Turner Legislation Helps Cities Increase Revenue

Turner Legislation Helps Cities Increase Revenue

Legislation authored by Congressman Michael R. Turner, The Regional Income Tax Agency (RITA) was included in the Tax Relief and Health Care Act of 2006 (H.R. 6111) which was passed by the U.S. House of Representatives on Friday.

Previously section 3103 of the Internal Revenue Code, allowed only municipalities with populations of 250,000 or more to enter into agreements with the IRS to receive federal tax information. With the passage of the RITA provision in Tax and Health Care Act, non-municipal government entities with aggregate populations over 250,000 that are established central points for tax collection, would also be entitled to receive IRS federal tax information.

RITA anticipates the IRS tax information will provide benefits to the non-municipal government entities it affects by helping to identify delinquent taxpayers to RITA municipalities; streamlining current business processes, thereby reducing costs to municipalities and; promotes the concept of "fairness," everybody paying their fair share of taxes.

Congressman Turner said, "This is an issue that I have worked on since I was mayor. RITA promotes fundamental tax fairness by treating all taxpayers alike, regardless of whether they live in one of our nation's largest cities or in a smaller municipality. In Ohio alone, it will lead to the collection of an estimated $21 million dollars in annual delinquent tax dollars."

http://www.house.gov/miketurner/news/press.rel/12.11.06.shtml