Income tax changes: Work-from-home could have big impact on city budgets Copyright Adobe and last updated 2021-07-11 21:36:55-04 Shifts toward more people working from home long-term could mean large income tax losses for many Ohio cities while other cities could reap more, according to local leaders and experts. The state legislature recently wrote into the two-year budget that Ohioans working from home in 2021 onward will pay income taxes based on their home office location, not the address of their employerâs empty office building. Many Ohio cities depend on income taxes to pay for a wide range of local services â police officers, firefighters and paramedics, parks, code enforcement, road repairs and snow plows. So where your municipal income taxes go every year has far-reaching implications.