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.

Henderson County Fiscal Court recently passed an Occupational License Tax ordinance and has contracted with the City of Henderson for the collection of the County’s net profits and payroll tax. The County’s ordinance will begin on January 1, 2016.  
 

City Payroll

Every 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 July 1, 2017, the tax is 1% of the gross compensation paid. Beginning July 1, 2017, the tax is 1.29% of the gross compensation paid. Forms and instructions are available at the Occupational Tax Office or may be downloaded below.

County Payroll 

Beginning January 1, 2016, every 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 Henderson County, but outside the city limits of Henderson, is required to withhold and remit to the City of Henderson 1% of the gross compensation paid. 
 

City Net Profits

Every business entity conducting business in the City of Henderson for a profit is required to pay a tax of 1% on its net profits. Returns for calendar year businesses are due by April 15 of 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.

County Net Profits

Beginning January 1, 2016, every business entity conducting business in Henderson County, outside the city limits of the City of Henderson, for a profit is required to pay a tax of 1% on its net profits. The first returns for calendar year businesses will be due by April 15, 2017. New businesses commencing operations in Henderson are required to file an application and pay a $25 fee.     

  

   

• Form OLA - Occupational License Application (Use for both City and County applications.) 
• Form NP - Net Profit Return (With form fields)
• Form PR - Employers Return of Payroll Tax Withheld (Use for withholding periods starting January 1, 2016 and later.) 
• Form NPE - Application for Extension of Time to File Net Profit Tax Return (Use for tax periods ending January 31, 2016 and later.) 
• Form EPR - Employee Request for Refund of Payroll Tax or Additional Payment Due
• Form APR City - Annual Reconciliation of Payroll Tax Withheld
• Form APR County - Annual Reconciliation of Payroll Tax Withheld
• Form 1099 SF - Summary and Transmittal of Non-Employee Earnings

City Occupational Tax Ordinance
City Occupational Tax Ordinance Amendment
County Occupational Tax Ordinance