Beginning in 2015, an Ohio taxpayer may deduct from business income the lesser of 75% of Ohio small business income for small businesses earning under $250,000.  For tax years beginning in 2016 and thereafter, the tax is eliminated for businesses earning $250,000 or less.  For businesses above that income level, a flat tax rate of 3% is applied.  Effective for tax years 2015 and after, individual income tax rates are reduced and will range from .5% to 5%.