Sales Tax on Architectural Services

Ohio Tax Proposal Would Extend Sales Tax to Architectural Services

A new tax proposal by Ohio Governor John Kasich (R) would lower individual income tax rates and introduce a 50% income deduction for small businesses; however, these cuts would be paid for by broadening the state sales tax to apply to services at a rate of 5%, down from the current rate of 5.5%. While architects and small firms would undoubtedly benefit from the income tax cuts and deduction, the sales tax on services is problematic for the architectural profession. If the tax plan is approved, architects may find themselves at a distinct disadvantage to out of state firms. (continue reading)

Thoughts? IMO, educated professionals like architects are hardly beating down Ohio's doors to practice here as it is, and this just gives one more reason for recent architectural graduates to practice elsewhere.

Mar 6, 13 2:25 pm

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