In General Employers must withhold Ohio income taxes and, if applicable, school district income taxes from their employees' wages each pay period. These tax payments must then be forwarded periodically to the Department of Taxation. By All employers maintaining an office or transacting business in Ohio must withhold Ohio income tax from wages paid to their employees. With minor exceptions, state income taxes are to be withheld from all employees unless they are residents of Michigan, lndiana, Kentucky, West Virginia, or Pennsylvania.
Withholding applies to wages paid for work performed in Ohio.
Employers are required to make either partial weekly, monthly, or quarterly payments of the taxes withheld from all employees depending on the amount of tax withheld. These employers must also file a quarterly reconciliation form IT-942.