Local Return Definition

Term Definition
The form used to file local taxes for the locality in which the business operates.

Extended Definition
In some states, there is an additional local tax. An employer should register with the earned income tax officer for the school district or locality where their business is located. Employers are then required to deduct local taxes from their employees earned income. In some cases, employees need to submit a local return form to show their tax filing information. Employers can contact their locality for more information and to find out their tax rates.

Related Articles:
What Is Local Income Tax?
How to Calculate Local Income Tax