Schools, local governments to receive first TPPT repayment.

• Position: Ohio

Ohio schools and local governments will soon receive the first of three annual payments intended to make up for revenue lost to the phase-out of tangible personal property tax (TPPT). Gov. Taft announced the first TPPT repayment will equal $87 million.

The elimination of the TPPT was part of Society-backed tax reform legislation, which also established the commercial activity tax (CAT).

Schools and local governments previously funded through the TPPT will now receive a portion of CAT receipts through a "hold harmless" provision in the legislation. These entities will be reimbursed 100 percent of the money lost...