Voters in Columbus last week approved the city’s first income tax increase in 27 years. The tax hike will boost the city’s income tax to 2.5% from 2% and is expected to generate up to $100 million in additional revenue a year for the city’s general fund.
The tax hike — which won by a slim 52% margin — came after months of campaigning by city officials who said without the additional revenue they would have to cut services and lay off up to 600 public safety positions.
The tax applies to anyone who works in the city, including nonresidents.
“I want to tell the citizens of Columbus, 'Thank you,’ ” said Mayor Michael Coleman after the special election. “I know how hard this was.”
The city faces a roughly $115 million shortfall largely from declining revenues.
