Ohio § 5701.10

§ 5701.10.

As used in Title LVII of the Revised Code, “ income yield ” means the aggregate amount paid as income by the obligor, trustee, or other source

of payment to the owner or holder of an investment, whether including the taxpayer

or not, during such year, and includes the following: (A) In the case of an obligation bearing interest, the amount of interest separately

charged and paid during such year exclusive of payments on the principal; (B) In the case of shares of stock, except as otherwise provided, the dividends or other

distributions so paid or distributed, other than distributions in liquidation and

distributions by an investment company of a gain it realizes on the sale of real property

or investments, whether such payment or distribution is in cash, notes, debentures,

bonds, other property, or shares of stock, except that shares of the capital stock

of a corporation, or rights to acquire such shares, distributed to its shareholders

in respect of its outstanding shares shall not be reflected in the amount of the income

yield of such outstanding shares, unless the distribution is, at the election of any

shareholder, payable in either: (1) Shares of stock or rights to acquire such shares; (2) Cash, notes, debentures, bonds, or other property; (C) The income yield of shares of stock which were not outstanding for the full calendar

year next preceding the date of listing of like kind as other shares of the same corporation

outstanding for such year shall be the same as the income yield of the shares of like

kind outstanding for such year;  except that if such shares were distributed as a

stock dividend or distribution or as a stock split and such shares are of like kind

as the shares on which the distribution was made, the income yield of such shares

and the shares on which they were so distributed shall be the amount determined by

totaling the dividends or distributions paid or distributed during such year on such

shares and the shares on which they were distributed and dividing such total by the

number of such shares and the shares on which they were distributed. (D) In the case of annuities or other obligations for periodical installment payments

including both principal and interest, not separately charged and paid, four per cent

of half the principal used to purchase the same, or if there is no such principal,

or the annuity or obligation was purchased and payments made thereunder prior to January

1, 1933, four per cent of half of the present worth of such annuity or periodical

installment payments if commuted, which shall be calculated as of the date on which

such investment is required by sections 5711.01 to 5711.36 of the Revised Code , to be first listed, with interest at four per cent per annum, and, in the case of

annuities for life, according to the combined four per cent table; (E) In the case of equitable interests in lands, divided into shares evidenced by transferable

certificates, the cash distribution of income so made; (F) In the case of an equitable interest in a fund made up in whole or in part of investments,

the entire distributions of income by the trustee to the owner of the equitable interest

to the extent represented by the net income received by the trustee from investments,

deposits not taxed at the source, current accounts receivable, and other taxable intangibles

as defined in Title LVII of the Revised Code; (G) In the case of royalties under patents and copyrights, five per cent of half the

value of such patents or copyrights, which value shall be calculated by the use of

Hoskold's formula, applied to the gross royalties paid during such year, with sinking

fund at four per cent per annum and interest at eight per cent per annum, and assuming

for the purpose of every such calculation a remaining life of seventeen years as to

patents and of twenty-eight years to 1 copyrights. At the request of the tax commissioner or any county auditor, the superintendent of

insurance shall, upon being furnished with a statement of the facts, compute, upon

a basis equivalent to that prescribed by this section, the income yield of any investment

to which the interest is not charged and paid separately from the principal, and the

assessor shall be governed by the computation so made. 1

 Prior and current versions differ;  although no amendment to this language was indicated

in 1984 H 250 or 130 v Pt 2, H 5, “to” appeared as “as to” in 1953 H 1 and all subsequent

versions.