Allow state income tax deduction for overtime wages

HB 39 would amend Ohio's tax code (section 5747.01) to allow taxpayers to deduct overtime wages from their state taxable income, similar to regular wages. This change would directly affect Ohio residents who earn overtime pay, such as hourly workers, by reducing their taxable income for state income tax purposes. The bill modifies existing tax provisions to explicitly include overtime wages under the deduction for "wages and salaries" previously only applied to base pay. It does not change tax rates or create new credits, but expands the scope of deductible income under current Ohio tax law. The bill is currently pending in committee after introduction on February 3, 2025.