Suburban residents in Ohio’s large metro areas, including Greater Cleveland, are those most likely to claim federal deductions for the state and local taxes – a deduction in jeopardy because of tax overhaul plans in Congress.
Overall, 26 percent of Ohioans claimed a state or local tax deduction in filling out their federal tax forms last year.
But, cleveland.com found, that share increases to 39 percent when tax filers reporting less than $25,000 of income are excluded. The low-income filers include not only low-income families, but also also children such as college students and others with limited or part-year income. Just 4 percent of the people making under $25,000 claim the state or local tax deduction.
For this reason, cleveland.com focused on individual or joint returns with incomes of at least $25,000 a year to examine the trends.
The deductions are most common in suburban areas in Cincinnati, Columbus, Cleveland and Toledo, as illustrated by the map above.
Not surprisingly, the likelihood of taking the deduction is highest in high-income areas, the top two being just outside Cincinnati and Cleveland. In the 45174 ZIP code for Terrace Park, near Cincinnati, 86 percent took the deduction. In the 44040 ZIP code that includes Gates Mills and other eastern Cuyahoga suburban areas, 79 percent took the deduction.
Overall, the deduction was claimed on:
- 95 percent of tax forms from Ohio with at least $200,000 in income.
- 75 percent with incomes for $100,000 to $200,000.
- 50 percent with incomes of $75,000 to $100,000.
- 37 percent for $50,000 to $75,000.
- 16 percent for $25,000,000 to $50,000.
The two maps below offer a closer look at the deduction, by ZIP code, in Greater Cleveland and Cuyahoga County. Below the maps, find the share in your area, with a chart showing the share of tax filers claiming the deduction in each Ohio ZIP code.