CLEVELAND — Cleveland's City Income Tax Form is stirring up a lot of frustration and questions from residents who claim they've never heard of the form.
I've heard from dozens via email and social media that you want the city to do better when it comes to notifying people of this form.
"I'm not surprised," Mara Sankin, a decade-long Cleveland resident who now owes almost $1,600 for not filling out the form, said.
A City of Cleveland Finance Department spokesperson said last week, "We acknowledge that we can do better when it comes to informing the community of this tax responsibility and will certainly commit to doing just that moving forward."
With the numerous claims that the city did not inform Clevelanders of the tax form, I asked the city about it.
"Residents are sent reminders to file their city income tax through their Cleveland Water bills," a Cleveland Finance Department spokesperson said on Thursday.
Sankin showed me her most recent online water bill.
It doesn't include a tax form reminder.
"The same city that encourages paperless billing to save the environment? Is that the city? OK, so no, because I get everything paperless," Sankin said. "When you brought that up to me before and said it might be in there, I immediately went online on the water department website and looked at the bill, downloaded it, because normally I get the notification and I immediately pay my bill, and then it's over with. I never actually download the bill unless I think there's some sort of a discrepancy I should look at, like it's extremely high or something, which is rare. I usually just pay it and get on with my business."
Christopher Davis, another Clevelander who has lived in the city for seven years, said he's never even received a water bill, but he got an audit notice two weeks ago.
"I rent my apartment, so my utilities, such as water, is included in the rent; so therefore, I do not receive a water bill," Davis told me.
Landlords should inform their tenants of important information they receive in the mail. It's a collective responsibility and while we certainly are committing to doing better on our end, we hope that landlords and employers will also do the same.
According to a city spokesperson, the attachment is included with the water bill once a year.
The memo was included with the March water bill, per the city.
What that attachment looked like is below.
    
    
Davis said, "I think it's the city's responsibility since they are the collection agency that's trying to receive the money. If they're gonna send out a notification of an audit, then they should be able to send out the forms so you can be in compliance with what they're looking for."
The city told me last week that it would utilize a more holistic communications strategy that will include, at a minimum, social media posts and notifying the press to "better increase awareness."
Davis and Sankin don't think that's enough, though.
"We're a very diverse community, and to just assume that that's gonna be the best way to do it is not very consistent," Sankin said.
Davis said, "It's garbage. If you have enough money to … send out the notification for an audit, you have enough money to send out the form so each taxpayer in the city will have an opportunity to file."
Sankin worries for people who may not have social media and those who live in complexes that won't receive a notice at all.
"There's so much more they could be doing, and I find it interesting that it's in Cleveland where there's such a high incidence of people who maybe do rely on assistance or supportive services. I'm a little suspect here," Sankin said. "I feel like the minute that you admit that you could do better, then you are taking some sort of responsibility for your discrepancy. At that point, then do better."
Davis said it's all about equality, and posting a reminder on social media doesn't meet that bar for him.
He's now waiting to hear back from the collections agency as to whether he owes the city any money.
"It does make me nervous," Davis said. "I actually called them when I received the notice, and I did send them the tax form information for 2022. However, they had mentioned that I would possibly have to pay fees and so forth. When I sent the form via email to them, there was no bounce back letting me know that they even received the form. That's another thing, with again, the transparency. I did not see any transparency on their end."
Both he and Sankin are considering trying to waive the penalty fees.
More information regarding the filing process can be found on this page of the CCA site.
The city tax form is a municipal income tax document. It asks for your employment, residence tax, and income information. It's also a standard form that is separate from your regular filings.
A penalty may be imposed on a municipal income tax return, other than an estimated income tax return, not timely filed, of $25 a month during which the return remains unfiled.
Additionally, the Ohio Revised Code also provides criminal penalties for failure to comply with the income tax ordinance of up to $1,000 or up to six months imprisonment for each offense.
Interest shall be imposed per year on all unpaid income tax, unpaid estimated income tax and unpaid withholding tax.
If anyone wants to file a dispute, email IndividualTax@clevelandohio.gov.