Marion income tax
Marion levies 2% and credits 50% of the tax you pay to the city you work in, computed on at most 3% of wages.
| Rate | 2% |
|---|---|
| Credit factorshare of the work city's tax credited | 50% |
| Credit limitcap on wages the credit is computed against | 3% |
What a Marion resident owes on $60,000
The work city withholds; Marion then charges its own rate less the credit. The last column is what is usually not withheld from any paycheck.
| Work city | Withheld there | Credit | Owed to Marion |
|---|---|---|---|
| Columbus2.5% | $1,500 | $750 | $450 |
| Cleveland2.5% | $1,500 | $750 | $450 |
| Findlay1% | $600 | $300 | $900 |
Marion's credit parameters could not be read as clean text from its own published documents, so the figures above are an estimate rather than a verified reading. Confirm with the city before relying on them.
- Only 50% of the work city's tax is credited.
- Marion caps the credit at its own 2% tax on the income rather than at a creditable rate; the 3.0% limit rate here is a non-binding stand-in that reproduces the ordinance for every Ohio work city.
- The credit was 100% for tax years 2023-2025 and reverted to 50% by an ordinance passed 2026-03-23 whose effective tax year is not published. Verify before use.
- Re-checked 2026-09-07 against the city's own page, which now states the rule in the present tense -- 'The tax credit for tax paid to other cities is limited to 50% of the other city tax rate. City Council passed this ordinance on 03/23/2026.' That confirms the 50% FACTOR first-hand and is why this entry is no longer merely second-hand, but it still does not name the effective tax year, which is the part that decides whether 2026 is credited at 50% or at the 100% that applied through 2025. Stays inferred for that reason alone.
Source: City of Marion — Income Tax page and codified §194.081, read 2026-08-22. School district income tax and JEDD/JEDZ levies are separate and are not modelled here.
Marion income tax: common questions
What is the income tax rate in Marion, Ohio?
2% on wages for 2026. Your employer withholds for the city you WORK in, so if you work elsewhere in Ohio you may owe Marion a residual at filing time rather than nothing.
Does Marion credit tax I paid to the city I work in?
Partly, and the two parameters matter separately. Marion credits 50% of the tax paid to the work city, and computes that credit against at most 3% of your wages. Both have to be applied: the credit is 50% of the LESSER of what the work city took and 3% of wages.
Why do I owe Marion money at filing time?
Because Ohio employers withhold for the WORK city, not the home city — ORC 718.03(A)(1). If Marion's rate exceeds what its credit absorbs, the difference is owed directly to Marion and is usually not withheld from any paycheck. That residual is what catches people out.