OH HB670

Enacts the "Simplified Alternative Withholding Tax Compliance Act" allowing employers to enter into agreements with municipal tax administrators to prescribe the portion of nonresident employee wages subject to municipal income tax withholding.

Allows "qualifying employers" (those who would otherwise withhold to multiple municipalities) to agree with tax administrators on a percentage or amount of "transient employee" wages subject to withholding based on the employer's net profits allocated to that municipality and other authorized factors.

Tax administrator may rescind an agreement if information provided by the employer to calculate withholding was submitted in bad faith; upon expiration or rescission, employers revert to standard withholding requirements under section 718.03.

Amends sections 718.01, 718.011, and 718.03 of the Revised Code and adds new section 718.032 to implement the alternative withholding agreement framework while maintaining existing tax compliance rules.

Provides flexibility for employers with employees working in multiple Ohio municipalities to simplify tax withholding administration through negotiated agreements with individual municipal tax authorities.