[Ord. No. 436,
passed 2-12-1997]
This chapter shall be known and may be cited as the Video Programming
Municipal Tax Authorization Ordinance. The purpose of this ordinance
is to impose a video programming tax as authorized by Act 1995-37
effective September 6, 1995.
[Ord. No. 436,
passed 2-12-1997]
The following words and phrases when used in this chapter shall
have the meanings given to them in this section unless the context
clearly indicates otherwise.
Any person or group of persons who provides cable service
over a cable system and directly or through one or more affiliates
owns an interest in such cable system or who otherwise controls or
is responsible for, through any arrangement, the management and operation
of a cable system. The term does not include a provider of wireless
or direct-to-home satellite transmission service.
The transmission, distribution or broadcasting of video programming
or services by satellite directly to subscribers' premises without
the use of ground receiving or distribution equipment, except at the
site of the subscribers or in the uplink process to the satellite.
The amount charged for or received by video programmers from
sales of video programming, and related charges for bad check and
late payment charges, installation, connection, additional outlets,
repair services, digital audio services, radio services, programming
guides and equipment rental services upon which the local cable television
operator pays a franchise fee, the amount charged for or received
by common carriers from sales of access to video programming, and
related charges for bad check and late payment charges, installation,
connection, additional outlets, repair services, digital audio services,
radio services, programming guides and equipment rental services upon
which the local cable television operator pays a franchise fee, and
the amount charged for or received by persons from sales of access
to video programming by any means of transmission, other than wireless
or direct-to-home satellite transmission, directly to subscribers
with service addresses in the Township. Gross receipts shall not include:
Amounts charged for or received by persons from sales of telephone
access or service that entitles the subscriber to the privilege of
interactive telephonic quality telecommunications with substantially
all person having telephone or radio telephone stations constituting
a part of a particular system or in a specified area;
Any revenues received by a common carrier persons providing
access to video programming from video programmers for the transport
of video programming to a subscriber's premises or access to
the video dial tone network;
The tax imposed under this act if the tax is shown as a separate
line charge to subscribers;
Any other taxes, fees or surcharges on services furnished by
persons providing access to video programming or video programmers
which are imposed on subscribers by the commonwealth pursuant to statute
or regulation and which are collected on behalf of the governmental
unit by the provider of the services;
Any portion of a debt related to the sale of video programming
or the sale of access to a video network, the gross charges for which
are not otherwise deductible or excludable, that have become worthless
or uncollectible, as determined under applicable federal income tax
standards. If the portion of the debt deemed to be bad is subsequently
paid, the video programmers or person shall report and pay the excise
tax on that portion during the reporting period in which the payment
is made;
Amounts received from retail sales of tangible personal property
that provides access to video programming;
Amounts charged for or received by persons from sales of video
programming which is delivered to subscribers through a satellite
master antenna television (SMATV) system; or
Amounts received by a common carrier from persons for related
charges for bad check and late payment charges, installation, connection,
additional outlets, repair services, digital audio services, radio
services, programming guides and equipment rental services that are
resold by such persons to the ultimate consumer.
An individual, partnership, association, joint-stock company,
trust, corporation, government entity, limited liability company or
any other entity.
The ultimate consumer of the video programming provided by
video programmers over any means of transmission, other than wireless
or direct-to-home satellite transmission. The term does not include
a video programmer that purchases a common carrier's video dial
tone transport service to provide video programming over the common
carrier's video dial tone system.
Crescent Township, Allegheny County, Pennsylvania.
A common carrier service for the transport of video programming
to subscribers.
An individual, partnership, association, joint stock company,
trust, corporation, governmental entity, limited liability company
or any other entity that provides video programming to subscribers.
Video or information programming, whether in digital or analog
format, that is provided by a cable operator or generally considered
comparable to programming provided by a cable television operator
and upon which such cable television operator pays a franchise fee.
Video programming does not include on-line, interactive information
services to the extent that access to such services is accomplished
via a dial-up or private telephone line or via wireless or direct-to-home
satellite transmission.
The distribution of video programming using radio communications,
including, but not limited to, terrestrial-based radio systems.
[Ord. No. 436,
passed 2-12-1997]
A.
There is a video programming tax on and from, respectively, any person
who sells video programming to subscribers who are located within
the Township by any means of transmission, or who provides such subscribers
with access to video programming by any means of transmission, and
who is not otherwise subject to federally authorized or permitted
local fees or taxes on the gross receipts received from the provision
of cable television service or video programming services to customers
in the Township. This tax shall be imposed on persons engaging in
any commercial activity in this Township, or employing capital in
this Township, or owning, leasing or utilizing property in this Township,
or maintaining an office in this Township, or having employees in
this Township for all or any part of any calendar year, to the full
extent permitted by the Constitution of the United States. The tax
imposed is imposed only on the gross receipts of such persons from
sales of video programming or sale of access to video programming
directly to subscribers who are located within this Township.
B.
Tax rate. The tax rate under this chapter shall be the franchise
fee rate imposed by the local cable ordinance of the Township or,
if the current ordinance and franchise fee is repealed or if no local
cable ordinance otherwise exists, the rate set in the agreement between
the local cable television operator and the Township. In no event
shall the rate imposed under this chapter exceed 5%.
C.
Calculation of tax. The tax authorized in this chapter shall be determine by multiplying the tax rate as set forth in either Subsection B or F, as applicable, by the gross receipts of video programmers from sales of video programming or of persons from sales of access to video programming, of common carriers from sales of access to video programming, by any means of transmission, other than wireless or direct-to-home satellite transmission, directly to subscribers who are located in the Township.
D.
Election. Any person subject to tax under this chapter may elect
at any time to pass through to subscribers as a separate itemized
line charge on the subscriber's bill the tax imposed under this
chapter.
E.
Penalty. A penalty of an amount equal to 10% of the taxes due, including
all delinquent taxes due under this chapter, shall be added to the
tax levied under this chapter for failure to pay the tax by the quarterly
due dates set forth in this section.
F.
Alternate rate. If or when no cable television operator provides cable service within the limits of this Township, the tax to be collected from persons subject to tax under this chapter shall be an amount not to exceed 5%. In the event that a cable operator shall thereafter provide cable service within the limits of this Township, the tax rate set under this act shall be adjusted under Subsection B.
G.
Due dates. The tax imposed under this chapter shall be paid to the
Township by each person quarterly on or before April 30, July 31,
October 31 and January 31 and shall be calculated based on the gross
receipt of each person during the three months prior to the month
of payment. Any payment of a tax shall be considered as timely made
if the payment received by the Township is postmarked by the United
States Postal Service on or prior to the final day on which payment
is to be received.
[Ord. No. 436,
passed 2-12-1997]
Gross receipts as defined in this chapter and subject to the
tax imposed by this chapter, as well as any revenues received by a
common-carrier person providing access to video programming from video
programmers for the transport of video programming to a subscriber's
premises or from video programmers for access to the video dial tone
network, shall not be subject to any tax under:
A.
Article XI of the act of March 4, 1971 (P.L. 6, No. 2), known as
the Tax Reform Code of 1971.
B.
The act of December 31, 1965 (P.L. 1257, No. 511), known as the "Local
Tax Enabling Act," or any other local tax or fee imposed on the receipts
of persons providing video programming or access to video programming
to subscribers who are located within the Township, except that the
gross receipts of video programmers shall be subject to tax under
the local business privilege tax in this Township if and when such
a tax is imposed and where the local cable television operator pays
a local business privilege tax pursuant to the Local Tax Enabling
Act.
[Ord. No. 436,
passed 2-12-1997]
A.
Credit for interstate transactions. Any person subject to the tax
imposed under this chapter shall be entitled to a credit against the
tax imposed by this chapter equal in amount to any similar tax on
gross receipts, other than a generally applicable sales or use tax
or corporate income tax, that the person has paid to another state
or government entity thereof under a lawful requirement of such state
or government entity on sales by the person of the same video programming
or sales of access to such video programming to subscribers located
within this Township.
B.
Credit for taxes paid under any franchise or similar fees. Any person
subject to the tax imposed under this chapter shall be entitled to
a credit against the tax imposed by this chapter equal in amount to
any fees on gross receipts that the person has paid under any franchise
fee or similar fee authorized or permitted by federal, state or local
law or imposed by chapter in this Township or agreed to pursuant to
a written franchise agreement between the person and this Township,
with respect to any revenues received by a person or video programmer
from subscribers for access to the person's video network or
for video programming or from video programmers for the transport
of video programming to a subscriber's premises or for the transport
of video programming to a subscriber's premises or for access
to a video network.
[Ord. No. 436,
passed 2-12-1997]
A.
Procedures. A person may be audited by this Township provided, however,
that any dispute or controversy that results from such audit or imposition
of tax under this chapter shall be contested and resolved in accordance
with a uniform set of procedures, rules and regulations that shall
be promulgated by the Department of Revenue. This Township shall provide
the video programmers and persons providing access to video programming
with:
(1)
The rate that is lawfully imposed by this Township under this chapter.
(2)
A list of the "zip plus 4's" or a comparable list of addresses
located in this Township which will enable person to identify the
subscribers located in this Township.
(3)
A copy of this chapter and any amendments thereto within 30 days
after enactment.
B.
Enforcement. The Township shall enforce this ordinance in accordance
with the provisions of Act 1995-37, the Video Programming Municipal
Tax Authorization Act.
[Ord. No. 436,
passed 2-12-1997]
This ordinance and the tax imposed hereof shall become effective
on April 1, 1997.
