(a) Each employer within or doing business within the City, shall deduct at the time of payment of such salaries, wages, commissions or other compensation, the tax of one percent (1%) of the gross salaries, wages, commissions or other compensation or other income due by the said employer to said employee before the last day of the month following the close of each calendar quarter, and make a return showing the amount of taxes so deducted and a record of payments showing that all taxes deducted during the quarter have been paid to the City in accordance with the payment schedule prescribed by subsections (a), (b), and (c) hereof.

(b) Each employer shall, on or before the last day of the month following the close of the calendar quarter ending March 31st, June 30th, September 30th, and December 31st, make a return and pay to the Tax Administrator the amount of taxes so deducted. However, any employer who deducts taxes in the amount of five hundred dollars ($500.00) or more per month on average, based on the prior tax year's withholdings, shall remit to the Tax Administrator on or before the 15th day of each month the taxes so deducted for the prior month. Also, by January 31st, each employer shall file a withholding reconciliation prescribed by and attainable from the Tax Administrator, attaching form(s) W-2, setting forth the names and addresses of all employees from whose compensation the tax was withheld during the preceding calendar year and the amount of tax withheld from his employees and such other information as may be required by the rules and regulations adopted by the Tax Administrator.

(c) Such employer shall be liable for the payment of the required tax to be deducted and withheld, whether or not such taxes have in fact been withheld. Every employer or officer of a corporation is deemed to be a trustee for this municipality in collecting and holding the tax required under this chapter to be withheld and the funds so collected by such withholding are deemed to be trust funds.

(d) All officers of a corporation or the employees having control or supervision or charged with the responsibility of filing the return and making payment, shall be personally liable for failure to file the return or pay the tax due as required herein. The dissolution, bankruptcy, or reorganization of any such employer does not discharge any officer's or employee's liability for a prior failure of such business, to file a return or pay taxes due.

(e) All employers that provide any contractual service within the Municipality, and who employ subcontractors in conjunction with that service, shall provide the Municipality the names and addresses of the subcontractors. The subcontractors shall be responsible for all income tax withholding requirements under this chapter.

(Ord. 25-03. Passed 10-20-03.)