Local Income Tax

Local Income Tax is a tax levied by local governments, such as cities or counties, on the income of individuals and businesses within their jurisdiction. It is typically used to fund municipal services like police, fire departments, schools, and infrastructure. The rate can vary by location, and residents may pay this tax in addition to state and federal income taxes. While not all areas impose a local income tax, those that do often have specific regulations and collection methods in place. Understanding the local tax rate is essential for residents and businesses to comply with tax obligations.