January 15, 2025: Q4 2024 estimated payments
- June 15, 2025: Extended filing deadline
- Quarterly: Business estimated payments
Required Documents
- W-2 forms from all employers
- 1099 forms for contract work
- Business income statements
- Prior year municipal tax returns
Filing Options
Online Filing
Fastest and most convenient option with immediate confirmation
Mail Filing
Traditional paper filing with certified mail recommended
Professional Help
CPA or tax professional assistance for complex situations
2025 Penalties and Interest Rates
CCA Penalty Structure
RITA Penalty Structure
Practical Tips for 2025
Remote Work Considerations
With hybrid work arrangements, determine your tax obligations based on where you physically work, not just your employer’s location.
Avoid Penalties
File and pay on time to avoid the 10% penalty rate. Set up automatic payments or calendar reminders for quarterly deadlines.
Tax Credits
Understand your municipality’s credit system. Cleveland offers 100% credit for taxes paid to other municipalities, while RITA varies.
Keep Records
Maintain detailed records of all income sources, tax payments, and work locations to support your municipal tax filings.
Get Help
Contact RITA or CCA directly with questions. Both agencies offer customer service and educational resources.
Plan Ahead
Make quarterly estimated payments to avoid large year-end bills and potential penalties on underpayments.
Explore Our Free Paycheck Calculators
Key Takeaways for 2025
RITA Taxpayers
- • Over 300 municipalities with varying rates
- • Online filing available at ritaohio.com
- • Credit rates vary by municipality
- • 10% penalty rate for unpaid taxes
CCA Taxpayers
- • Cleveland maintains 2.5% tax rate
- • 100% credit for Cleveland residents
- • Extended office hours for taxpayer service
- • Enhanced electronic filing system