Ohio § 5725.14

§ 5725.14.

(A) As used in this section and section 5725.15 of the Revised Code : (1) “ Billing address ” of a customer means one of the following: (a) The customer's address as set forth in any notice, statement, bill, or similar acknowledgment

shall be presumed to be the address where the customer is located with respect to

the transaction for which the dealer issued the notice, statement, bill, or acknowledgment. (b) If the dealer issues any notice, statement, bill, or similar acknowledgment electronically

to an address other than a street address or post office box address or if the dealer

does not issue such a notice, statement, bill, or acknowledgment, the customer's street

address as set forth in the records of the dealer at the time of the transaction shall

be presumed to be the address where the customer is located. (2) “ Commissions ” includes but is not limited to brokerage commissions, asset management fees, and

similar fees charged in the regular course of business to a customer for the maintenance

and management of the customer's account. (3) “ Gross receipts ” means one of the following: (a) In the case of a dealer in intangibles principally engaged in the business of lending

money or discounting loans, the aggregate amount of loans effected or discounted; (b) In the case of a dealer in intangibles principally engaged in the business of selling

or buying stocks, bonds, or other similar securities either on the dealer's own account

or as agent for another, the aggregate amount of all commissions charged. (B) Each dealer in intangibles shall return to the tax commissioner between the first

and second Mondays of March, annually for return years prior to 2014, a report exhibiting

in detail, and under appropriate heads, the dealer's resources and liabilities at

the close of business on the thirty-first day of December next preceding, together

with remittance made payable to the treasurer of state of the tax levied under division (D) of section 5707.03 of the Revised Code .  In the case of an unincorporated dealer in intangibles, such report shall also exhibit

the amount or value as of the date of conversion of all property within the year preceding

the date of listing, and on or after the first day of November converted into bonds

or other securities not taxed to the extent such nontaxable bonds or securities may

be shown in the dealer's resources on such date, without deduction for indebtedness

created in the purchase of such nontaxable bonds or securities. If a dealer in intangibles maintains separate business offices, whether within this

state only or within and without this state, the report shall also show the gross

receipts from business done at each such office during the year ending on the thirty-first

day of December next preceding. For the purposes of this section and section 5725.15 of the Revised Code , business is considered done at an office when it originates at such office, but

the receipts from business originating at one office and consummated at another office

shall be divided equitably between such offices. (C) For the purposes of this section and section 5725.15 of the Revised Code , in the case of a dealer in intangibles principally engaged in the business of selling

or buying stocks, bonds, or other similar securities either on the dealer's own account

or as agent for another, the dealer's capital, surplus, and undivided profits employed

in this state shall bear the same ratio to the dealer's total capital, surplus, and

undivided profits employed everywhere as the amount described in division (C)(1) of

this section bears to the amount described in division (C)(2) of this section: (1) The sum of the commissions earned during the year covered by the return from transactions

with respect to brokerage accounts owned by customers having billing addresses in

this state; (2) The sum of the commissions earned during that year from transactions with respect

to brokerage accounts owned by all of the dealer's customers. (D) An incorporated dealer in intangibles which owns or controls fifty-one per cent or

more of the common stock of another incorporated dealer in intangibles may, under

uniform regulations prescribed by the tax commissioner, make a consolidated return

for the purpose of sections 5725.01 to 5725.26 of the Revised Code .  In such case the parent corporation making such return is not required to include

in its resources any of the stocks, securities, or other obligations of its subsidiary

dealers, nor permitted to include in its liabilities any of its own securities or

other obligations belonging to its subsidiaries.