HOUSE AMENDED
PRIOR PRINTER'S NOS. 143, 708, 784, PRINTER'S NO. 1048
809
No. 157 Session of 2005
INTRODUCED BY ARMSTRONG, VANCE, GORDNER, THOMPSON, PILEGGI,
EARLL, COSTA, KASUNIC, ORIE, LOGAN, ROBBINS, WONDERLING,
BOSCOLA, M. WHITE, WAUGH, WENGER, FUMO, PIPPY AND D. WHITE,
FEBRUARY 2, 2005
AS REPORTED FROM COMMITTEE ON FINANCE, HOUSE OF REPRESENTATIVES,
AS AMENDED, JUNE 30, 2005
AN ACT
1 Amending the act of December 31, 1965 (P.L.1257, No.511),
2 entitled "An act empowering cities of the second class,
3 cities of the second class A, cities of the third class,
4 boroughs, towns, townships of the first class, townships of
5 the second class, school districts of the second class,
6 school districts of the third class and school districts of
7 the fourth class including independent school districts, to
8 levy, assess, collect or to provide for the levying,
9 assessment and collection of certain taxes subject to maximum
10 limitations for general revenue purposes; authorizing the
11 establishment of bureaus and the appointment and compensation
12 of officers, agencies and employes to assess and collect such
13 taxes; providing for joint collection of certain taxes,
14 prescribing certain definitions and other provisions for
15 taxes levied and assessed upon earned income, providing for
16 annual audits and for collection of delinquent taxes, and
17 permitting and requiring penalties to be imposed and
18 enforced, including penalties for disclosure of confidential
19 information, providing an appeal from the ordinance or
20 resolution levying such taxes to the court of quarter
21 sessions and to the Supreme Court and Superior Court,"
22 further providing for delegation of taxing powers and <--
23 restrictions thereon; and making editorial changes. THE <--
24 DELEGATION OF TAXING POWERS AND RESTRICTIONS THEREON;
25 REPEALING PROVISIONS RELATING TO CONTINUATION OF OCCUPATIONAL
26 PRIVILEGE TAXES; AND MAKING EDITORIAL CHANGES.
27 The General Assembly of the Commonwealth of Pennsylvania
1 hereby enacts as follows:
2 Section 1. Section 2 of the act of December 31, 1965 <--
3 (P.L.1257, No.511), known as The Local Tax Enabling Act, amended
4 December 1, 2004 (P.L.1729, No.222), is amended to read:
5 Section 2. Delegation of Taxing Powers and Restrictions
6 Thereon.--The duly constituted authorities of the following
7 political subdivisions, cities of the second class, cities of
8 the second class A, cities of the third class, boroughs, towns,
9 townships of the first class, townships of the second class,
10 school districts of the second class, school districts of the
11 third class, and school districts of the fourth class, in all
12 cases including independent school districts, may, in their
13 discretion, by ordinance or resolution, for general revenue
14 purposes, levy, assess and collect or provide for the levying,
15 assessment and collection of such taxes as they shall determine
16 on persons, transactions, occupations, privileges, subjects and
17 personal property within the limits of such political
18 subdivisions, and upon the transfer of real property, or of any
19 interest in real property, situate within the political
20 subdivision levying and assessing the tax, regardless of where
21 the instruments making the transfers are made, executed or
22 delivered or where the actual settlements on such transfer take
23 place. The taxing authority may provide that the transferee
24 shall remain liable for any unpaid realty transfer taxes imposed
25 by virtue of this act. Each local taxing authority may, by
26 ordinance or resolution, exempt any person whose total income
27 from all sources is less than twelve thousand dollars ($12,000)
28 per annum from the per capita or similar head tax, occupation
29 tax [and emergency and municipal services tax,] or earned income
30 tax, or any portion thereof, and may adopt regulations for the
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1 processing of claims for exemptions. Each local taxing authority
2 shall by ordinance or resolution exempt any person whose total
3 income from all sources is less than twelve thousand dollars
4 ($12,000) per annum from the emergency and municipal services
5 tax. Such local authorities shall not have authority by virtue
6 of this act:
7 (1) To levy, assess and collect or provide for the levying,
8 assessment and collection of any tax on the transfer of real
9 property when the transfer is by will or mortgage or the
10 intestate laws of this Commonwealth or on a transfer by the
11 owner of previously occupied residential premises to a builder
12 of new residential premises when such previously occupied
13 residential premises is taken in trade by such builder as part
14 of the consideration from the purchaser of a new previously
15 unoccupied single family residential premises or on a transfer
16 between corporations operating housing projects pursuant to the
17 housing and redevelopment assistance law and the shareholders
18 thereof, or on a transfer between nonprofit industrial
19 development agencies and industrial corporations purchasing from
20 them, or on transfer to or from nonprofit industrial development
21 agencies, or on a transfer between husband and wife, or on a
22 transfer between persons who were previously husband and wife
23 but who have since been divorced; provided such transfer is made
24 within three months of the date of the granting of the final
25 decree in divorce, or the decree of equitable distribution of
26 marital property, whichever is later, and the property or
27 interest therein, subject to such transfer, was acquired by the
28 husband and wife, or husband or wife, prior to the granting of
29 the final decree in divorce, or on a transfer between parent and
30 child or the spouse of such a child, or between parent and
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1 trustee for the benefit of a child or the spouse of such child,
2 or on a transfer between a grandparent and grandchild or the
3 spouse of such grandchild, or on a transfer between brother and
4 sister or brother and brother or sister and sister or the spouse
5 of such brother or sister, or on a transfer to a conservancy
6 which possesses a tax-exempt status pursuant to section
7 501(c)(3) of the Internal Revenue Code, and which has as its
8 primary purpose the preservation of land for historic,
9 recreational, scenic, agricultural or open space opportunities,
10 by and between a principal and straw party for the purpose of
11 placing a mortgage or ground rent upon the premises, or on a
12 correctional deed without consideration, or on a transfer to the
13 United States, the Commonwealth of Pennsylvania, or to any of
14 their instrumentalities, agencies or political subdivisions, by
15 gift, dedication or deed in lieu of condemnation, or deed of
16 confirmation in connection with condemnation proceedings, or
17 reconveyance by the condemning body of the property condemned to
18 the owner of record at the time of condemnation which
19 reconveyance may include property line adjustments provided said
20 reconveyance is made within one year from the date of
21 condemnation, leases, or on a conveyance to a trustee under a
22 recorded trust agreement for the express purpose of holding
23 title in trust as security for a debt contracted at the time of
24 the conveyance under which the trustee is not the lender and
25 requiring the trustee to make reconveyance to the grantor-
26 borrower upon the repayment of the debt, or a transfer within a
27 family from a sole proprietor family member to a family farm
28 corporation, or in any sheriff sale instituted by a mortgagee in
29 which the purchaser of said sheriff sale is the mortgagee who
30 instituted said sale, or on a privilege, transaction, subject,
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1 occupation or personal property which is now or does hereafter
2 become subject to a State tax or license fee;
3 (2) To levy, assess or collect a tax on the gross receipts
4 from utility service of any person or company whose rates and
5 services are fixed and regulated by the Pennsylvania Public
6 Utility Commission or on any public utility services rendered by
7 any such person or company or on any privilege or transaction
8 involving the rendering of any such public utility service;
9 (3) Except on sales of admission to places of amusement or
10 on sales or other transfers of title or possession of property,
11 to levy, assess or collect a tax on the privilege of employing
12 such tangible property as is now or does hereafter become
13 subject to a State tax; and for the purposes of this clause,
14 real property rented for camping purposes shall not be
15 considered a place of amusement.
16 (4) To levy, assess and collect a tax on goods and articles
17 manufactured in such political subdivision or on the by-products
18 of manufacture, or on minerals, timber, natural resources and
19 farm products produced in such political subdivision or on the
20 preparation or processing thereof for use or market, or on any
21 privilege, act or transaction related to the business of
22 manufacturing, the production, preparation or processing of
23 minerals, timber and natural resources, or farm products, by
24 manufacturers, by producers and by farmers with respect to the
25 goods, articles and products of their own manufacture,
26 production or growth, or on any privilege, act or transaction
27 relating to the business of processing by-products of
28 manufacture, or on the transportation, loading, unloading or
29 dumping or storage of such goods, articles, products or by-
30 products; except that local authorities may levy, assess and
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1 collect an emergency and municipal services tax and taxes on the
2 occupation, per capita and earned income or net profits of
3 natural persons engaged in the above activities whether doing
4 business as individual proprietorship or as members of
5 partnerships or other associations;
6 (5) To levy, assess or collect a tax on salaries, wages,
7 commissions, compensation and earned income of nonresidents of
8 the political subdivisions: Provided, That this limitation (5)
9 shall apply only to school districts of the second, third and
10 fourth classes;
11 (6) To levy, assess or collect a tax on personal property
12 subject to taxation by counties or on personal property owned by
13 persons, associations and corporations specifically exempted by
14 law from taxation under the county personal property tax law:
15 Provided, That this limitation (6) shall not apply to cities of
16 the second class;
17 (7) To levy, assess or collect a tax on membership in or
18 membership dues, fees or assessment of charitable, religious,
19 beneficial or nonprofit organizations including but not limited
20 to sportsmens, recreational, golf and tennis clubs, girl and boy
21 scout troops and councils;
22 (8) To levy, assess or collect any tax on a mobilehome or
23 house trailer subject to a real property tax unless the same tax
24 is levied, assessed and collected on other real property in the
25 political subdivision.
26 (9) To levy, assess or collect any tax on individuals for
27 the privilege of engaging in an occupation (emergency and
28 municipal services tax) except that such a tax may be levied,
29 assessed and collected only by the political subdivision of the
30 taxpayer's place of employment.
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1 Payment of any emergency and municipal services tax to any
2 political subdivision by any person pursuant to an ordinance or
3 resolution passed or adopted under the authority of this act
4 shall be no [less than ten dollars ($10)] more than twenty-five
5 percent of the tax levied on each person for any quarter in a
6 calendar year nor more than fifty-two dollars ($52) on each
7 person for each calendar year[.], irrespective of the number of
8 political subdivisions within which such person may be employed.
9 Notwithstanding any other provision of law, a taxpayer shall not
10 be liable for an amount of tax in excess of the tax authorized
11 to be collected under this clause. If a municipality does not
12 levy the emergency and municipal services tax, the school
13 district which includes such municipality boundaries, in whole
14 or in part, may levy the emergency and municipal services tax
15 and collect no more than ten dollars ($10) on each person for
16 each calendar year. If a municipality levies the emergency and
17 municipal services tax and the school district levies such tax,
18 the school district may only collect five dollars ($5) on each
19 person for each calendar year; and, subject to the quarterly
20 twenty-five percent limitation of this paragraph, this five
21 dollars ($5) per person shall be paid to the school district
22 from the funds levied and collected by the municipality.
23 The situs of such tax shall be the place of employment, but,
24 in the event a person is engaged in more than one occupation, or
25 an occupation which requires his working in more than one
26 political subdivision during the calendar year, the priority of
27 claim to collect such emergency and municipal services tax shall
28 be in the following order: first, the political subdivision in
29 which a person maintains his principal office or is principally
30 employed; second, the political subdivision in which the person
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1 resides and works, if such a tax is levied by that political
2 subdivision; third, the political subdivision in which a person
3 is employed and which imposes the tax nearest in miles to the
4 person's home. The place of employment shall be determined as of
5 the day the taxpayer first becomes subject to the tax [during
6 the calendar year.
7 It is the intent of this provision that no person shall pay
8 more than fifty-two dollars ($52) in any calendar year as an
9 emergency and municipal services tax irrespective of the number
10 of political subdivisions within which such person may be
11 employed within any given calendar year.] within a political
12 subdivision.
13 In case of dispute, a tax receipt of the [taxing authority]
14 political subdivision for that calendar year declaring that the
15 taxpayer has made prior payment which constitutes prima facie
16 certification of payment to all other political subdivisions.
17 (10) To levy, assess or collect a tax on admissions to
18 motion picture theatres: Provided, That this limitation (10)
19 shall not apply to cities of the second class.
20 (11) To levy, assess or collect a tax on the construction of
21 or improvement to residential dwellings or upon the application
22 for or issuance of permits for the construction of or
23 improvements to residential dwellings.
24 (12) To levy, assess and collect a mercantile or business
25 privilege tax on gross receipts or part thereof which are: (i)
26 discounts allowed to purchasers as cash discounts for prompt
27 payment of their bills; (ii) charges advanced by a seller for
28 freight, delivery or other transportation for the purchaser in
29 accordance with the terms of a contract of sale; (iii) received
30 upon the sale of an article of personal property which was
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1 acquired by the seller as a trade-in to the extent that the
2 gross receipts in the sale of the article taken in trade does
3 not exceed the amount of trade-in allowance made in acquiring
4 such article; (iv) refunds, credits or allowances given to a
5 purchaser on account of defects in goods sold or merchandise
6 returned; (v) Pennsylvania sales tax; (vi) based on the value of
7 exchanges or transfers between one seller and another seller who
8 transfers property with the understanding that property of an
9 identical description will be returned at a subsequent date;
10 however, when sellers engaged in similar lines of business
11 exchange property and one of them makes payment to the other in
12 addition to the property exchanged, the additional payment
13 received may be included in the gross receipts of the seller
14 receiving such additional cash payments; (vii) of sellers from
15 sales to other sellers in the same line where the seller
16 transfers the title or possession at the same price for which
17 the seller acquired the merchandise; or (viii) transfers between
18 one department, branch or division of a corporation or other
19 business entity of goods, wares and merchandise to another
20 department, branch or division of the same corporation or
21 business entity and which are recorded on the books to reflect
22 such interdepartmental transactions.
23 (13) To levy, assess or collect an amusement or admissions
24 tax on membership, membership dues, fees or assessments,
25 donations, contributions or monetary charges of any character
26 whatsoever paid by the general public, or a limited or selected
27 number thereof, for such persons to enter into any place,
28 indoors or outdoors, to engage in any activities, the
29 predominant purpose or nature of which is exercise, fitness,
30 health maintenance, improvement or rehabilitation, health or
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1 nutrition education, or weight control.
2 (14) Except by cities of the second class, to levy, assess
3 or collect a tax on payroll amounts generated as a result of
4 business activity.
5 (15) Except by cities of the second class in which a sports
6 stadium or arena that has received public funds in connection
7 with its construction or maintenance is located, to levy, assess
8 and collect a publicly funded facility usage fee upon those
9 nonresident individuals who use such facility to engage in an
10 athletic event or otherwise render a performance for which they
11 receive remuneration.
12 (16) To levy, assess or collect an amusement or admissions
13 tax on the charge imposed upon a patron for the sale of
14 admission to or for the privilege of admission to a bowling
15 alley or bowling lane to engage in one or more games of bowling.
16 Section 2. Section 9 of the act, amended December 12, 1968
17 (P.L.1203, No.377), is amended to read:
18 Section 9. Register for Earned Income and [Occupational
19 Privilege] Emergency and Municipal Services Taxes.--It shall be
20 the duty of the [Department of Community Affairs] Department of
21 Community and Economic Development to have available an official
22 continuing register supplemented annually of all earned income
23 and [occupational privilege] emergency and municipal services
24 taxes levied under authority of this act. The register and its
25 supplements, hereinafter referred to as the register, shall list
26 such jurisdictions levying earned income and/or [occupational
27 privilege] emergency and municipal services taxes, the rate of
28 the tax as stated in the tax levying ordinance or resolution,
29 and the effective rate on resident and nonresident taxpayers, if
30 different from the stated rate because of a coterminous levy,
20050S0157B1048 - 10 -
1 the name and address of the officer responsible for
2 administering the collection of the tax and from whom
3 information, forms for reporting and copies of rules and
4 regulations are available. With each jurisdiction listed, all
5 jurisdictions making coterminous levies shall also be noted and
6 their tax rates shown.
7 Information for the register shall be furnished by the
8 secretary of each taxing body to the [Department of Community
9 Affairs] Department of Community and Economic Development in
10 such manner and on such forms as the [Department of Community
11 Affairs] Department of Community and Economic Development may
12 prescribe. The information must be received by the [Department
13 of Community Affairs] Department of Community and Economic
14 Development by certified mail not later than May 31 of each year
15 to show new tax enactments, repeals and changes. Failure to
16 comply with this date for filing may result in the omission of
17 the levy from the register for that year. Failure of the
18 [Department of Community Affairs] Department of Community and
19 Economic Development to receive information of taxes continued
20 without change may be construed by the department to mean that
21 the information contained in the previous register remains in
22 force.
23 The [Department of Community Affairs] Department of Community
24 and Economic Development shall have the register with such
25 annual supplements as may be required by new tax enactments,
26 repeals or changes available upon request not later than July 1
27 of each year. The effective period for each register shall be
28 from July 1 of the year in which it is issued to June 30 of the
29 following year.
30 Employers shall not be required by any local ordinance to
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1 withhold from the wages, salaries, commissions or other
2 compensation of their employes any tax imposed under the
3 provisions of this act, which is not listed in the register, or
4 make reports of wages, salaries, commissions or other
5 compensation in connection with taxes not so listed: Provided,
6 That if the register is not available by July 1, the register of
7 the previous year shall continue temporarily in effect for an
8 additional period not to exceed one year. The provisions of this
9 section shall not affect the liability of any taxpayer for taxes
10 lawfully imposed under this act.
11 Ordinances or resolutions imposing earned income or
12 [occupational privilege] emergency and municipal services taxes
13 under authority of this act may contain provisions requiring
14 employers doing business within the jurisdiction of the
15 political subdivision imposing the tax to withhold the tax from
16 the compensation of those of their employes who are subject to
17 the tax: Provided, That no employer shall be held liable for
18 failure to withhold earned income taxes or for the payment of
19 such withheld tax money to a political subdivision other than
20 the political subdivision entitled to receive such money if such
21 failure to withhold or such incorrect transmittal of withheld
22 taxes arises from incorrect information as to the employe's
23 place of residence submitted by the employe: And provided
24 further, That employers shall not be required by any local
25 ordinance to withhold from compensation for any one of their
26 employes for the [occupational privilege] emergency and
27 municipal services tax more than one time in any [fiscal period]
28 quarter of the calendar year, and shall not be required to remit
29 such tax until thirty (30) days after the end of such quarter of
30 a calendar year: And provided further, That the [occupational
20050S0157B1048 - 12 -
1 privilege] emergency and municipal services tax shall be
2 applicable to employment in the period beginning January 1, of
3 the current year and ending December 31 of the current year,
4 except that taxes imposed for the first time shall become
5 effective from the date specified in the ordinance or
6 resolution, and the tax shall continue in force on a calendar
7 year basis.
8 Section 3. Section 22.5 of the act, added December 1, 2004
9 (P.L.1729, No.222), is amended to read:
10 Section 22.5. Restricted Use.--(a) Any municipality
11 deriving funds from the emergency and municipal services tax may
12 only use the funds for:
13 (1) police, fire and/or emergency services;
14 (2) road construction and/or maintenance; [or]
15 (3) reduction of property taxes[.]; or
16 (4) property tax relief through implementation of a
17 homestead and farmstead exclusion in accordance with 53 Pa.C.S.
18 Ch. 85 Subch. F (relating to homestead property exclusion).
19 (a.1) In the event that a municipality determines to
20 implement a homestead and farmstead exclusion for purposes of
21 providing property tax relief in accordance with subsection
22 (a)(4), the following shall apply:
23 (1) The decision to provide a homestead and farmstead
24 exclusion shall be made, by ordinance, prior to December 1, with
25 the homestead and farmstead exclusion to take effect for the
26 fiscal year beginning the first day of January following
27 adoption of the ordinance. Upon adopting an ordinance in
28 accordance with this paragraph, a municipality shall, by first
29 class mail, notify the assessor, as defined in 53 Pa.C.S. § 8582
30 (relating to definitions), of its decision to provide a
20050S0157B1048 - 13 -
1 homestead and farmstead exclusion.
2 (2) The assessor shall provide a municipality that will be
3 imposing a homestead and farmstead exclusion in accordance with
4 subsection (a)(4) with a certified report, as provided in 53
5 Pa.C.S. § 8584(i) (relating to administration and procedure),
6 listing information regarding homestead and farmstead properties
7 in the municipality as determined pursuant to applications filed
8 with the assessor in connection with this or any other law under
9 which a homestead or farmstead exclusion has been adopted. In
10 the year in which an ordinance is adopted in accordance with
11 paragraph (1), the assessor shall provide the certified report
12 after being notified by the municipality of its decision to
13 provide a homestead and farmstead exclusion. In each succeeding
14 year, the assessor shall provide the certified report by
15 December 1 or at the same time the tax duplicate is certified to
16 the municipality, whichever occurs first. Any duty placed on an
17 assessor in accordance with this paragraph shall be in addition
18 to those established in 53 Pa.C.S. Ch. 85 Subch. F and the act
19 of July 5, 2004 (P.L.654, No.72), known as the "Homeowner Tax
20 Relief Act."
21 (3) Only homestead or farmstead properties identified in the
22 certified report of the assessor obtained in any year shall be
23 eligible to receive the exclusion for the next fiscal year.
24 (4) In the year in which a municipality adopts the ordinance
25 evidencing its decision to implement a homestead and farmstead
26 exclusion, the municipality shall notify by first class mail the
27 owner of each parcel of residential property within the
28 municipality of each of the following:
29 (i) That the homestead and farmstead exclusion program is to
30 be implemented to provide property tax relief as authorized by
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1 subsection (a)(4), beginning in the next fiscal year.
2 (ii) That only properties currently identified in the
3 certified report of the assessor as having been approved in
4 whole or in part, as homestead or farmstead properties, shall be
5 entitled to an exclusion in the next fiscal year.
6 (iii) That owners of properties that have not been approved
7 by the assessor as homestead or farmstead properties may file an
8 application in accordance with 53 Pa.C.S. § 8584(a), by the
9 annual application deadline of March 1, in order to qualify for
10 the program in the year following the next fiscal year.
11 The one-time notice required by this paragraph may be combined
12 and made together with the annual notice required by paragraph
13 (6).
14 (5) Both in the year in which the initial decision to
15 provide a homestead and farmstead exclusion is to be made and in
16 each succeeding year, a municipality shall, by resolution, fix
17 the dollar amount that is to be excluded from the assessed value
18 of each homestead and farmstead property for the next fiscal
19 year, consistent with 53 Pa.C.S. §§ 8583 (relating to exclusion
20 of homestead property) and 8586 (relating to limitations). This
21 determination of the amount of the homestead and farmstead
22 exclusion shall be made, after receipt of the tax duplicate and
23 the certified report from the assessor, at the time the
24 governing body of a municipality determines the municipal budget
25 and estimates its emergency and municipal services tax revenues
26 for the next fiscal year.
27 (6) Each year after the year in which the municipality
28 implements a homestead and farmstead exclusion and no later than
29 sixty days prior to the application deadline, the municipality
30 shall give notice of the existence of the municipality's
20050S0157B1048 - 15 -
1 homestead and farmstead exclusion program, the need to file an
2 application in accordance with 53 Pa.C.S. § 8584(a) in order to
3 qualify for the program, and the application deadline, which, in
4 accordance with 53 Pa.C.S. § 8584(b), shall be March 1. This
5 annual notice, which shall be given by first class mail, need
6 only be sent to the owner of each parcel of residential property
7 in the municipality which is not approved as homestead or
8 farmstead property or for which the approval is due to expire.
9 (b) For the purpose of the emergency and municipal services
10 tax, the term municipality does not include a school district.
11 Section 4. This act shall apply to taxes levied for tax
12 years commencing on or after January 1, 2006.
13 Section 5. This act shall take effect January 1, 2006.
14 SECTION 1. SECTION 2 OF THE ACT OF DECEMBER 31, 1965 <--
15 (P.L.1257, NO.511), KNOWN AS THE LOCAL TAX ENABLING ACT, AMENDED
16 DECEMBER 1, 2004 (P.L.1729, NO.222), IS AMENDED TO READ:
17 SECTION 2. DELEGATION OF TAXING POWERS AND RESTRICTIONS
18 THEREON.--THE DULY CONSTITUTED AUTHORITIES OF THE FOLLOWING
19 POLITICAL SUBDIVISIONS, CITIES OF THE SECOND CLASS, CITIES OF
20 THE SECOND CLASS A, CITIES OF THE THIRD CLASS, BOROUGHS, TOWNS,
21 TOWNSHIPS OF THE FIRST CLASS, TOWNSHIPS OF THE SECOND CLASS,
22 SCHOOL DISTRICTS OF THE SECOND CLASS, SCHOOL DISTRICTS OF THE
23 THIRD CLASS, AND SCHOOL DISTRICTS OF THE FOURTH CLASS, IN ALL
24 CASES INCLUDING INDEPENDENT SCHOOL DISTRICTS, MAY, IN THEIR
25 DISCRETION, BY ORDINANCE OR RESOLUTION, FOR GENERAL REVENUE
26 PURPOSES, LEVY, ASSESS AND COLLECT OR PROVIDE FOR THE LEVYING,
27 ASSESSMENT AND COLLECTION OF SUCH TAXES AS THEY SHALL DETERMINE
28 ON PERSONS, TRANSACTIONS, OCCUPATIONS, PRIVILEGES, SUBJECTS AND
29 PERSONAL PROPERTY WITHIN THE LIMITS OF SUCH POLITICAL
30 SUBDIVISIONS, AND UPON THE TRANSFER OF REAL PROPERTY, OR OF ANY
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1 INTEREST IN REAL PROPERTY, SITUATE WITHIN THE POLITICAL
2 SUBDIVISION LEVYING AND ASSESSING THE TAX, REGARDLESS OF WHERE
3 THE INSTRUMENTS MAKING THE TRANSFERS ARE MADE, EXECUTED OR
4 DELIVERED OR WHERE THE ACTUAL SETTLEMENTS ON SUCH TRANSFER TAKE
5 PLACE. THE TAXING AUTHORITY MAY PROVIDE THAT THE TRANSFEREE
6 SHALL REMAIN LIABLE FOR ANY UNPAID REALTY TRANSFER TAXES IMPOSED
7 BY VIRTUE OF THIS ACT. EACH LOCAL TAXING AUTHORITY MAY, BY
8 ORDINANCE OR RESOLUTION, EXEMPT ANY PERSON WHOSE TOTAL INCOME
9 FROM ALL SOURCES IS LESS THAN TWELVE THOUSAND DOLLARS ($12,000)
10 PER ANNUM FROM THE PER CAPITA OR SIMILAR HEAD TAX, OCCUPATION
11 TAX AND [EMERGENCY AND MUNICIPAL SERVICES TAX] OCCUPATIONAL
12 PRIVILEGE TAX, OR EARNED INCOME TAX, OR ANY PORTION THEREOF, AND
13 MAY ADOPT REGULATIONS FOR THE PROCESSING OF CLAIMS FOR
14 EXEMPTIONS. EACH MUNICIPALITY SHALL BY ORDINANCE OR RESOLUTION
15 EXEMPT ANY PERSON WHOSE TOTAL INCOME FROM ALL SOURCES IS LESS
16 THAN TWELVE THOUSAND DOLLARS ($12,000) FOR THE IMMEDIATELY PRIOR
17 CALENDAR YEAR FROM THE MUNICIPAL SERVICES TAX. SUCH LOCAL
18 AUTHORITIES SHALL NOT HAVE AUTHORITY BY VIRTUE OF THIS ACT:
19 (1) TO LEVY, ASSESS AND COLLECT OR PROVIDE FOR THE LEVYING,
20 ASSESSMENT AND COLLECTION OF ANY TAX ON THE TRANSFER OF REAL
21 PROPERTY WHEN THE TRANSFER IS BY WILL OR MORTGAGE OR THE
22 INTESTATE LAWS OF THIS COMMONWEALTH OR ON A TRANSFER BY THE
23 OWNER OF PREVIOUSLY OCCUPIED RESIDENTIAL PREMISES TO A BUILDER
24 OF NEW RESIDENTIAL PREMISES WHEN SUCH PREVIOUSLY OCCUPIED
25 RESIDENTIAL PREMISES IS TAKEN IN TRADE BY SUCH BUILDER AS PART
26 OF THE CONSIDERATION FROM THE PURCHASER OF A NEW PREVIOUSLY
27 UNOCCUPIED SINGLE FAMILY RESIDENTIAL PREMISES OR ON A TRANSFER
28 BETWEEN CORPORATIONS OPERATING HOUSING PROJECTS PURSUANT TO THE
29 HOUSING AND REDEVELOPMENT ASSISTANCE LAW AND THE SHAREHOLDERS
30 THEREOF, OR ON A TRANSFER BETWEEN NONPROFIT INDUSTRIAL
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1 DEVELOPMENT AGENCIES AND INDUSTRIAL CORPORATIONS PURCHASING FROM
2 THEM, OR ON TRANSFER TO OR FROM NONPROFIT INDUSTRIAL DEVELOPMENT
3 AGENCIES, OR ON A TRANSFER BETWEEN HUSBAND AND WIFE, OR ON A
4 TRANSFER BETWEEN PERSONS WHO WERE PREVIOUSLY HUSBAND AND WIFE
5 BUT WHO HAVE SINCE BEEN DIVORCED; PROVIDED SUCH TRANSFER IS MADE
6 WITHIN THREE MONTHS OF THE DATE OF THE GRANTING OF THE FINAL
7 DECREE IN DIVORCE, OR THE DECREE OF EQUITABLE DISTRIBUTION OF
8 MARITAL PROPERTY, WHICHEVER IS LATER, AND THE PROPERTY OR
9 INTEREST THEREIN, SUBJECT TO SUCH TRANSFER, WAS ACQUIRED BY THE
10 HUSBAND AND WIFE, OR HUSBAND OR WIFE, PRIOR TO THE GRANTING OF
11 THE FINAL DECREE IN DIVORCE, OR ON A TRANSFER BETWEEN PARENT AND
12 CHILD OR THE SPOUSE OF SUCH A CHILD, OR BETWEEN PARENT AND
13 TRUSTEE FOR THE BENEFIT OF A CHILD OR THE SPOUSE OF SUCH CHILD,
14 OR ON A TRANSFER BETWEEN A GRANDPARENT AND GRANDCHILD OR THE
15 SPOUSE OF SUCH GRANDCHILD, OR ON A TRANSFER BETWEEN BROTHER AND
16 SISTER OR BROTHER AND BROTHER OR SISTER AND SISTER OR THE SPOUSE
17 OF SUCH BROTHER OR SISTER, OR ON A TRANSFER TO A CONSERVANCY
18 WHICH POSSESSES A TAX-EXEMPT STATUS PURSUANT TO SECTION
19 501(C)(3) OF THE INTERNAL REVENUE CODE, AND WHICH HAS AS ITS
20 PRIMARY PURPOSE THE PRESERVATION OF LAND FOR HISTORIC,
21 RECREATIONAL, SCENIC, AGRICULTURAL OR OPEN SPACE OPPORTUNITIES,
22 BY AND BETWEEN A PRINCIPAL AND STRAW PARTY FOR THE PURPOSE OF
23 PLACING A MORTGAGE OR GROUND RENT UPON THE PREMISES, OR ON A
24 CORRECTIONAL DEED WITHOUT CONSIDERATION, OR ON A TRANSFER TO THE
25 UNITED STATES, THE COMMONWEALTH OF PENNSYLVANIA, OR TO ANY OF
26 THEIR INSTRUMENTALITIES, AGENCIES OR POLITICAL SUBDIVISIONS, BY
27 GIFT, DEDICATION OR DEED IN LIEU OF CONDEMNATION, OR DEED OF
28 CONFIRMATION IN CONNECTION WITH CONDEMNATION PROCEEDINGS, OR
29 RECONVEYANCE BY THE CONDEMNING BODY OF THE PROPERTY CONDEMNED TO
30 THE OWNER OF RECORD AT THE TIME OF CONDEMNATION WHICH
20050S0157B1048 - 18 -
1 RECONVEYANCE MAY INCLUDE PROPERTY LINE ADJUSTMENTS PROVIDED SAID
2 RECONVEYANCE IS MADE WITHIN ONE YEAR FROM THE DATE OF
3 CONDEMNATION, LEASES, OR ON A CONVEYANCE TO A TRUSTEE UNDER A
4 RECORDED TRUST AGREEMENT FOR THE EXPRESS PURPOSE OF HOLDING
5 TITLE IN TRUST AS SECURITY FOR A DEBT CONTRACTED AT THE TIME OF
6 THE CONVEYANCE UNDER WHICH THE TRUSTEE IS NOT THE LENDER AND
7 REQUIRING THE TRUSTEE TO MAKE RECONVEYANCE TO THE GRANTOR-
8 BORROWER UPON THE REPAYMENT OF THE DEBT, OR A TRANSFER WITHIN A
9 FAMILY FROM A SOLE PROPRIETOR FAMILY MEMBER TO A FAMILY FARM
10 CORPORATION, OR IN ANY SHERIFF SALE INSTITUTED BY A MORTGAGEE IN
11 WHICH THE PURCHASER OF SAID SHERIFF SALE IS THE MORTGAGEE WHO
12 INSTITUTED SAID SALE, OR ON A PRIVILEGE, TRANSACTION, SUBJECT,
13 OCCUPATION OR PERSONAL PROPERTY WHICH IS NOW OR DOES HEREAFTER
14 BECOME SUBJECT TO A STATE TAX OR LICENSE FEE;
15 (2) TO LEVY, ASSESS OR COLLECT A TAX ON THE GROSS RECEIPTS
16 FROM UTILITY SERVICE OF ANY PERSON OR COMPANY WHOSE RATES AND
17 SERVICES ARE FIXED AND REGULATED BY THE PENNSYLVANIA PUBLIC
18 UTILITY COMMISSION OR ON ANY PUBLIC UTILITY SERVICES RENDERED BY
19 ANY SUCH PERSON OR COMPANY OR ON ANY PRIVILEGE OR TRANSACTION
20 INVOLVING THE RENDERING OF ANY SUCH PUBLIC UTILITY SERVICE;
21 (3) EXCEPT ON SALES OF ADMISSION TO PLACES OF AMUSEMENT OR
22 ON SALES OR OTHER TRANSFERS OF TITLE OR POSSESSION OF PROPERTY,
23 TO LEVY, ASSESS OR COLLECT A TAX ON THE PRIVILEGE OF EMPLOYING
24 SUCH TANGIBLE PROPERTY AS IS NOW OR DOES HEREAFTER BECOME
25 SUBJECT TO A STATE TAX; AND FOR THE PURPOSES OF THIS CLAUSE,
26 REAL PROPERTY RENTED FOR CAMPING PURPOSES SHALL NOT BE
27 CONSIDERED A PLACE OF AMUSEMENT.
28 (4) TO LEVY, ASSESS AND COLLECT A TAX ON GOODS AND ARTICLES
29 MANUFACTURED IN SUCH POLITICAL SUBDIVISION OR ON THE BY-PRODUCTS
30 OF MANUFACTURE, OR ON MINERALS, TIMBER, NATURAL RESOURCES AND
20050S0157B1048 - 19 -
1 FARM PRODUCTS PRODUCED IN SUCH POLITICAL SUBDIVISION OR ON THE
2 PREPARATION OR PROCESSING THEREOF FOR USE OR MARKET, OR ON ANY
3 PRIVILEGE, ACT OR TRANSACTION RELATED TO THE BUSINESS OF
4 MANUFACTURING, THE PRODUCTION, PREPARATION OR PROCESSING OF
5 MINERALS, TIMBER AND NATURAL RESOURCES, OR FARM PRODUCTS, BY
6 MANUFACTURERS, BY PRODUCERS AND BY FARMERS WITH RESPECT TO THE
7 GOODS, ARTICLES AND PRODUCTS OF THEIR OWN MANUFACTURE,
8 PRODUCTION OR GROWTH, OR ON ANY PRIVILEGE, ACT OR TRANSACTION
9 RELATING TO THE BUSINESS OF PROCESSING BY-PRODUCTS OF
10 MANUFACTURE, OR ON THE TRANSPORTATION, LOADING, UNLOADING OR
11 DUMPING OR STORAGE OF SUCH GOODS, ARTICLES, PRODUCTS OR BY-
12 PRODUCTS; EXCEPT THAT LOCAL AUTHORITIES MAY LEVY, ASSESS AND
13 COLLECT [AN EMERGENCY AND] A MUNICIPAL SERVICES TAX AND TAXES ON
14 THE OCCUPATION, PER CAPITA AND EARNED INCOME OR NET PROFITS OF
15 NATURAL PERSONS ENGAGED IN THE ABOVE ACTIVITIES WHETHER DOING
16 BUSINESS AS INDIVIDUAL PROPRIETORSHIP OR AS MEMBERS OF
17 PARTNERSHIPS OR OTHER ASSOCIATIONS;
18 (5) TO LEVY, ASSESS OR COLLECT A TAX ON SALARIES, WAGES,
19 COMMISSIONS, COMPENSATION AND EARNED INCOME OF NONRESIDENTS OF
20 THE POLITICAL SUBDIVISIONS: PROVIDED, THAT THIS LIMITATION (5)
21 SHALL APPLY ONLY TO SCHOOL DISTRICTS OF THE SECOND, THIRD AND
22 FOURTH CLASSES;
23 (6) TO LEVY, ASSESS OR COLLECT A TAX ON PERSONAL PROPERTY
24 SUBJECT TO TAXATION BY COUNTIES OR ON PERSONAL PROPERTY OWNED BY
25 PERSONS, ASSOCIATIONS AND CORPORATIONS SPECIFICALLY EXEMPTED BY
26 LAW FROM TAXATION UNDER THE COUNTY PERSONAL PROPERTY TAX LAW:
27 PROVIDED, THAT THIS LIMITATION (6) SHALL NOT APPLY TO CITIES OF
28 THE SECOND CLASS;
29 (7) TO LEVY, ASSESS OR COLLECT A TAX ON MEMBERSHIP IN OR
30 MEMBERSHIP DUES, FEES OR ASSESSMENT OF CHARITABLE, RELIGIOUS,
20050S0157B1048 - 20 -
1 BENEFICIAL OR NONPROFIT ORGANIZATIONS INCLUDING BUT NOT LIMITED
2 TO SPORTSMENS, RECREATIONAL, GOLF AND TENNIS CLUBS, GIRL AND BOY
3 SCOUT TROOPS AND COUNCILS;
4 (8) TO LEVY, ASSESS OR COLLECT ANY TAX ON A MOBILEHOME OR
5 HOUSE TRAILER SUBJECT TO A REAL PROPERTY TAX UNLESS THE SAME TAX
6 IS LEVIED, ASSESSED AND COLLECTED ON OTHER REAL PROPERTY IN THE
7 POLITICAL SUBDIVISION.
8 (9) TO LEVY, ASSESS OR COLLECT ANY TAX ON INDIVIDUALS FOR
9 THE PRIVILEGE OF ENGAGING IN AN OCCUPATION ([EMERGENCY AND]
10 MUNICIPAL SERVICES TAX) EXCEPT THAT SUCH A TAX MAY BE LEVIED,
11 ASSESSED AND COLLECTED ONLY BY THE [POLITICAL SUBDIVISION]
12 MUNICIPALITY OF THE TAXPAYER'S PLACE OF PRIMARY EMPLOYMENT.
13 PAYMENT OF ANY [EMERGENCY AND] MUNICIPAL SERVICES TAX TO ANY
14 [POLITICAL SUBDIVISION] MUNICIPALITY BY ANY PERSON PURSUANT TO
15 AN ORDINANCE OR RESOLUTION PASSED OR ADOPTED UNDER THE AUTHORITY
16 OF THIS ACT SHALL BE NO [LESS THAN TEN DOLLARS ($10) NOR] MORE
17 THAN FIFTY-TWO DOLLARS ($52) ON EACH PERSON [FOR EACH] DURING A
18 CALENDAR YEAR[.] WITHOUT REGARD TO THE NUMBER OF MUNICIPALITIES
19 WITHIN WHICH A PERSON MAY BE EMPLOYED DURING A CALENDAR YEAR.
20 NOTWITHSTANDING ANY OTHER PROVISION OF LAW, A TAXPAYER SHALL NOT
21 BE LIABLE FOR AN AMOUNT OF TAX IN EXCESS OF THE TAX AUTHORIZED
22 TO BE COLLECTED UNDER THIS CLAUSE.
23 A SCHOOL DISTRICT MAY NOT LEVY A MUNICIPAL SERVICES TAX UNDER
24 THIS ACT.
25 IF A MUNICIPALITY LEVIES THE MUNICIPAL SERVICES TAX AT AN
26 AMOUNT GREATER THAN TEN DOLLARS ($10) PER ANNUM, IT SHALL
27 REQUIRE THE EMPLOYER TO WITHHOLD THE MUNICIPAL SERVICES TAX ON A
28 PRO RATA BASIS DETERMINED BY THE NUMBER OF PAYROLL PERIODS
29 ESTABLISHED BY THE EMPLOYER FOR A CALENDAR YEAR. NOTHING UNDER
30 THIS CLAUSE SHALL BE CONSTRUED TO PROHIBIT EMPLOYES FROM
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1 ENTERING INTO AN AGREEMENT WITH THEIR EMPLOYER TO MAKE PAYMENT
2 OF THE MUNICIPAL SERVICES TAX IN FULL AT THE TIME OF THE FIRST
3 WITHHOLDING OF THE MUNICIPAL SERVICES TAX.
4 THE SITUS OF SUCH TAX SHALL BE THE PLACE OF PRIMARY
5 EMPLOYMENT, BUT, IN THE EVENT A PERSON IS ENGAGED IN MORE THAN
6 ONE OCCUPATION, [OR AN OCCUPATION WHICH REQUIRES HIS WORKING IN
7 MORE THAN ONE POLITICAL SUBDIVISION DURING THE CALENDAR YEAR,]
8 THE PRIORITY OF CLAIM TO COLLECT SUCH [EMERGENCY AND] MUNICIPAL
9 SERVICES TAX SHALL BE [IN THE FOLLOWING ORDER: FIRST,] THE
10 POLITICAL SUBDIVISION IN WHICH A PERSON MAINTAINS HIS PRINCIPAL
11 OFFICE OR IS PRINCIPALLY EMPLOYED.[; SECOND, THE POLITICAL
12 SUBDIVISION IN WHICH THE PERSON RESIDES AND WORKS, IF SUCH A TAX
13 IS LEVIED BY THAT POLITICAL SUBDIVISION; THIRD, THE POLITICAL
14 SUBDIVISION IN WHICH A PERSON IS EMPLOYED AND WHICH IMPOSES THE
15 TAX NEAREST IN MILES TO THE PERSON'S HOME. THE PLACE OF
16 EMPLOYMENT SHALL BE DETERMINED AS OF THE DAY THE TAXPAYER FIRST
17 BECOMES SUBJECT TO THE TAX DURING THE CALENDAR YEAR.
18 IT IS THE INTENT OF THIS PROVISION THAT NO PERSON SHALL PAY
19 MORE THAN FIFTY-TWO DOLLARS ($52) IN ANY CALENDAR YEAR AS AN
20 EMERGENCY AND MUNICIPAL SERVICES TAX IRRESPECTIVE OF THE NUMBER
21 OF POLITICAL SUBDIVISIONS WITHIN WHICH SUCH PERSON MAY BE
22 EMPLOYED WITHIN ANY GIVEN CALENDAR YEAR.] NO TAXPAYER SHALL BE
23 SUBJECT TO THE COLLECTION OF THE MUNICIPAL SERVICES TAX BY MORE
24 THAN ONE MUNICIPALITY DURING A PAYROLL PERIOD AS ESTABLISHED BY
25 THE TAXPAYER'S PRIMARY EMPLOYER LOCATED IN THE MUNICIPALITY IN
26 WHICH THE TAXPAYER MAINTAINS THE TAXPAYER'S PRIMARY EMPLOYMENT.
27 IT IS THE INTENT OF THIS PROVISION THAT NO TAXPAYER BE SUBJECT
28 TO THE COLLECTION OF THE MUNICIPAL SERVICES TAX BY MORE THAN ONE
29 MUNICIPALITY DURING A PAYROLL PERIOD.
30 IN CASE OF DISPUTE, A TAX RECEIPT OF THE TAXING AUTHORITY
20050S0157B1048 - 22 -
1 [FOR THAT CALENDAR YEAR] OR PROOF OF EMPLOYER WITHHOLDING FOR
2 THE PAYROLL PERIOD DECLARING THAT THE TAXPAYER HAS MADE PRIOR
3 PAYMENT WHICH CONSTITUTES PRIMA FACIE CERTIFICATION OF PAYMENT
4 TO ALL OTHER POLITICAL SUBDIVISIONS.
5 (9.1) TO LEVY, ASSESS OR COLLECT ANY TAX ON INDIVIDUALS FOR
6 THE PRIVILEGE OF ENGAGING IN AN OCCUPATION (OCCUPATION PRIVILEGE
7 TAX) EXCEPT THAT SUCH A TAX MAY ONLY BE LEVIED, ASSESSED OR
8 COLLECTED BY THE SCHOOL DISTRICT OF THE TAXPAYER'S PRINCIPAL
9 EMPLOYMENT. THE LEVYING OF THE OCCUPATION PRIVILEGE TAX SHALL
10 NOT EXCEED THE RATE OF MUNICIPAL SERVICES TAX LEVIED BY THE
11 SCHOOL DISTRICT IN CALENDAR YEAR 2005. ANY SCHOOL DISTRICT THAT
12 DID NOT SHARE IN LEVYING OF THE MUNICIPAL SERVICES TAX IN
13 CALENDAR YEAR 2005 SHALL BE PROHIBITED FROM LEVYING THE
14 OCCUPATION PRIVILEGE TAX. THE TAXPAYER SHALL RECEIVE A CREDIT
15 AGAINST THE MUNICIPAL SERVICES TAX LEVIED BY A MUNICIPALITY
16 EQUAL TO THE AMOUNT BY WHICH THE SUM OF THE MUNICIPAL SERVICE
17 TAX LEVIED BY THE MUNICIPALITY PLUS THE OCCUPATION PRIVILEGE TAX
18 LEVIED BY A SCHOOL DISTRICT EXCEEDS FIFTY-TWO DOLLARS ($52).
19 (10) TO LEVY, ASSESS OR COLLECT A TAX ON ADMISSIONS TO
20 MOTION PICTURE THEATRES: PROVIDED, THAT THIS LIMITATION (10)
21 SHALL NOT APPLY TO CITIES OF THE SECOND CLASS.
22 (11) TO LEVY, ASSESS OR COLLECT A TAX ON THE CONSTRUCTION OF
23 OR IMPROVEMENT TO RESIDENTIAL DWELLINGS OR UPON THE APPLICATION
24 FOR OR ISSUANCE OF PERMITS FOR THE CONSTRUCTION OF OR
25 IMPROVEMENTS TO RESIDENTIAL DWELLINGS.
26 (12) TO LEVY, ASSESS AND COLLECT A MERCANTILE OR BUSINESS
27 PRIVILEGE TAX ON GROSS RECEIPTS OR PART THEREOF WHICH ARE: (I)
28 DISCOUNTS ALLOWED TO PURCHASERS AS CASH DISCOUNTS FOR PROMPT
29 PAYMENT OF THEIR BILLS; (II) CHARGES ADVANCED BY A SELLER FOR
30 FREIGHT, DELIVERY OR OTHER TRANSPORTATION FOR THE PURCHASER IN
20050S0157B1048 - 23 -
1 ACCORDANCE WITH THE TERMS OF A CONTRACT OF SALE; (III) RECEIVED
2 UPON THE SALE OF AN ARTICLE OF PERSONAL PROPERTY WHICH WAS
3 ACQUIRED BY THE SELLER AS A TRADE-IN TO THE EXTENT THAT THE
4 GROSS RECEIPTS IN THE SALE OF THE ARTICLE TAKEN IN TRADE DOES
5 NOT EXCEED THE AMOUNT OF TRADE-IN ALLOWANCE MADE IN ACQUIRING
6 SUCH ARTICLE; (IV) REFUNDS, CREDITS OR ALLOWANCES GIVEN TO A
7 PURCHASER ON ACCOUNT OF DEFECTS IN GOODS SOLD OR MERCHANDISE
8 RETURNED; (V) PENNSYLVANIA SALES TAX; (VI) BASED ON THE VALUE OF
9 EXCHANGES OR TRANSFERS BETWEEN ONE SELLER AND ANOTHER SELLER WHO
10 TRANSFERS PROPERTY WITH THE UNDERSTANDING THAT PROPERTY OF AN
11 IDENTICAL DESCRIPTION WILL BE RETURNED AT A SUBSEQUENT DATE;
12 HOWEVER, WHEN SELLERS ENGAGED IN SIMILAR LINES OF BUSINESS
13 EXCHANGE PROPERTY AND ONE OF THEM MAKES PAYMENT TO THE OTHER IN
14 ADDITION TO THE PROPERTY EXCHANGED, THE ADDITIONAL PAYMENT
15 RECEIVED MAY BE INCLUDED IN THE GROSS RECEIPTS OF THE SELLER
16 RECEIVING SUCH ADDITIONAL CASH PAYMENTS; (VII) OF SELLERS FROM
17 SALES TO OTHER SELLERS IN THE SAME LINE WHERE THE SELLER
18 TRANSFERS THE TITLE OR POSSESSION AT THE SAME PRICE FOR WHICH
19 THE SELLER ACQUIRED THE MERCHANDISE; OR (VIII) TRANSFERS BETWEEN
20 ONE DEPARTMENT, BRANCH OR DIVISION OF A CORPORATION OR OTHER
21 BUSINESS ENTITY OF GOODS, WARES AND MERCHANDISE TO ANOTHER
22 DEPARTMENT, BRANCH OR DIVISION OF THE SAME CORPORATION OR
23 BUSINESS ENTITY AND WHICH ARE RECORDED ON THE BOOKS TO REFLECT
24 SUCH INTERDEPARTMENTAL TRANSACTIONS.
25 (13) TO LEVY, ASSESS OR COLLECT AN AMUSEMENT OR ADMISSIONS
26 TAX ON MEMBERSHIP, MEMBERSHIP DUES, FEES OR ASSESSMENTS,
27 DONATIONS, CONTRIBUTIONS OR MONETARY CHARGES OF ANY CHARACTER
28 WHATSOEVER PAID BY THE GENERAL PUBLIC, OR A LIMITED OR SELECTED
29 NUMBER THEREOF, FOR SUCH PERSONS TO ENTER INTO ANY PLACE,
30 INDOORS OR OUTDOORS, TO ENGAGE IN ANY ACTIVITIES, THE
20050S0157B1048 - 24 -
1 PREDOMINANT PURPOSE OR NATURE OF WHICH IS EXERCISE, FITNESS,
2 HEALTH MAINTENANCE, IMPROVEMENT OR REHABILITATION, HEALTH OR
3 NUTRITION EDUCATION, OR WEIGHT CONTROL.
4 (14) EXCEPT BY CITIES OF THE SECOND CLASS, TO LEVY, ASSESS
5 OR COLLECT A TAX ON PAYROLL AMOUNTS GENERATED AS A RESULT OF
6 BUSINESS ACTIVITY.
7 (15) EXCEPT BY CITIES OF THE SECOND CLASS IN WHICH A SPORTS
8 STADIUM OR ARENA THAT HAS RECEIVED PUBLIC FUNDS IN CONNECTION
9 WITH ITS CONSTRUCTION OR MAINTENANCE IS LOCATED, TO LEVY, ASSESS
10 AND COLLECT A PUBLICLY FUNDED FACILITY USAGE FEE UPON THOSE
11 NONRESIDENT INDIVIDUALS WHO USE SUCH FACILITY TO ENGAGE IN AN
12 ATHLETIC EVENT OR OTHERWISE RENDER A PERFORMANCE FOR WHICH THEY
13 RECEIVE REMUNERATION.
14 (16) TO LEVY, ASSESS OR COLLECT AN AMUSEMENT OR ADMISSIONS
15 TAX ON THE CHARGE IMPOSED UPON A PATRON FOR THE SALE OF
16 ADMISSION TO OR FOR THE PRIVILEGE OF ADMISSION TO A BOWLING
17 ALLEY OR BOWLING LANE TO ENGAGE IN ONE OR MORE GAMES OF BOWLING.
18 SECTION 2. SECTION 7 OF THE ACT, AMENDED AUGUST 11, 1967
19 (P.L.228, NO.83) AND OCTOBER 9, 1967 (P.L.361, NO.160), IS
20 AMENDED TO READ:
21 SECTION 7. FILING OF CERTIFIED COPIES OF ORDINANCES AND
22 RESOLUTIONS.--WHEN AN ORDINANCE OR A RESOLUTION IS FIRST PASSED
23 OR ADOPTED BY A POLITICAL SUBDIVISION IMPOSING A TAX OR LICENSE
24 FEE UNDER THE AUTHORITY OF THIS ACT, AN EXACT PRINTED OR
25 TYPEWRITTEN COPY THEREOF, CERTIFIED TO BY THE SECRETARY OF THE
26 TAXING BODY, SHALL BE FILED WITH THE [DEPARTMENT OF COMMUNITY
27 AFFAIRS] DEPARTMENT OF COMMUNITY AND ECONOMIC DEVELOPMENT WITHIN
28 FIFTEEN DAYS AFTER THE SAME BECOMES EFFECTIVE.
29 ANY SECRETARY OR PERSON ACTING AS THE CLERK OR SECRETARY OF
30 THE TAXING BODY OF ANY POLITICAL SUBDIVISION DURING THE MEETING
20050S0157B1048 - 25 -
1 AT WHICH AN ORDINANCE OR RESOLUTION IMPOSING A TAX OR LICENSE
2 FEE IS PASSED OR ADOPTED AS HEREIN PROVIDED WHO SHALL FAIL TO
3 FILE THE CERTIFIED COPY OR STATEMENT RELATIVE THERETO WITH THE
4 [DEPARTMENT OF COMMUNITY AFFAIRS] DEPARTMENT OF COMMUNITY AND
5 ECONOMIC DEVELOPMENT AS HEREIN REQUIRED, SHALL, UPON SUMMARY
6 CONVICTION THEREOF IN THE COUNTY IN WHICH THE POLITICAL
7 SUBDIVISION IS LOCATED, BE SENTENCED TO PAY A FINE OF NOT LESS
8 THAN FIVE DOLLARS ($5) NOR MORE THAN TWENTY-FIVE DOLLARS ($25),
9 AND THE COSTS OF PROSECUTION.
10 SECTION 3. SECTION 8 OF THE ACT, AMENDED DECEMBER 1, 2004
11 (P.L.1729, NO.222), IS AMENDED TO READ:
12 SECTION 8. LIMITATIONS ON RATES OF SPECIFIC TAXES.--NO TAXES
13 LEVIED UNDER THE PROVISIONS OF THIS ACT SHALL BE LEVIED BY ANY
14 POLITICAL SUBDIVISION ON THE FOLLOWING SUBJECTS EXCEEDING THE
15 RATES SPECIFIED IN THIS SECTION:
16 (1) PER CAPITA, POLL OR OTHER SIMILAR HEAD TAXES, TEN
17 DOLLARS ($10).
18 (2) ON EACH DOLLAR OF THE WHOLE VOLUME OF BUSINESS
19 TRANSACTED BY WHOLESALE DEALERS IN GOODS, WARES AND MERCHANDISE,
20 ONE MILL, BY RETAIL DEALERS IN GOODS, WARES AND MERCHANDISE AND
21 BY PROPRIETORS OF RESTAURANTS OR OTHER PLACES WHERE FOOD, DRINK
22 AND REFRESHMENTS ARE SERVED, ONE AND ONE-HALF MILLS; EXCEPT IN
23 CITIES OF THE SECOND CLASS, WHERE RATES SHALL NOT EXCEED ONE
24 MILL ON WHOLESALE DEALERS AND TWO MILLS ON RETAIL DEALERS AND
25 PROPRIETORS. NO SUCH TAX SHALL BE LEVIED ON THE DOLLAR VOLUME OF
26 BUSINESS TRANSACTED BY WHOLESALE AND RETAIL DEALERS DERIVED FROM
27 THE RESALE OF GOODS, WARES AND MERCHANDISE, TAKEN BY ANY DEALER
28 AS A TRADE-IN OR AS PART PAYMENT FOR OTHER GOODS, WARES AND
29 MERCHANDISE, EXCEPT TO THE EXTENT THAT THE RESALE PRICE EXCEEDS
30 THE TRADE-IN ALLOWANCE.
20050S0157B1048 - 26 -
1 (3) ON WAGES, SALARIES, COMMISSIONS AND OTHER EARNED INCOME
2 OF INDIVIDUALS, ONE PERCENT.
3 (4) ON RETAIL SALES INVOLVING THE TRANSFER OF TITLE OR
4 POSSESSION OF TANGIBLE PERSONAL PROPERTY, TWO PERCENT.
5 (5) ON THE TRANSFER OF REAL PROPERTY, ONE PERCENT.
6 (6) ON ADMISSIONS TO PLACES OF AMUSEMENT, ATHLETIC EVENTS
7 AND THE LIKE, AND ON MOTION PICTURE THEATRES IN CITIES OF THE
8 SECOND CLASS, TEN PERCENT.
9 (7) FLAT RATE OCCUPATION TAXES NOT USING A MILLAGE OR
10 PERCENTAGE AS A BASIS, TEN DOLLARS ($10).
11 (8) [EMERGENCY AND MUNICIPAL] MUNICIPAL SERVICES TAXES,
12 FIFTY-TWO DOLLARS ($52).
13 (9) ON ADMISSIONS TO SKI FACILITIES, TEN PERCENT. THE TAX
14 BASE UPON WHICH THE TAX SHALL BE LEVIED SHALL NOT EXCEED FORTY
15 PERCENT OF THE COST OF THE LIFT TICKET. THE LIFT TICKET SHALL
16 INCLUDE ALL COSTS OF ADMISSIONS TO THE SKI FACILITY.
17 (10) ON ADMISSIONS TO GOLF COURSES, TEN PERCENT. THE TAX
18 BASE UPON WHICH THE TAX SHALL BE LEVIED SHALL NOT EXCEED FORTY
19 PERCENT OF THE GREENS FEE. THE GREENS FEE SHALL INCLUDE ALL
20 COSTS OF ADMISSIONS TO THE GOLF COURSE.
21 (12) ON PAYROLLS, FIFTY-FIVE HUNDREDTHS PERCENT.
22 EXCEPT AS OTHERWISE PROVIDED IN THIS ACT, AT ANY TIME TWO
23 POLITICAL SUBDIVISIONS SHALL IMPOSE ANY ONE OF THE ABOVE TAXES
24 ON THE SAME PERSON, SUBJECT, BUSINESS, TRANSACTION OR PRIVILEGE,
25 LOCATED WITHIN BOTH SUCH POLITICAL SUBDIVISIONS, DURING THE SAME
26 YEAR OR PART OF THE SAME YEAR, UNDER THE AUTHORITY OF THIS ACT
27 THEN THE TAX LEVIED BY A POLITICAL SUBDIVISION UNDER THE
28 AUTHORITY OF THIS ACT SHALL, DURING THE TIME SUCH DUPLICATION OF
29 THE TAX EXISTS, EXCEPT AS HEREINAFTER OTHERWISE PROVIDED, BE
30 ONE-HALF OF THE RATE, AS ABOVE LIMITED, AND SUCH ONE-HALF RATE
20050S0157B1048 - 27 -
1 SHALL BECOME EFFECTIVE BY VIRTUE OF THE REQUIREMENTS OF THIS ACT
2 FROM THE DAY SUCH DUPLICATION BECOMES EFFECTIVE WITHOUT ANY
3 ACTION ON THE PART OF THE POLITICAL SUBDIVISION IMPOSING THE TAX
4 UNDER THE AUTHORITY OF THIS ACT. WHEN ANY ONE OF THE ABOVE TAXES
5 HAS BEEN LEVIED UNDER THE PROVISIONS OF THIS ACT BY ONE
6 POLITICAL SUBDIVISION AND A SUBSEQUENT LEVY IS MADE EITHER FOR
7 THE FIRST TIME OR IS REVIVED AFTER A LAPSE OF TIME BY ANOTHER
8 POLITICAL SUBDIVISION ON THE SAME PERSON, SUBJECT, BUSINESS,
9 TRANSACTION OR PRIVILEGE AT A RATE THAT WOULD MAKE THE COMBINED
10 LEVIES EXCEED THE LIMIT ALLOWED BY THIS SUBDIVISION, THE TAX OF
11 THE SECOND POLITICAL SUBDIVISION SHALL NOT BECOME EFFECTIVE
12 UNTIL THE END OF THE FISCAL YEAR FOR WHICH THE PRIOR TAX WAS
13 LEVIED, UNLESS:
14 (1) NOTICE INDICATING ITS INTENTION TO MAKE SUCH LEVY IS
15 GIVEN TO THE FIRST TAXING BODY BY THE SECOND TAXING BODY AS
16 FOLLOWS: (I) WHEN THE NOTICE IS GIVEN TO A SCHOOL DISTRICT IT
17 SHALL BE GIVEN AT LEAST FORTY-FIVE DAYS PRIOR TO THE LAST DAY
18 FIXED BY LAW FOR THE LEVY OF ITS SCHOOL TAXES; (II) WHEN GIVEN
19 TO ANY OTHER POLITICAL SUBDIVISION IT SHALL BE PRIOR TO THE
20 FIRST DAY OF JANUARY IMMEDIATELY PRECEDING, OR IF A LAST DAY FOR
21 THE ADOPTION OF THE BUDGET IS FIXED BY LAW, AT LEAST FORTY-FIVE
22 DAYS PRIOR TO SUCH LAST DAY; OR
23 (2) UNLESS THE FIRST TAXING BODY SHALL INDICATE BY
24 APPROPRIATE RESOLUTION ITS DESIRE TO WAIVE NOTICE REQUIREMENTS
25 IN WHICH CASE THE LEVY OF THE SECOND TAXING BODY SHALL BECOME
26 EFFECTIVE ON SUCH DATE AS MAY BE AGREED UPON BY THE TWO TAXING
27 BODIES.
28 IT IS THE INTENT AND PURPOSE OF THIS PROVISION TO LIMIT RATES
29 OF TAXES REFERRED TO IN THIS SECTION SO THAT THE ENTIRE BURDEN
30 OF ONE TAX ON A PERSON, SUBJECT, BUSINESS, TRANSACTION OR
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1 PRIVILEGE SHALL NOT EXCEED THE LIMITATIONS PRESCRIBED IN THIS
2 SECTION: PROVIDED, HOWEVER, THAT ANY TWO POLITICAL SUBDIVISIONS
3 WHICH IMPOSE ANY ONE OF THE ABOVE TAXES, ON THE SAME PERSON,
4 SUBJECT, BUSINESS, TRANSACTION OR PRIVILEGE DURING THE SAME YEAR
5 OR PART OF THE SAME YEAR MAY AGREE AMONG THEMSELVES THAT,
6 INSTEAD OF LIMITING THEIR RESPECTIVE RATES TO ONE-HALF OF THE
7 MAXIMUM RATE HEREIN PROVIDED, THEY WILL IMPOSE RESPECTIVELY
8 DIFFERENT RATES, THE TOTAL OF WHICH SHALL NOT EXCEED THE MAXIMUM
9 RATE AS ABOVE PERMITTED.
10 NOTWITHSTANDING THE PROVISIONS OF THIS SECTION, ANY CITY OF
11 THE SECOND CLASS A MAY ENACT A TAX UPON WAGES, SALARIES,
12 COMMISSIONS AND OTHER EARNED INCOME OF INDIVIDUALS RESIDENT
13 THEREIN, NOT EXCEEDING ONE PERCENT, EVEN THOUGH A SCHOOL
14 DISTRICT LEVIES A SIMILAR TAX ON THE SAME PERSON PROVIDED THAT
15 THE AGGREGATE OF BOTH TAXES DOES NOT EXCEED TWO PERCENT. IN THE
16 CASE OF DUPLICATION OF [EMERGENCY AND] MUNICIPAL SERVICES TAXES
17 BY BOTH A SCHOOL DISTRICT, OTHER THAN A SCHOOL DISTRICT OF THE
18 FIRST CLASS A, AND ANOTHER TAXING BODY, THE SCHOOL DISTRICT'S
19 SHARE OF THE TAX SHALL NOT EXCEED THE AMOUNT OF A TAX ON THE
20 PRIVILEGE OF ENGAGING IN AN OCCUPATION COLLECTED BY THE SCHOOL
21 DISTRICT AS OF THE EFFECTIVE DATE OF THIS PARAGRAPH. IN THE CASE
22 WHERE A SCHOOL DISTRICT DID NOT LEVY A TAX ON THE PRIVILEGE OF
23 ENGAGING IN AN OCCUPATION ON THE EFFECTIVE DATE OF THIS
24 PARAGRAPH, THE SCHOOL DISTRICT MAY IMPOSE A FUTURE LEVY NOT TO
25 EXCEED FIVE DOLLARS ($5). A SCHOOL DISTRICT OF THE FIRST CLASS A
26 SHALL NOT LEVY, ASSESS OR COLLECT [AN EMERGENCY AND] A MUNICIPAL
27 SERVICES TAX.
28 SECTION 4. SECTION 9 OF THE ACT, AMENDED DECEMBER 12, 1968
29 (P.L.1203, NO.377), IS AMENDED TO READ:
30 SECTION 9. REGISTER FOR EARNED INCOME AND OCCUPATIONAL
20050S0157B1048 - 29 -
1 PRIVILEGE TAXES.--IT SHALL BE THE DUTY OF THE [DEPARTMENT OF
2 COMMUNITY AFFAIRS] DEPARTMENT OF COMMUNITY AND ECONOMIC
3 DEVELOPMENT TO HAVE AVAILABLE AN OFFICIAL CONTINUING REGISTER
4 SUPPLEMENTED ANNUALLY OF ALL EARNED INCOME AND OCCUPATIONAL
5 PRIVILEGE TAXES LEVIED UNDER AUTHORITY OF THIS ACT. THE REGISTER
6 AND ITS SUPPLEMENTS, HEREINAFTER REFERRED TO AS THE REGISTER,
7 SHALL LIST SUCH JURISDICTIONS LEVYING EARNED INCOME AND/OR
8 OCCUPATIONAL PRIVILEGE MUNICIPAL SERVICES TAXES, THE RATE OF THE
9 TAX AS STATED IN THE TAX LEVYING ORDINANCE OR RESOLUTION, AND
10 THE EFFECTIVE RATE ON RESIDENT AND NONRESIDENT TAXPAYERS, IF
11 DIFFERENT FROM THE STATED RATE BECAUSE OF A COTERMINOUS LEVY,
12 THE NAME AND ADDRESS OF THE OFFICER RESPONSIBLE FOR
13 ADMINISTERING THE COLLECTION OF THE TAX AND FROM WHOM
14 INFORMATION, FORMS FOR REPORTING AND COPIES OF RULES AND
15 REGULATIONS ARE AVAILABLE. WITH EACH JURISDICTION LISTED, ALL
16 JURISDICTIONS MAKING COTERMINOUS LEVIES SHALL ALSO BE NOTED AND
17 THEIR TAX RATES SHOWN.
18 INFORMATION FOR THE REGISTER SHALL BE FURNISHED BY THE
19 SECRETARY OF EACH TAXING BODY TO THE [DEPARTMENT OF COMMUNITY
20 AFFAIRS] DEPARTMENT OF COMMUNITY AND ECONOMIC DEVELOPMENT IN
21 SUCH MANNER AND ON SUCH FORMS AS THE [DEPARTMENT OF COMMUNITY
22 AFFAIRS] DEPARTMENT OF COMMUNITY AND ECONOMIC DEVELOPMENT MAY
23 PRESCRIBE. THE INFORMATION MUST BE RECEIVED BY THE [DEPARTMENT
24 OF COMMUNITY AFFAIRS] DEPARTMENT OF COMMUNITY AND ECONOMIC
25 DEVELOPMENT BY CERTIFIED MAIL NOT LATER THAN MAY 31 OF EACH YEAR
26 TO SHOW NEW TAX ENACTMENTS, REPEALS AND CHANGES. FAILURE TO
27 COMPLY WITH THIS DATE FOR FILING MAY RESULT IN THE OMISSION OF
28 THE LEVY FROM THE REGISTER FOR THAT YEAR. FAILURE OF THE
29 [DEPARTMENT OF COMMUNITY AFFAIRS] DEPARTMENT OF COMMUNITY AND
30 ECONOMIC DEVELOPMENT TO RECEIVE INFORMATION OF TAXES CONTINUED
20050S0157B1048 - 30 -
1 WITHOUT CHANGE MAY BE CONSTRUED BY THE DEPARTMENT TO MEAN THAT
2 THE INFORMATION CONTAINED IN THE PREVIOUS REGISTER REMAINS IN
3 FORCE.
4 THE [DEPARTMENT OF COMMUNITY AFFAIRS] DEPARTMENT OF COMMUNITY
5 AND ECONOMIC DEVELOPMENT SHALL HAVE THE REGISTER WITH SUCH
6 ANNUAL SUPPLEMENTS AS MAY BE REQUIRED BY NEW TAX ENACTMENTS,
7 REPEALS OR CHANGES AVAILABLE UPON REQUEST NOT LATER THAN JULY 1
8 OF EACH YEAR. THE EFFECTIVE PERIOD FOR EACH REGISTER SHALL BE
9 FROM JULY 1 OF THE YEAR IN WHICH IT IS ISSUED TO JUNE 30 OF THE
10 FOLLOWING YEAR.
11 EMPLOYERS SHALL NOT BE REQUIRED BY ANY LOCAL ORDINANCE TO
12 WITHHOLD FROM THE WAGES, SALARIES, COMMISSIONS OR OTHER
13 COMPENSATION OF THEIR EMPLOYES ANY TAX IMPOSED UNDER THE
14 PROVISIONS OF THIS ACT, WHICH IS NOT LISTED IN THE REGISTER, OR
15 MAKE REPORTS OF WAGES, SALARIES, COMMISSIONS OR OTHER
16 COMPENSATION IN CONNECTION WITH TAXES NOT SO LISTED: PROVIDED,
17 THAT IF THE REGISTER IS NOT AVAILABLE BY JULY 1, THE REGISTER OF
18 THE PREVIOUS YEAR SHALL CONTINUE TEMPORARILY IN EFFECT FOR AN
19 ADDITIONAL PERIOD NOT TO EXCEED ONE YEAR. THE PROVISIONS OF THIS
20 SECTION SHALL NOT AFFECT THE LIABILITY OF ANY TAXPAYER FOR TAXES
21 LAWFULLY IMPOSED UNDER THIS ACT.
22 ORDINANCES OR RESOLUTIONS IMPOSING EARNED INCOME [OR],
23 OCCUPATIONAL PRIVILEGE OR MUNICIPAL SERVICES TAXES UNDER
24 AUTHORITY OF THIS ACT MAY CONTAIN PROVISIONS REQUIRING EMPLOYERS
25 DOING BUSINESS WITHIN THE JURISDICTION OF THE POLITICAL
26 SUBDIVISION IMPOSING THE TAX TO WITHHOLD THE TAX FROM THE
27 COMPENSATION OF THOSE OF THEIR EMPLOYES WHO ARE SUBJECT TO THE
28 TAX: PROVIDED, THAT NO EMPLOYER SHALL BE HELD LIABLE FOR FAILURE
29 TO WITHHOLD EARNED INCOME TAXES OR FOR THE PAYMENT OF SUCH
30 WITHHELD TAX MONEY TO A POLITICAL SUBDIVISION OTHER THAN THE
20050S0157B1048 - 31 -
1 POLITICAL SUBDIVISION ENTITLED TO RECEIVE SUCH MONEY IF SUCH
2 FAILURE TO WITHHOLD OR SUCH INCORRECT TRANSMITTAL OF WITHHELD
3 TAXES ARISES FROM INCORRECT INFORMATION AS TO THE EMPLOYE'S
4 PLACE OF RESIDENCE SUBMITTED BY THE EMPLOYE: AND PROVIDED
5 FURTHER, THAT EMPLOYERS SHALL NOT BE REQUIRED BY ANY LOCAL
6 ORDINANCE TO WITHHOLD FROM COMPENSATION FOR ANY ONE OF THEIR
7 EMPLOYES FOR THE OCCUPATIONAL PRIVILEGE TAX MORE THAN ONE TIME
8 IN ANY FISCAL PERIOD: AND PROVIDED FURTHER, THAT THE
9 OCCUPATIONAL PRIVILEGE AND MUNICIPAL SERVICES TAX SHALL BE
10 APPLICABLE TO EMPLOYMENT IN THE PERIOD BEGINNING JANUARY 1, OF
11 THE CURRENT YEAR AND ENDING DECEMBER 31 OF THE CURRENT YEAR,
12 EXCEPT THAT TAXES IMPOSED FOR THE FIRST TIME SHALL BECOME
13 EFFECTIVE FROM THE DATE SPECIFIED IN THE ORDINANCE OR
14 RESOLUTION, AND THE TAX SHALL CONTINUE IN FORCE ON A CALENDAR
15 YEAR BASIS.
16 SECTION 5. SECTION 19 OF THE ACT, AMENDED OCTOBER 4, 1978
17 (P.L.930, NO.177), IS AMENDED TO READ:
18 SECTION 19. COLLECTION OF DELINQUENT PER CAPITA, OCCUPATION,
19 OCCUPATIONAL PRIVILEGE, MUNICIPAL SERVICES AND EARNED INCOME
20 TAXES FROM EMPLOYERS, ETC.--THE TAX COLLECTOR SHALL DEMAND,
21 RECEIVE AND COLLECT FROM ALL CORPORATIONS, POLITICAL
22 SUBDIVISIONS, ASSOCIATIONS, COMPANIES, FIRMS OR INDIVIDUALS,
23 EMPLOYING PERSONS OWING DELINQUENT PER CAPITA, OR OCCUPATION,
24 OCCUPATIONAL PRIVILEGE, MUNICIPAL SERVICES AND EARNED INCOME
25 TAXES, OR WHOSE SPOUSE OWES DELINQUENT PER CAPITA, OCCUPATION,
26 OCCUPATIONAL PRIVILEGE, MUNICIPAL SERVICES AND EARNED INCOME
27 TAXES, OR HAVING IN POSSESSION UNPAID COMMISSIONS OR EARNINGS
28 BELONGING TO ANY PERSON OR PERSONS OWING DELINQUENT PER CAPITA,
29 OCCUPATION, OCCUPATIONAL PRIVILEGE, MUNICIPAL SERVICES AND
30 EARNED INCOME TAXES, OR WHOSE SPOUSE OWES DELINQUENT PER CAPITA,
20050S0157B1048 - 32 -
1 OCCUPATION, OCCUPATIONAL PRIVILEGE, MUNICIPAL SERVICES AND
2 EARNED INCOME TAXES, UPON THE PRESENTATION OF A WRITTEN NOTICE
3 AND DEMAND CERTIFYING THAT THE INFORMATION CONTAINED THEREIN IS
4 TRUE AND CORRECT AND CONTAINING THE NAME OF THE TAXABLE OR THE
5 SPOUSE THEREOF AND THE AMOUNT OF TAX DUE. UPON THE PRESENTATION
6 OF SUCH WRITTEN NOTICE AND DEMAND, IT SHALL BE THE DUTY OF ANY
7 SUCH CORPORATION, POLITICAL SUBDIVISION, ASSOCIATION, COMPANY,
8 FIRM OR INDIVIDUAL TO DEDUCT FROM THE WAGES, COMMISSIONS OR
9 EARNINGS OF SUCH INDIVIDUAL EMPLOYES, THEN OWING OR THAT SHALL
10 WITHIN SIXTY DAYS THEREAFTER BECOME DUE, OR FROM ANY UNPAID
11 COMMISSIONS OR EARNINGS OF ANY SUCH TAXABLE IN ITS OR HIS
12 POSSESSION, OR THAT SHALL WITHIN SIXTY DAYS THEREAFTER COME INTO
13 ITS OR HIS POSSESSION, A SUM SUFFICIENT TO PAY THE RESPECTIVE
14 AMOUNT OF THE DELINQUENT PER CAPITA, OCCUPATION, OCCUPATIONAL
15 PRIVILEGE, MUNICIPAL SERVICES AND EARNED INCOME TAXES AND COSTS,
16 SHOWN UPON THE WRITTEN NOTICE OR DEMAND, AND TO PAY THE SAME TO
17 THE TAX COLLECTOR OF THE TAXING DISTRICT IN WHICH SUCH
18 DELINQUENT TAX WAS LEVIED WITHIN SIXTY DAYS AFTER SUCH NOTICE
19 SHALL HAVE BEEN GIVEN. NO MORE THAN TEN PERCENT OF THE WAGES,
20 COMMISSIONS OR EARNINGS OF THE DELINQUENT TAXPAYER OR SPOUSE
21 THEREOF MAY BE DEDUCTED AT ANY ONE TIME FOR DELINQUENT PER
22 CAPITA, OCCUPATION, OCCUPATIONAL PRIVILEGE, MUNICIPAL SERVICES
23 AND EARNED INCOME TAXES AND COSTS. SUCH CORPORATION, POLITICAL
24 SUBDIVISION, ASSOCIATION, FIRM OR INDIVIDUAL SHALL BE ENTITLED
25 TO DEDUCT FROM THE MONEYS COLLECTED FROM EACH EMPLOYE THE COSTS
26 INCURRED FROM THE EXTRA BOOKKEEPING NECESSARY TO RECORD SUCH
27 TRANSACTIONS, NOT EXCEEDING TWO PERCENT OF THE AMOUNT OF MONEY
28 SO COLLECTED AND PAID OVER TO THE TAX COLLECTOR. UPON THE
29 FAILURE OF ANY SUCH CORPORATION, POLITICAL SUBDIVISION,
30 ASSOCIATION, COMPANY, FIRM OR INDIVIDUAL TO DEDUCT THE AMOUNT OF
20050S0157B1048 - 33 -
1 SUCH TAXES OR TO PAY THE SAME OVER TO THE TAX COLLECTOR, LESS
2 THE COST OF BOOKKEEPING INVOLVED IN SUCH TRANSACTION, AS HEREIN
3 PROVIDED, WITHIN THE TIME HEREBY REQUIRED, SUCH CORPORATION,
4 POLITICAL SUBDIVISION, ASSOCIATION, COMPANY, FIRM OR INDIVIDUAL
5 SHALL FORFEIT AND PAY THE AMOUNT OF SUCH TAX FOR EACH SUCH
6 TAXABLE WHOSE TAXES ARE NOT WITHHELD AND PAID OVER, OR THAT ARE
7 WITHHELD AND NOT PAID OVER TOGETHER WITH A PENALTY OF TEN
8 PERCENT ADDED THERETO, TO BE RECOVERED BY AN ACTION OF ASSUMPSIT
9 IN A SUIT TO BE INSTITUTED BY THE TAX COLLECTOR, OR BY THE
10 PROPER AUTHORITIES OF THE TAXING DISTRICT, AS DEBTS OF LIKE
11 AMOUNT ARE NOW BY LAW RECOVERABLE, EXCEPT THAT SUCH PERSON SHALL
12 NOT HAVE THE BENEFIT OF ANY STAY OF EXECUTION OR EXEMPTION LAW.
13 THE TAX COLLECTOR SHALL NOT PROCEED AGAINST A SPOUSE OR HIS
14 EMPLOYER UNTIL HE HAS PURSUED COLLECTION REMEDIES AGAINST THE
15 DELINQUENT TAXPAYER AND HIS EMPLOYER UNDER THIS SECTION.
16 SECTION 6. SECTION 20 OF THE ACT IS AMENDED TO READ:
17 SECTION 20. COLLECTION OF DELINQUENT PER CAPITA, OCCUPATION,
18 OCCUPATIONAL PRIVILEGE, MUNICIPAL SERVICES AND EARNED INCOME
19 TAXES FROM THE COMMONWEALTH.--UPON PRESENTATION OF A WRITTEN
20 NOTICE AND DEMAND UNDER OATH OR AFFIRMATION, TO THE STATE
21 TREASURER OR ANY OTHER FISCAL OFFICER OF THE STATE, OR ITS
22 BOARDS, AUTHORITIES, AGENCIES OR COMMISSIONS, IT SHALL BE THE
23 DUTY OF THE TREASURER OR OFFICER TO DEDUCT FROM THE WAGES THEN
24 OWING, OR THAT SHALL WITHIN SIXTY DAYS THEREAFTER BECOME DUE TO
25 ANY EMPLOYE, A SUM SUFFICIENT TO PAY THE RESPECTIVE AMOUNT OF
26 THE DELINQUENT PER CAPITA, OCCUPATION, OCCUPATIONAL PRIVILEGE,
27 MUNICIPAL SERVICES AND EARNED INCOME TAXES AND COSTS SHOWN ON
28 THE WRITTEN NOTICE. THE SAME SHALL BE PAID TO THE TAX COLLECTOR
29 OF THE TAXING DISTRICT IN WHICH SAID DELINQUENT TAX WAS LEVIED
30 WITHIN SIXTY DAYS AFTER SUCH NOTICE SHALL HAVE BEEN GIVEN.
20050S0157B1048 - 34 -
1 SECTION 7. SECTION 22.1 OF THE ACT, ADDED NOVEMBER 30, 2004
2 (P.L.1520, NO.192), IS AMENDED TO READ:
3 SECTION 22.1. COSTS OF COLLECTION OF DELINQUENT PER CAPITA,
4 OCCUPATION, OCCUPATIONAL PRIVILEGE, MUNICIPAL SERVICES AND
5 EARNED INCOME TAXES.--(A) A PERSON, PUBLIC EMPLOYE OR PRIVATE
6 AGENCY DESIGNATED BY A GOVERNING BODY OF A POLITICAL SUBDIVISION
7 TO COLLECT AND ADMINISTER A PER CAPITA, OCCUPATION, OCCUPATIONAL
8 PRIVILEGE, MUNICIPAL SERVICES OR EARNED INCOME TAX MAY IMPOSE
9 AND COLLECT THE REASONABLE COSTS INCURRED TO PROVIDE NOTICES OF
10 DELINQUENCY OR TO IMPLEMENT SIMILAR PROCEDURES UTILIZED TO
11 COLLECT DELINQUENT TAXES FROM A TAXPAYER AS APPROVED BY THE
12 GOVERNING BODY OF THE POLITICAL SUBDIVISION. REASONABLE COSTS
13 COLLECTED MAY BE RETAINED BY THE PERSON, PUBLIC EMPLOYE OR
14 PRIVATE AGENCY DESIGNATED TO COLLECT THE TAX AS AGREED TO BY THE
15 GOVERNING BODY OF THE POLITICAL SUBDIVISION. AN ITEMIZED
16 ACCOUNTING OF ALL COSTS COLLECTED SHALL BE REMITTED TO THE
17 POLITICAL SUBDIVISION ON AN ANNUAL BASIS.
18 (B) COSTS RELATED TO THE COLLECTION OF UNPAID PER CAPITA,
19 OCCUPATION [OR], OCCUPATIONAL PRIVILEGE OR MUNICIPAL SERVICES
20 TAXES MAY ONLY BE ASSESSED, LEVIED AND COLLECTED FOR FIVE YEARS
21 FROM THE LAST DAY OF THE CALENDAR YEAR IN WHICH THE TAX WAS DUE.
22 (C) A DELINQUENT TAXPAYER MAY NOT BRING AN ACTION FOR
23 REIMBURSEMENT, REFUND OR ELIMINATION OF REASONABLE COSTS OF
24 COLLECTION ASSESSED OR IMPOSED PRIOR TO THE EFFECTIVE DATE OF
25 THIS SECTION. ADDITIONAL COSTS MAY NOT BE ASSESSED ON DELINQUENT
26 TAXES COLLECTED PRIOR TO THE EFFECTIVE DATE OF THIS SECTION.
27 SECTION 8. SECTION 22.5 OF THE ACT, ADDED DECEMBER 1, 2004
28 (P.L.1729, NO.222), IS AMENDED TO READ:
29 [SECTION 22.5. RESTRICTED USE.--(A) ANY MUNICIPALITY
30 DERIVING FUNDS FROM THE EMERGENCY AND MUNICIPAL SERVICES TAX MAY
20050S0157B1048 - 35 -
1 ONLY USE THE FUNDS FOR:
2 (1) POLICE, FIRE AND/OR EMERGENCY SERVICES;
3 (2) ROAD CONSTRUCTION AND/OR MAINTENANCE; OR
4 (3) REDUCTION OF PROPERTY TAXES.
5 (B) FOR THE PURPOSE OF THE EMERGENCY AND MUNICIPAL SERVICES
6 TAX, THE TERM MUNICIPALITY DOES NOT INCLUDE A SCHOOL DISTRICT.]
7 SECTION 9. ANY ORDINANCE OR RESOLUTION PROVIDING FOR THE
8 LEVYING, ASSESSMENT OR COLLECTION OF A TAX ON INDIVIDUALS FOR
9 THE PRIVILEGE OF ENGAGING IN AN OCCUPATION WHICH HAS BEEN
10 ENACTED BY A POLITICAL SUBDIVISION PRIOR TO DECEMBER 1, 2004,
11 SHALL CONTINUE IN FULL FORCE AND EFFECT, WITHOUT REENACTMENT, AS
12 IF SUCH TAX HAD BEEN LEVIED, ASSESSED OR COLLECTED AS A
13 MUNICIPAL SERVICES TAX UNDER SECTION 2(9) OF THE ACT. ALL
14 REFERENCES IN ANY ORDINANCE OR RESOLUTION TO A TAX ON THE
15 PRIVILEGE OF ENGAGING IN AN OCCUPATION SHALL BE DEEMED TO BE A
16 REFERENCE TO A MUNICIPAL SERVICES TAX FOR THE PURPOSES OF THE
17 ACT.
18 SECTION 10. THE AMENDMENT OR ADDITION OF THE FOLLOWING
19 PROVISIONS SHALL APPLY TO TAXES LEVIED FOR CALENDAR YEAR 2006:
20 (1) THE AMENDMENT OF SECTION 2 OF THE ACT.
21 (2) THE AMENDMENT OF SECTION 8 OF THE ACT.
22 (3) THE AMENDMENT OF SECTION 9 OF THE ACT, EXCEPT FOR
23 ANY EDITORIAL AMENDMENT CHANGING THE REFERENCE FROM THE
24 DEPARTMENT OF COMMUNITY AFFAIRS TO THE DEPARTMENT OF
25 COMMUNITY AND ECONOMIC DEVELOPMENT.
26 (4) THE AMENDMENT OF SECTION 19 OF THE ACT.
27 (5) THE AMENDMENT OF SECTION 20 OF THE ACT.
28 (6) THE AMENDMENT OF SECTION 22.1 OF THE ACT.
29 (7) THE AMENDMENT OF SECTION 22.4 OF THE ACT.
30 SECTION 11. REPEALS ARE AS FOLLOWS:
20050S0157B1048 - 36 -
1 (1) THE GENERAL ASSEMBLY DECLARES THAT THE REPEAL UNDER
2 PARAGRAPH (2) IS NECESSARY TO EFFECTUATE THE AMENDMENT OF
3 SECTION 2(9) OF THE ACT.
4 (2) SECTION 6 OF THE ACT OF DECEMBER 1, 2004 (P.L.1729,
5 NO.222), ENTITLED "AN ACT AMENDING THE ACT OF DECEMBER 31,
6 1965 (P.L.1257, NO.511), ENTITLED 'AN ACT EMPOWERING CITIES
7 OF THE SECOND CLASS, CITIES OF THE SECOND CLASS A, CITIES OF
8 THE THIRD CLASS, BOROUGHS, TOWNS, TOWNSHIPS OF THE FIRST
9 CLASS, TOWNSHIPS OF THE SECOND CLASS, SCHOOL DISTRICTS OF THE
10 SECOND CLASS, SCHOOL DISTRICTS OF THE THIRD CLASS AND SCHOOL
11 DISTRICTS OF THE FOURTH CLASS INCLUDING INDEPENDENT SCHOOL
12 DISTRICTS, TO LEVY, ASSESS, COLLECT OR TO PROVIDE FOR THE
13 LEVYING, ASSESSMENT AND COLLECTION OF CERTAIN TAXES SUBJECT
14 TO MAXIMUM LIMITATIONS FOR GENERAL REVENUE PURPOSES;
15 AUTHORIZING THE ESTABLISHMENT OF BUREAUS AND THE APPOINTMENT
16 AND COMPENSATION OF OFFICERS, AGENCIES AND EMPLOYES TO ASSESS
17 AND COLLECT SUCH TAXES; PROVIDING FOR JOINT COLLECTION OF
18 CERTAIN TAXES, PRESCRIBING CERTAIN DEFINITIONS AND OTHER
19 PROVISIONS FOR TAXES LEVIED AND ASSESSED UPON EARNED INCOME,
20 PROVIDING FOR ANNUAL AUDITS AND FOR COLLECTION OF DELINQUENT
21 TAXES, AND PERMITTING AND REQUIRING PENALTIES TO BE IMPOSED
22 AND ENFORCED, INCLUDING PENALTIES FOR DISCLOSURE OF
23 CONFIDENTIAL INFORMATION, PROVIDING AN APPEAL FROM THE
24 ORDINANCE OR RESOLUTION LEVYING SUCH TAXES TO THE COURT OF
25 QUARTER SESSIONS AND TO THE SUPREME COURT AND SUPERIOR
26 COURT,' FURTHER PROVIDING FOR DELEGATION OF TAXING POWERS AND
27 RESTRICTIONS THEREON; PROVIDING FOR NONRESIDENT SPORTS
28 FACILITY USAGE FEE, FOR PARKING TAX RATES AND FOR PAYROLL
29 TAXES; FURTHER PROVIDING FOR LIMITATIONS ON RATES OF SPECIFIC
30 TAXES AND FOR THE APPOINTMENT OF A SINGLE COLLECTOR OF TAXES;
20050S0157B1048 - 37 -
1 FURTHER PROVIDING FOR THE APPLICABILITY OF PETITIONS UNDER
2 THE ACT OF JULY 10, 1987 (P.L.246, NO.47), KNOWN AS THE
3 MUNICIPALITIES FINANCIAL RECOVERY ACT; AND MAKING A REPEAL,"
4 IS REPEALED.
5 SECTION 12. THIS ACT SHALL TAKE EFFECT IMMEDIATELY.
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