2026 Ohio municipal tax

Cleveland income tax

Cleveland levies 2.5% and credits 100% of the tax you pay to the city you work in, computed on at most 2.5% of wages.

Cleveland municipal income tax parameters
Rate2.5%
Credit factorshare of the work city's tax credited100%
Credit limitcap on wages the credit is computed against2.5%

What a Cleveland resident owes on $60,000

The work city withholds; Cleveland then charges its own rate less the credit. The last column is what is usually not withheld from any paycheck.

Cleveland resident credit by work city
Work cityWithheld thereCreditOwed to Cleveland
Columbus2.5%$1,500$1,500$0
Findlay1%$600$600$900

Source: CCA — Division of Taxation, tax rates table (Tax Year 2026), read 2026-08-22. School district income tax and JEDD/JEDZ levies are separate and are not modelled here.

Cleveland income tax: common questions

What is the income tax rate in Cleveland, Ohio?

2.5% on wages for 2026. Your employer withholds for the city you WORK in, so if you work elsewhere in Ohio you may owe Cleveland a residual at filing time rather than nothing.

Does Cleveland credit tax I paid to the city I work in?

Partly, and the two parameters matter separately. Cleveland credits 100% of the tax paid to the work city, and computes that credit against at most 2.5% of your wages. Both have to be applied: the credit is 100% of the LESSER of what the work city took and 2.5% of wages.

Why do I owe Cleveland money at filing time?

Because Ohio employers withhold for the WORK city, not the home city — ORC 718.03(A)(1). If Cleveland's rate exceeds what its credit absorbs, the difference is owed directly to Cleveland and is usually not withheld from any paycheck. That residual is what catches people out.