Ohio take-home pay

**Standard deduction**: Ohio does not have a state-level standard deduction. The IT-1040 booklet 'Highlights for Tax Year 2025' page confirms this and no SD line appears on Form IT-1040. Encoded as zero across all filing statuses per the ProgressiveTaxTable schema requirement (no 'no-SD' precedent exists in the codebase yet). **Bracket structure (TY2026)**: HB 96 (signed June 30, 2025) collapses Ohio's prior three-bracket schedule into a two-bracket structure — 0% on Ohio nonbusiness taxable income up to $26,050, then a flat 2.75% on income above $26,050. The $26,050 threshold is the same dollar amount across all four filing statuses; Ohio's brackets are NOT filing-status-differentiated. Encoded as ProgressiveTaxTable per existing schema; no new flat-with-zero-band schema introduced (matches MS precedent of 2-bracket [0%, rate] encoding). **Personal/dependent exemption + Joint Filing Credit not modeled (Gap 1)**: Ohio personal exemption ($2,400 per filer/dependent, MAGI-tiered with phase-out cliff at $750,000 MAGI for TY2025 and $500,000 MAGI for TY2026 per HB 96), Joint Filing Credit (% of tax less credits, capped at $650, MAGI-table-driven), and the Ohio $20-per-exemption exemption credit (available only with Ohio income tax base under $30,000) are not modeled in this calculator. State tax may be slightly overstated by approximately $66/year for a single filer at $100,000 to ~$264/year for an MFJ filer with two dependents at $100,000 (excluding Joint Filing Credit; cap of $650 separately for MFJ filers where both spouses earn income). Filers below the MAGI phase-out threshold and especially MFJ filers with both spouses earning income should expect their actual Ohio liability to be lower than this calculator shows. See Ohio IT-1040 Schedule of Credits. **City wage base for §125 cafeteria filers (Gap 2 — RESOLVED in PR-N10)**: Ohio cities tax 'qualifying wages' as defined in ORC §718 — W-2 Box 5 Medicare wages, which include §401(k) deferrals but exclude §125 cafeteria plan items (health insurance premiums, HSA, healthcare FSA, dependent care FSA). All 10 OH cities now encode `wageBase: 'medicareWages'` (PR-N10), so filers with §125 deductions see correctly reduced city tax (gross − §125 amount). Programmatic SEO pages still assume zero deductions and are unaffected; the §125 reduction is applied via /calculate when §125 deductions are entered. **Inter-city reciprocal credit not modeled (Gap 3)**: Ohio cities provide reciprocal credit when a resident pays municipal tax to another Ohio city (e.g., a Columbus resident working in Cleveland receives credit for Cleveland tax up to 2.5%, Columbus's rate). This calculator does not model cross-city reciprocal credit; filers who live in one Ohio city and work in another may see double-charging in the breakdown. Authoritative cites: e.g., Columbus City Code §361.20, Toledo Municipal Code §1905.15. **Rate equality (resident vs non-resident)**: Ohio cities tax residents and non-residents at the same rate per ORC §718; nonResidentRate is intentionally undefined for all 10 cities. The non-resident URL surface is suppressed by route gating on nonResidentRate !== undefined. This matches the IN-counties precedent. Workplace reciprocal credit (Gap 3) is the mechanism by which OH residents get tax relief when working in another OH city — not a different non-resident workplace rate.