Occupational License Tax
Occupational License Tax Division
The purpose of the Occupational License Tax Division is to administer and enforce the City of Henderson’s payroll and net profits taxes as required by ordinance. This is done with integrity, efficiency, and impartiality.
City PayrollEvery employer (whether for profit or not for profit) who pays wages, salaries, commissions, tips, or other taxable compensation to an employee for work performed within the city limits of Henderson is required to withhold and remit to the City of Henderson the City payroll tax. For tax periods prior to January 1, 2020, the tax is 1.29% of the gross compensation paid. Beginning January 1, 2020, the tax is 1.49% of the gross compensation paid. Forms and instructions are available at the Occupational Tax Office or may be downloaded below.
City Net Profits
Every business entity conducting business in the City of Henderson for a profit is required to pay a tax on its net profits. Calendar year filers with a year end of December 31, 2019 pay a tax of 1% on net profits. Beginning January 1, 2020, the net profit tax will increase to 1.49% with minimum changes as well. Fiscal year filers will need to see Table A on the revised Net Profit forms for their pro-rated tax percentage.
Returns for calendar year businesses are due by April 15th each year. New businesses commencing operations in Henderson are required to file an application and pay a $25 fee. Forms may be downloaded below or obtained at the Occupational Tax Office.
Occupational License Tax Forms
- FORM NP Net Profit
- FORM NP INSTRUCTIONS
- FORM NPE Net Profit Extension
- FORM OLA Occupational License Application
- FORM PR Payroll Tax Withheld
- FORM APR Annual Payroll Reconciliation
- FORM IPR Individual Payroll Remittance
- FORM EPR Employee Payroll Refund
- FORM 1099 SF Summary and Transmittal of Non Employee Earnings
City Occupational Tax Ordinance
City Occupational Tax Ordinance Amendment
Henderson County Fiscal Court Net Profit and Payroll Tax Collections
Beginning July 1, 2019, Henderson County Fiscal Court will administer, collect all monies due, provide required forms, and handle all correspondence for the Henderson County net profit and/or payroll tax. Contact Brent Heppner, Henderson County Occupational Tax Administrator, at (270) 631-7244.