Who’s required to file a Brunswick Return?
Any person 18 years or older who resides in the City of Brunswick is required to file a return, regardless to income. Also, any person who owns a business and/or rental property.
* Exception is for any person who has submitted proof of retirement to the Tax Department and has no other taxable income.
What is the City of Brunswick’s Income Tax rate?
Effective January 1, 2010, Brunswick's tax rate increased from 1.35% to 1.85% and is based on taxable income and business net profits.
What is taxable income?
Earned income such as salaries, wages, commissions, wage continuation plans, deferred compensation, sick pay, vacation pay, tips, distributive shares of the net profits of a partnership or subchapter S corporation, net profit from a business, net rental income, and income from lotteries and games of chance.
What income is not taxable?
Income such as dividends, interest, military pay, pensions, alimony, child support, Social Security, Medicare, poor relief, unemployment insurance benefits if received from state or local governments, gifts, inheritances, scholarships, or involuntary conversions.
Does Brunswick give a credit?
Yes, effective January 1, 2010, Brunswick’s tax credit changed from ¾ of 1% to 1%.
This credit is given to residents who paid municipal income taxes to other municipalities. This amount can not exceed 1% of their taxed earnings.
This is not required in Brunswick, however, a declaration of estimated income tax may be filed by all individuals who can reasonably expect to owe Brunswick income tax at year's end. Estimated tax payments can be made on a quarterly basis as follows: one-fourth (1/4) on or by April 15, July 15, October 15 and January 15.
Is it possible to amend my estimate during the year?
Yes. Just notify us of your intentions.
What if I reside in Brunswick and work in an area with no municipal tax?
You can estimate the amount of tax you will owe for the year and pay in accordance with the estimate listed above or you can pay a lump-sum on or before April 15th of the filing year.
What if I already have local taxes taken out of my check?
Remember there are two local taxes, residence and workplace.
If the local tax was withheld for the City of Brunswick, a 100% credit of that amount will be given. If the local tax was withheld for another municipality, then the 1% credit of the wages earned will be given (as long as the total tax rate for the city it was earned in was withheld) .
Can I get an extension to file?
The City of Brunswick honors the extensions filed with the Federal government.
Brunswick’s regulations are: you must submit proof of your extension with the IRS; to avoid penalty and interest assessments for taxes owed, we require that at least 90% of the final tax due or 100% of the prior year liability, be remitted to us by April 15th.
When is penalty and interest assessed?Penalty and interest is assessed to the unpaid balance after April 15th and then monthly until the balance is paid in full.