Ohio municipal income tax for freelancers (2026 guide), with Brunswick and Medina examples

Rates and rules checked against the sources linked at the end on 2 October 2026. Written by ProTaxService in Brunswick, OH. General information, not tax advice for your situation.

TL;DR: If you freelance in Ohio, the profit on your Schedule C is generally taxed by your city, not just by the IRS. You file with your city or its collector (RITA, CCA, or the city itself), and a single-member LLC can’t use the state’s one-return option. State law sets four estimated payments (April 15, June 15, September 15 and January 15) once you expect to owe $200 or more, although each city decides how hard to enforce them. The return is due April 15. A federal extension moves the filing date to October 15 but does not move the payment date.

A 1099-NEC lands in your inbox in January, and the taxes most freelancers plan for are federal and state. Then a city tax office asks where your return is.

Ohio has no single local income tax return. Each city sets its own rate, forms and enforcement, and many hand collection to an agency such as RITA or CCA. That is why two freelancers with the same $60,000 profit can owe very different amounts, depending on where they live and where they work.

This guide shows how city income tax treats self-employment income, who collects it, how credits and estimated payments work, and the dates to know. The examples come from the towns around Brunswick, OH, and each rule links to the statute, ordinance or city page it came from. If you live in Brunswick, our page on Brunswick, Ohio city income tax covers the city’s own rules in more detail.

Do freelancers owe city income tax?

Generally, yes. Ohio cities tax the net profit from self-employment, which is what is left on your federal Schedule C after business expenses, not just wages. You can owe that tax to the city where you live and to any city where you do the work or run the business. Credits exist to soften the double tax.

RITA, the agency that collects for many cities around here, says so in its Form 37 instructions. You may owe tax both to the municipality where you lived and to the one where you worked or conducted business, and “conducting business” includes earning self-employment income in a RITA city. Brunswick’s own filing rules list anyone who owns a business among the people who must file, and its page counts net profit from a business as taxable income.

Residents have a filing duty of their own. In Brunswick, every resident aged 18 or older files a return, even with no income. Medina residents file with RITA, either a return or a declaration of exemption if none of their income is taxable.

Live in a township instead? Townships can’t levy a local income tax. Brunswick Hills Township says on its website that the Ohio Revised Code does not permit one, and Hinckley Township’s FAQ says there are no income taxes in townships. That means no home-city return, but a city where you do the work can still tax the profit you earn there.

Who collects it: the city, RITA or CCA

The return goes to whoever your city uses to collect, so look up your city first. The same freelance profit can mean a different form, portal and rulebook depending on the town.

• Brunswick collects its own city income tax through its Income Tax Department.
• Medina uses RITA, the Regional Income Tax Agency.
• Strongsville, North Royalton, Berea, Parma Heights and Wadsworth also use RITA.
• Seville uses CCA, the Central Collection Agency.
• Parma runs its own tax department.

A single-member LLC doesn’t change this. Ohio lets some business taxpayers file one net profit return through the state’s Business Gateway and have the Ohio Department of Taxation (ODT) share it with every city. ODT’s taxpayer booklet, revised April 2023, says sole proprietors and disregarded entities, a group that includes single-member LLCs, are not eligible to opt in and should keep filing with each city. Many freelancers form an LLC expecting one return and still file city by city.

How your net profit is figured

Start with your federal Schedule C profit. Cities then adjust it under their own ordinances, and if you did business in more than one city you divide it between them.

RITA’s 2025 Form 37 instructions give the clearest published rules for a freelancer:

• Net profit follows your federal return, adjusted by the city. Schedule C profit may not be reduced by additional federal deductions, such as one-half of your self-employment tax.
• Losses carry forward, not back. A net operating loss from 2017 or later can be carried forward five years. It can’t be carried back, and it can’t offset W-2 wages.
• Several cities mean several columns. If you operate in more than one municipality, Schedule J of Form 37 asks you to allocate your Schedule C income between them and to attach your federal Schedule C.

Those are RITA’s rules for RITA cities. Brunswick collects its own tax under its own ordinance, and its income tax page does not spell out how it handles Schedule C, so ask the city before you assume it matches.

State law adds a layer for businesses in more than one city. Ohio Revised Code 718.02 sets a three-factor formula, using property, payroll and gross receipts in each city, for dividing a business’s net profit. It also lets a taxpayer ask in writing, with the return, to use a different method when the standard one doesn’t fairly reflect the business’s activity. What that formula does for a solo freelancer with no employees and no property beyond a home office is a question for the city’s tax office before you file, not something to guess.

Credits for tax paid to another city

Many cities credit at least part of the tax you paid elsewhere, but the formula differs, so read your own city’s rule instead of assuming.

Two nearby towns show how much it can vary:

• Brunswick says its credit for tax paid to other municipalities can’t exceed 1.0% of your taxed earnings. The city words this credit for wages, so ask its tax office how it applies to business profit.
• Medina gives 25% of Medina’s tax above 0.50% (Medina Codified Ordinances §162.081(A)). That works out to at most 0.1875% of your income. RITA’s rate table shows the same rule as a 25% credit factor with a 0.75% limit.

A “credit” can mean close to full relief in one city and a small fraction in the next. Here is how the published rules look around Brunswick:

Place	Collected by	Credit for tax paid to another city, as published
Brunswick	City of Brunswick	Up to 1.0% of taxed earnings (worded for wages)
Medina	RITA	25% of the tax above 0.50% (at most 0.1875% of income)
Strongsville	RITA	75% credit, up to 2.0%
North Royalton	RITA	100% credit, up to 1.25%
Parma	City of Parma	100% credit, up to 2.0%
Parma Heights	RITA	100% credit, up to 2.0%
Wadsworth	RITA	100% credit, up to 1.0%
Seville	CCA	No credit

Credits are shown the way each city, RITA or CCA publishes them. How a credit applies to self-employment profit taxed by two cities depends on your facts, so confirm it with the city’s tax office or a preparer.

A worked example, before any credit. Here is what $60,000 of net profit would mean at each town’s city rate:

Place	City rate	City tax on $60,000
Parma	2.5%	$1,500
Brunswick	2.0%	$1,200
Strongsville	2.0%	$1,200
Wadsworth	1.4%	$840
Medina	1.25%	$750
Seville	1.0%	$600

This is a simplified illustration for a hypothetical freelancer. It assumes the city taxes the full $60,000 of Schedule C profit and that no credit, loss or allocation applies, and a real return can differ. If you live in Brunswick and do all your work from home there, the city rate is 2.0%, so the city tax on $60,000 of net profit is $1,200 ($60,000 × 0.02). Rates are the 2026 figures from RITA, CCA, the City of Parma and the City of Brunswick.

A two-city example. Now take a freelancer who lives in Medina but whose whole $60,000 profit is taxed by Strongsville, for example because the work is done at an office there. Strongsville’s tax at 2.0% is $1,200. Medina’s tax is $750, and its credit is 25% of the part above 0.50% (25% of $450, or $112.50), so Medina still collects $637.50. Together that is $1,837.50, compared with $750 for the same freelancer working from home in Medina. This is our reading of Medina’s ordinance (§162.081(A)); the city or RITA has the final word on a real return.

Estimated payments, penalties and interest

State law expects estimated payments once you expect to owe $200 or more for the year, but each city decides how it enforces them.

Under Ohio Revised Code 718.08, individuals pay in four steps, measured against your estimated tax for the year:

• 22.5% by April 15
• 45% by June 15
• 67.5% by September 15
• 90% by January 15 of the following year

Under the state schedule, a freelancer who expects to owe $1,200 of city tax for 2026 (the Brunswick figure in the $60,000 example above) pays $270 at each of the four dates, so the running total reaches $270 by April 15, $540 by June 15, $810 by September 15 and $1,080 by January 15, 2027, and the last $120 is paid with the return.

For the 2026 tax year, the last payment is due January 15, 2027. State law also treats an underpayment as excused if you paid in at least 90% of this year’s tax (ORC 718.08(E)(1)) or at least 100% of the tax shown on last year’s return, as long as last year was a full 12 months and you filed a return with the city for it (ORC 718.08(E)(2)).

Cities differ on enforcement. Brunswick says estimated payments are not mandatory and no penalty is assessed for a late estimate, although its published dates are the same four. Medina’s ordinance requires a declaration of estimated tax when the amount payable is $200 or more (§162.07(B)(1)). For the federal and state estimates on the same dates, see Ohio estimated tax payments for 2026.

Penalties and interest come from state law (ORC 718.27):

• Late filing: up to $25 for each failure to file a return on time. A city must abate the penalty for a taxpayer’s first late filing.
• Underpayment: the city may charge a penalty equal to 15% of the amount not paid on time.
• Interest: the federal short-term rate, rounded to a whole percent, plus five percentage points. CCA lists 9.00% for 2026 and 10.00% for 2025.

Not the same as: federal self-employment tax, which is 15.3% (12.4% Social Security plus 2.9% Medicare) on 92.35% of your net profit and goes to the IRS on Schedule SE when your net earnings from self-employment are $400 or more. School district income tax is also separate: of the Medina County districts, only Cloverleaf Local School District levies one, at 1.00% of earned income on the state’s 2026 list. Ohio’s state income tax is a third return again.

Filing: where, when and what an extension does

Returns are due April 15. A federal extension moves the municipal filing date for individuals to October 15, but any tax due is still owed on April 15. State law ties the individual filing deadline to the state individual return date, and sets the extended date as the 15th day of the tenth month after year end (ORC 718.05). Business entities get a later, eleventh-month date. This guide is about individuals reporting Schedule C income.

How you claim the extension depends on the collector:

• RITA cities, including Medina: you don’t send RITA a copy of your federal extension. You check the extension box on Form 37 and file by October 15. Extending your return doesn’t change estimated payment dates.
• Brunswick: a federal extension automatically gives you a six-month extension to file, and the city asks you to forward a copy to its office.

A few more points to know:

• If the amount due is $10 or less, no remittance is required (ORC 718.05). RITA’s instructions say an annual return is still required whether or not you have tax due.
• Forms and portals vary by collector. RITA uses Form 37, with business income on Schedule J, and online filing through FastFile and MyAccount. Brunswick files with the city’s own Income Tax Department.
• Looking ahead: the final 2026 estimate is due January 15, 2027, and the 2026 return and any balance are due April 15, 2027.

Common mistakes, and when to bring in a preparer

The costly mistakes are filing with the wrong collector, missing a second city that also taxes you, and skipping estimates.

• Using the wrong collector. Strongsville files with RITA, Brunswick with the city itself, and Parma with its own department. Look up your city before you pick a form.
• Forgetting a second city. On-site work for clients in other cities can create a filing there too.
• Assuming an LLC means one return. A single-member LLC still files city by city.
• Assuming the credit is full. Medina’s credit is a fraction of the tax, not a dollar-for-dollar offset.
• Skipping estimates. Where a city enforces them, it may charge an underpayment penalty of 15% of the amount not paid on time, plus interest.
• Poor records by location. Schedule J asks you to separate business activity by location, so keep your income and expenses by city from the start.

What to bring to a preparer: your 1099-NEC and 1099-K forms, your Schedule C workpapers, last year’s city returns, a list of every city where you did on-site work, the estimates you’ve paid so far this year, and any notices. Our what to bring to your tax appointment checklist has the rest.

ProTaxService is a small practice in Brunswick, OH, run by Elena Rusakovich, an IRS-registered tax preparer (PTIN). We prepare tax returns for the self-employed, keep books for freelancers and handle small business accounting in Brunswick, OH. Medina clients can start with Medina, OH tax preparation, and the full list is on our page of towns we serve in Medina County. We prepare city net-profit returns for the self-employed in Brunswick and in the cities that use RITA, such as Medina and Strongsville, together with your federal and Ohio returns. If you’re not sure which cities your freelance income touches, request a free estimate or call (440) 212-9613. For a city that doesn’t use RITA, we’ll say plainly whether it’s something we prepare.

Frequently asked questions

Do I owe city tax if I work from home in a different city than I live?

It depends, and it can be both. Your home city taxes residents on net profit, and a city where you conduct business can tax the profit earned there under its own ordinance. Credits reduce the double tax. The state’s apportionment rules (ORC 718.02) and each city’s definition of business activity decide the details, so ask the city before you file.

Do I have to make quarterly estimated city payments?

State law expects them once you expect to owe $200 or more for the year, on April 15, June 15, September 15 and January 15. Brunswick says estimates aren’t mandatory and doesn’t penalize late ones. Medina requires them at $200 or more. Check your own city.

Can my single-member LLC use the state’s single return?

No. ODT’s taxpayer booklet says sole proprietors and disregarded entities, including single-member LLCs, aren’t eligible to opt in to filing with the Department and should keep filing with each city. Our guide to Ohio LLC taxes covers the other registrations a new LLC needs.

What if I owe $10 or less?

No remittance is required if the amount shown due is $10 or less (ORC 718.05). RITA’s instructions say an annual return is still required whether or not you have tax due.

Is my Schedule C income taxable by my city?

Generally, yes. RITA treats Schedule C income as taxable, and Brunswick’s filing rules count net profit from a business as taxable income. Cities set their own rules, so check yours.

The short version

• Find your collector. It’s your city, RITA or CCA, and each has its own forms.
• Learn your city’s credit formula. They are not alike, and Medina’s is a fraction of the tax.
• Calendar the four estimate dates. The next one for the 2026 tax year is January 15, 2027.
• If you have a single-member LLC, plan on filing city by city.

Rules and rates change, and your facts matter. Confirm figures with your city’s tax office, or bring your records to a preparer well before the deadline.

Sources

• Ohio Revised Code: 718.02 apportionment, 718.05 returns and extensions, 718.08 estimated payments and 718.27 penalties and interest. Read 2 October 2026.
• Ohio Department of Taxation, Municipal Net Profit Tax taxpayer booklet, revised April 2023, and the school district income tax list for 2026.
• RITA: 2025 Form 37 instructions, 2026 tax rates table and FAQ on Schedule C and net operating losses.
• CCA: 2026 tax rates and penalty and interest rates.
• City of Brunswick: income tax and frequently asked tax questions. City of Parma: tax information.
• City of Medina: Codified Ordinances, Chapter 162 (§162.07 and §162.081), read 21 September 2026, and Finance.
• Township websites: Brunswick Hills Township and Hinckley Township FAQ.
• IRS: Self-employment tax, updated 27 June 2026.