[Ord. 1308, 1/15/1968, § 1]
The following words and phrases, when used in this Part, shall
have the meanings ascribed to them in this Section, except where the
context clearly indicates or requires a different meaning.
A partnership, limited partnership, or any other unincorporated
group of two or more persons.
An enterprise, activity, profession or any other undertaking
of an unincorporated nature conducted for profit or ordinarily conducted
for profit whether by a person, partnership, association, or any other
entity.
A corporation or joint stock association organized under
the laws of the United States, the Commonwealth of Pennsylvania or
any other state, territory, foreign country or dependency.
The calendar year for which the tax is levied.
The place where one lives and has his permanent home and
to which he has the intention of returning whenever he is absent.
Actual residence is not necessarily domicile, for domicile is the
fixed place of abode which, in the intention of the taxpayer, is permanent
rather than transitory. Domicile is the place in which a man has voluntarily
fixed the habitation of himself and his family, not for a mere special
or limited purpose, but with the present intention of making a permanent
home, until some event occurs to induce him to adopt some other permanent
home. In the case of businesses, or associations, the domicile is
that place considered as the center of business affairs and the place
where its functions are discharged.
Compensation as determined under Section 303 of the Act of March 4, 1971 (P.L. 6, No. 2), known as the "Tax Reform Code of 1971," and regulations in 61 Pa. Code Part 1, Subpart B, Article V (relating to personal income tax), not including, however, wages or compensation paid to individuals on active military service. Employee business expenses are allowable deductions as determined under. Article III of the Tax Refund Code of 1971. The amount of any housing allowance provided to a member of the clergy shall not be taxable as earned income.
[Amended by Ord. 1900, 10/27/2003; and by Ord. 1916, 12/30/2004]
A person, partnership, association, corporation, institution,
profession, or other activity, except corporations, after provision
for all costs and expenses incurred in the conduct thereof, determined
either on a cash or accrual basis in accordance with the accounting
system used in such business, profession, or other activity, but without
deduction of taxes based on income.
Person, public employee or private agency designated by governing
body to collect and administer the tax on earned income and net profits.
The net income from the operation of a business, profession, or other activity, except corporations, determined under Section 303 of the Act of March 4, 1971 (P.L. 6, No. 2) known as the "Tax Refund Code of 1971," and regulations in 61 Pa. Code Part 1, Subpart B, Article V (relating to personal income tax). The term does not include income which is not paid for services provided and is in the nature of earnings from an investment. For taxpayers engaged in the business, profession or activity of farming, the term shall not include:
[Added by Ord. 1900, 10/27/2003]
Any interest earnings generated from any monetary accounts or
investment instruments of the farming business;
Any gain on the sale of farm machinery;
Any gain on the sale of livestock held 12 months or more for
draft, breeding or dairy purposes; and
Any gain on the sale of other capital assets of the farm.
A person, partnership, association or other entity domiciled
outside the taxing district.
A natural person.
The calendar year before the current year.
A person, partnership, association or other entity domiciled
in the taxing district.
The calendar year following the current year.
A person, partnership, association, or any other entity,
required hereunder to file a return of earned income or net profits,
or to pay a tax thereon.
[Ord. 1308, 1/15/1968, § 2]
A tax for general revenue purposes of 1% is hereby imposed on
the following:
1.
Salaries, wages, commissions, bonuses, incentive payments, fees,
tips and other compensation earned in the period beginning January
1 of the current year by the residents of the Township of Harrison.
2.
Salaries, wages, commissions, bonuses, incentive payments, fees,
tips and other compensation earned in the period beginning January
1 of the current year, by nonresidents of the Township of Harrison
for work done or services performed or rendered in the Township of
Harrison.
3.
Net profits earned in the period beginning January 1 of the current
year, on businesses, professions and other activities conducted by
residents of the Township of Harrison, and
4.
Net profits earned in the period beginning January 1 of the current
year, on businesses, professions and other activities conducted in
the Township of Harrison by nonresidents.
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The tax levied under one and two shall relate to and be imposed
upon salaries, wages, commissions, bonuses, incentive payments, fees,
tips and other compensation paid by an employer or on his behalf to
any person who is employed by or renders services to him. The tax
levied under three and four shall relate to and be imposed on the
net profits of any business, profession or enterprise carried on by
any person as owner or as proprietor, either individually or in association
with some other person or persons.
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The tax levied by this Part shall be applicable to earned income
received and to net profits earned in the period beginning January
1 of the current year and ending December 31 of the current year,
which tax shall continue in force thereafter on a calendar year basis.
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If any other political subdivision having the power to do so
should impose a tax on earnings and net profits within the Township
of Harrison during the same year, or part of the same year, under
the authority of Act No. 511 of 1965, known as the “Local Tax
Enabling Act," and any subsequent amendment, then the tax levied hereby
shall, during the time such duplication of the tax exists, be 1/2
of 1% on such earnings and net profits as above set forth, and such
1/2 of 1% shall become effective by virtue of the requirements of
said Act from the day such duplication becomes effective, without
any action on the part of the political subdivision imposing the tax
under the authority of said Act.
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[Ord. 1308, 1/15/1968, § 3]
1.
Net Profits.
A.
Every taxpayer who anticipates any net profits shall on or before
April 15 of the current year make and file with the income tax officer,
on a form prescribed by the income tax officer, a declaration of his
estimated net profits in the period beginning January 1 of the current
year and ending December 31 of the current year and on the same dates
with respect to any succeeding calendar year; setting forth the estimated
amount of net profits anticipated by him during the said period and
subject to the tax, the amount of tax imposed by this Part on such
estimated net profits, and such other information as the income tax
officer may require. The taxpayer making the declaration shall, at
the time of filing thereof, pay to the income tax officer the estimated
amount of tax shown as due thereon. Provided, however, that the taxpayer
shall have the right to pay the estimated tax in four quarterly installments
as follows: the first installment at the time of filing the declaration
on or before April 15 of the current year, and the other installments
on or before July 14 of the current year, October 15 of the current
year and January 15 of the next calendar year, respectively.
B.
Any taxpayer who first anticipates any net profits after April 15
of the current year shall make and file the declaration hereinabove
required on or before July 15 of the current year, October 15 of the
current year or January 15 of the next calendar year and on the same
dates with respect to any succeeding calendar year, whichever of these
dates next follows the date on which the taxpayer first anticipates
his net profits. The taxpayer making the declaration shall, at the
time of filing thereof, pay to the income tax officer the estimated
amount of tax shown as due thereon; provided, however, that the taxpayer
shall have the right to pay the estimated tax in equal installments
on or before the quarterly installment payment dates which remain
after the filing of the declaration.
C.
The income tax officer is hereby authorized to provide by regulation
for the making and filing of adjusted declarations of estimated net
profits, and for the payment of estimated tax in cases where a taxpayer
who has filed the declaration hereinabove required anticipates additional
net profits not previously declared or finds that he has overestimated
his anticipated net profits.
D.
On or before March 15 of the next calendar year every taxpayer who
has received net profits shall make and file with the income tax officer,
on a form prescribed by him, a final return, under oath or solemn
affirmation, showing all of his net profits for the period beginning
January 1 of the current year and ending December 31 of the current
year and on March 15 of the next calendar year or any succeeding calendar
year, the total amount of tax due, the amount of estimated tax paid
under the provisions of this Section, and the balance due; provided
however, that any taxpayer may in lieu of paying the fourth quarterly
installment of his estimated tax, elect to make and file with the
income tax officer, on or before January 15 of the next calendar year,
the final return as hereinabove required. At the time of the filing
the final return, the taxpayer shall pay the balance of the tax due
or shall make demand for refund or credit in the case of overpayment.
E.
Every taxpayer who discontinues business prior to December 31 of
the current year will pay the tax due at or on the same date with
respect to any succeeding calendar year during which said taxpayer
may discontinue business prior to December 31 of that year, within
15 days after the discontinuance of business, file his return as hereinabove
required and pay the tax due.
F.
Salaries, wages, commissions, bonuses, incentive payments, fees,
tips and other compensation. Every taxpayer who is employed on a salary,
wage, commission, bonus, incentive payment, fee, tip or other compensation
basis, and who receives any earnings not subject to the provisions
of § 104 of this Part relating to the collection at source,
shall, on or before April 15 of the current year, make and file with
the income tax officer, on a form prescribed by the income tax officer,
a return, under oath or solemn affirmation, setting forth the aggregate
amount of salaries, wages, commissions, bonuses, incentive payments,
fees, tips and other compensation earned by him during the three month
period ending March 31 of the current year and subject to the tax,
together with such other information as the income tax officer may
require. He shall also, on or before July 15 of the current year,
October 15 of the current year and January 15 of the next calendar
year, make and file with the income tax officer, on a form prescribed
by the income tax officer, a return under oath or solemn affirmation,
setting forth the aggregate amount of salaries, wages, commissions,
bonuses, incentive payments, fees, tips, and other compensation earned
by him during the three month periods ending June 30 of the current
year, September 30 of the current year and December 31 of the current
year respectively, and on the same dates with respect to any succeeding
calendar year, and subject to the tax, together with such other information
as the income tax officer may require. Every taxpayer making such
return shall, at the time of filing thereof, pay to the income tax
officer the amount of tax shown as due thereon.
[Ord. 1308, 1/15/1968, § 4]
1.
Every employer having his office, factory, workshop, branch, warehouse
or other place of business within the Township of Harrison, who employs
one or more persons, other than domestic servants, for a salary, wage,
commission or other compensation, who has not previously registered,
shall, within 15 days after becoming an employer, register with the
income tax officer his name and address and such other information
as the said officer may require.
2.
Every employer having an office, factory, workshop, branch, warehouse,
or any other place of business within the Township of Harrison who
employs one or more persons, other than domestic servants, for a salary,
wage, commission or other compensation shall deduct at the time of
payment thereof, the tax imposed by this Part on the earned income
due to his employee or employees, and shall, on or before April 30
of the current year, July 31 of the current year, October 31 of the
current year and January 31 of the succeeding calendar year, file
a return and pay to the income tax officer the amount of taxes deducted
during the preceding three month periods ending March 31 of the current
year, June 30 of the current year, September 30 of the current year
and December 31 of the current year, respectively, and on the same
dates with respect to any succeeding calendar year. Such return unless
otherwise agreed upon between said officer and employer shall show
the name and social security number of each such employee, the earned
income of such employee during such preceding three-month period,
the tax deducted therefrom, the political subdivisions imposing the
tax upon such employee, the total earned income of all such employees
during such preceding three-month period and the total tax deducted
therefrom and paid with the return.
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Any employer who for two of the preceding four quarterly periods
has failed to deduct the proper tax, or any part thereof, or has failed
to pay over the proper amount of tax to the taxing authority, may
be required by said officer to file his return and pay the tax monthly.
In such cases, payments of tax shall be made to said officer on or
before the last day of the month succeeding the month for which the
tax was withheld.
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3.
On or before February 28 of the succeeding year and on the same date
with respect to any succeeding calendar year, every employer shall
file with the said officer:
A.
An annual return showing the total amount of earned income paid,
the total amount of tax deducted, and the total amount of tax paid
to the said officer for the period beginning January 1 of the current
year and ending December 31 of the current year.
B.
A return withholding statement for each employee employed during
all or any part of the period beginning January 1 of the current year,
and ending December 31 of the current year, setting forth the employee's
name, address and social security number, the amount of earned income
paid to the employee during said period, the amount of tax deducted,
the political subdivision imposing the tax upon such employee, the
amount of tax paid to the said officer. Every employer shall furnish
two copies of the individual return to the employee for whom it is
filed.
4.
Every employer who discontinues business prior to December 31 of
the current year, shall, within 30 days after the discontinuance of
business, file the returns and withholding statements hereinabove
required and pay the tax due.
5.
Every employer who wilfully or negligently fails or omits to make
the deductions required by this Section shall be liable for payment
of the taxes which he was required to withhold to the extent that
such taxes have not been recovered from the employee.
6.
The failure or omission of any employer to make the deductions required
by this Section shall not relieve any employee from the payment of
the tax or from complying with the requirements of this Part relating
to the filing of declarations and returns.
[Ord. 1308, 1/15/1968, § 5]
1.
It shall be the duty of the officer to collect and receive the taxes,
fines and penalties imposed by this Part. It shall also be his duty
to keep a record showing the amount received by him from each person
or business paying the tax and the date of such receipt.
2.
Said officer is hereby charged with the administration and enforcement
of the provisions of this Part and is hereby empowered to prescribe,
adopt, promulgate and enforce, rules and regulations relating to any
matter pertaining to the administration and enforcement of this Part,
including provisions for the reexamination and correction of declarations
and returns, and of payment alleged or found to be incorrect, or as
to which an overpayment is claimed or found to have occurred, and
to make refunds in cases of overpayment, for any period of time not
to exceed six years subsequent to the date of payment of the sum involved,
and to prescribe forms necessary for the administration of this Part.
No rule or regulation of any kind shall be enforceable unless it has
been approved by resolution of the governing body. A copy of such
rules and regulations currently in force shall be available for public
inspection.
3.
Said officer shall refund, on petition of, and proof by the taxpayer,
earned income tax paid on the taxpayer's ordinary and necessary
business expenses, to the extent that such expenses are not paid by
the taxpayer's employer.
4.
Said officer and agents designated by him are hereby authorized to
examine the books, papers and records of any employer or of any taxpayer
or of any person whom the said officer reasonably believes to be an
employer or taxpayer, in order to verify the accuracy of any declaration
or return, or if no declaration or return was filed, to ascertain
the tax due. Every employer and every taxpayer and every person whom
the officer reasonably believes to be an employer or taxpayer, is
hereby directed and required to give to the officer, or to any agent
designated by him, the means, facilities and opportunity for such
examination and investigations, as are hereby authorized.
5.
Any information gained by said officer, his agents or by any other
official or agent of the Township of Harrison, as a result of any
declarations, returns, investigations, hearings or verifications required
or authorized by this Part, shall be confidential, except for official
purposes and except in accordance with a proper judicial order, or
as otherwise provided by law.
[Ord. 1308, 1/15/1968, § 6]
1.
The income tax officer may sue in the name of the Township of Harrison
for the recovery of taxes due and unpaid under this Part.
2.
Any suit brought to recover the tax imposed by this Part shall be
begun within three years after such tax is due, or within three years
after the declaration or return has been filed, whichever date is
later: provided, however, that this limitation shall not prevent the
institution of a suit for the collection of any tax due or determined
to be due in the following cases:
A.
Where no declaration or return was filed by any person although a
declaration or return was required to be filed by him under provisions
of this Part, there shall be no limitation.
B.
Where an examination of the declaration or return filed by any person,
or of other evidence relating to such declaration or return in the
possession of the said officer, reveals a fraudulent evasion of taxes,
there shall be no limitation.
C.
In the case of substantial understatement of tax liability of 25%
or more, and no fraud, suit shall be begun within six years.
D.
When any person has deducted taxes under the provisions of this Part,
and has failed to pay the amounts so deducted to the said officer,
or where any person has wilfully failed or omitted to make the deductions
required by this Section, there shall be no limitation.
E.
This section shall not be construed to limit the governing body from
recovering delinquent taxes by any other means provided by this act.
3.
The said officer may sue for recovery of an erroneous refund provided
such suit is begun two years after making such refund except that
the suit may be brought within five years if it appears that any part
of the refund was induced by fraud or misrepresentation of material
fact.
[Ord. 1308, 1/15/1968, § 7]
If for any reason the tax is not paid when due, interest at
the rate of 6% per annum on the amount of said tax, and an additional
penalty of 1/2% of the amount of the unpaid tax for each month or
fraction thereof during which the tax remains unpaid, shall be added
and collected. Where suit is brought for the recovery of any such
tax, the person liable therefor shall, in addition, be liable for
the costs of collection and the interest and penalties herein imposed.
[Ord. 1308, 1/15/1968, § 8]
The income tax officer is hereby authorized to accept payment
under protest of the amount of tax claimed by the Township of Harrison
in any case where any person disputes the validity or amount of the
Township's claim for the tax. If it is thereafter judicially
determined by a court of competent jurisdiction that there has been
an overpayment to the said officer, the amount of the overpayment
shall be refunded to the person who paid under protest.
[Ord. 1308, 1/15/1968, § 9; as amended by Ord.
1782, 2/16/1987]
1.
Any person who fails, neglects or refuses to make any declarations
or return required by this Part, any employer who fails, neglects
or refuses to register or to pay the tax deducted from his employees,
or fails, neglects or refuses to deduct or withhold the tax from his
employees, any person who refuses to permit the officer or any agent
designated by him to examine his books, records and papers, and any
person who knowingly makes any incomplete, false or fraudulent return,
or attempts to do anything whatsoever to avoid the full disclosure
of the amount of his net profits or earned income in order to avoid
the payment of the whole or any part of the tax imposed by this Part,
shall, upon conviction thereof be sentenced to pay a fine of not more
than $300 for each offense, and/or imprisonment for a period not exceeding
90 days.
2.
Any person who divulges any information which is confidential under
the provisions of this Part, shall upon conviction thereof be sentenced
to pay a fine of not more than $300 for each offense, and/or imprisonment
not exceeding 90 days.
3.
The penalties imposed under this Section shall be in addition to
any other penalty imposed by any other section of this Part.
4.
The failure of any person to receive or produce forms required for
making the declaration or returns required by this Part shall not
excuse him from making such declaration or return.
