[Adopted 12-20-1976 by Ord. No. 76-18]
The Borough Council of the Borough of Jenkintown, under and by virtue of the authority vested in it by the Local Tax Enabling Act[1] of the General Assembly of the Commonwealth of Pennsylvania, does ordain that a business privilege tax to provide revenue for general Borough purposes be and the same is hereby levied, assessed and imposed upon persons engaging in a business, trade, occupation or profession.
[1]
Editor's Note: See 53 P.S. § 6901 et seq. and 53 P.S. § 6924.101 to 6924.312.
This article shall be known and may be cited as the "Business Privilege Tax Ordinance."
A. 
The following words and phrases, as used in this article, shall have the meanings ascribed to them in this section, unless the context clearly indicates a different meaning:
BOROUGH
The Borough of Jenkintown.
BUSINESSES, TRADES, OCCUPATIONS AND PROFESSIONS
All businesses, trades, occupations and professions in which there is offered any service or services to the general public, or a limited number thereof, including those enterprises engaged in by hotel operators, motel operators, parking lot and garage operators, warehouse operators, lessors of real estate (business, residential or any combination thereof, including but not limited to apartment units and rooming houses), lessors of tangible personal property, physicians and surgeons, osteopaths, podiatrists, chiropractors, veterinarians, optometrists, pharmacists, lawyers, dentists, engineers, architects, chemists, certified public accountants, public accountants, funeral directors, promoters, factors, commission merchants, agents, brokers, manufacturers' representatives, advertising and public relations agencies, real estate brokers, insurance brokers and agents, cable television operators, operators of places of amusements providing either passive or active recreation, vending machine operators, barbershop operators and beauty shop operators, cleaning, pressing and dyeing establishment operators, laundry operators, shoe repair shop operators, tailors, upholsterers, electrical, plastering, bricklaying, carpentry, heat, ventilating, plumbing and painting contractors engaged in the class of heavy building or other construction of any kind or in the alteration, maintenance or repair thereof, and repairers of electrical, electronic and automotive machinery and equipment or other machinery and equipment and other wares and merchandise.
COLLECTOR
The person, official or other entity appointed from time to time by resolution of Borough Council to serve at the pleasure of Borough Council.
[Amended 3-30-1981 by Ord. No. 81-3; 1-3-2000 by Ord. No. 2000-1]
GROSS RECEIPTS
Includes both cash and credit transactions made by a person for services rendered, including both the services and labor and any materials entered into or becoming component parts of the services performed within the Commonwealth of Pennsylvania.
PERSON
Any individual, partnership, limited partnership, association, corporation or other business entity.
SECRETARY
The Secretary of the Borough of Jenkintown.
SERVICE
Any act or instance of helping or benefiting another for a consideration.
TAX YEAR
The twelve-month period beginning the first day of January.
TEMPORARY, SEASONAL OR ITINERANT BUSINESS
Any business that is conducted at one location for less than 60 days.
B. 
Exclusions. The foregoing terms shall not include the following: employees or agencies of the government of the United States or of the Commonwealth of Pennsylvania nor nonprofit corporations or associations organized solely and exclusively for religious, educational or charitable purposes and not conducting any regular or established business competing commercially with any person subject to the tax herein imposed.
For the tax year beginning February 1, 1977, and January 1 each tax year thereafter, every person desiring to continue to engage in or hereafter to begin to engage in a business, trade, occupation or profession at an actual place of business in the Borough shall, on or before the 15th day of January of the tax year prior to commencing business in such tax year, make application for registration for each place of business in the Borough and, if such person has no actual place of business within the Borough, then one registration, with the Secretary. Such registration shall be made by the completion of an application furnished by the Secretary and the payment of a fee of $10. Each application for registration shall be signed by the applicant, if a natural person and, in the case of an association or a partnership, by a member or partner thereof and, in the case of a corporation, by an officer thereof. Each applicant shall receive a certificate of registration from the Secretary, which shall not be assignable. In the case of loss, defacement or destruction of any certificate, the person to whom the certificate was issued shall apply to the Secretary for a new certificate, for which a fee of $1 shall be charged.
[Amended 12-29-1977 by Ord. No. 77-21; 12-30-1985 by Ord. No. 85-4]
Every person engaging in a business, trade, occupation or profession in the Borough shall pay on such person's gross receipts an annual business privilege tax as follows:
A. 
For the period beginning February 1, 1977, and ending December 31, 1977: one mill.
B. 
For each tax year, 1978 through 1985: 1 1/2 mills.
C. 
For each tax year, 1986 and forward: four mills.
D. 
In no event shall the annual business privilege tax herein imposed be less than $10.
All persons required to pay a business privilege tax under the provisions of this article shall be exempt from paying such tax upon the same subject matter of taxation upon which such persons are required to pay a mercantile license tax under the Mercantile License Tax Ordinance.[1] Any person required to pay both a business privilege tax and a mercantile license tax may file one joint return and need pay only one license fee of $10 for each place of business.
[1]
Editor's Note: See Art. IV of this chapter.
The following subsections refer to the computation of the estimated gross receipts.
A. 
Every person subject to the payment of the tax hereby imposed who has commenced business at least a full year prior to January 1 of the tax year shall compute gross receipts upon such person's actual gross receipts during the 12 months preceding such January 1.
B. 
Every person subject to the payment of the tax hereby imposed who has commenced business less than one full year prior to such January 1 shall compute gross receipts by multiplying by 12 the monthly average of such person's actual gross receipts during the months while engaged in business prior to such January 1.
C. 
Every person subject to the payment of the tax hereby imposed who commences business subsequent to such January 1 shall compute gross receipts for the tax year upon such person's gross receipts for the first month of business multiplied by the number of months remaining in the tax year.
D. 
Every person subject to the payment of the tax hereby imposed who engages in business which is temporary, seasonal or itinerant by its nature shall compute gross receipts upon such person's actual gross receipts during the tax year.
E. 
At the end of the tax year and on or before May 1 of the following year, every person subject to the tax hereby imposed shall make a return to the Secretary of the Borough of the actual gross receipts of the taxpayer during the period for which the taxpayer is subject to the tax. Such final return shall state the amount of the gross receipts as set forth in the first return, the amount of tax paid at the time of filing the first return and the amount of tax due upon the final computation.
A. 
Every return and estimated return as required by this article shall be made upon a form furnished by the Collector with appropriate instructions to furnish such additional information as may be reasonably necessary to determine proper tax liability and to reconcile taxpayer's allocation of gross receipts with total gross receipts. Every person making such return shall certify to the correctness thereof by signing such return under penalties of perjury and criminal prosecution thereof.
[Amended 6-24-2002 by Ord. No. 2002-4]
B. 
Every person subject to the tax imposed by this article who has commenced business at least one full year prior to the beginning of the tax year shall, on or before the first day of May following, file with the Collector a return setting forth such person's name, business and business address and such other information as may be necessary to compute the actual gross receipts of such person during the preceding year and the amount of tax estimated to be due.
C. 
Every person subject to the tax imposed by this article who has commenced business less than one full year prior to the beginning of the tax year shall, on or before the first day of May following, file with the Collector a return setting forth such person's name, business and business address and such other information as may be necessary to compute the actual gross receipts of such person during the preceding year and the amount of tax estimated to be due.
D. 
Every person subject to the tax imposed by this article who commences business subsequent to the beginning of the tax year shall, within 40 days from the date of commencing such business, file with the Collector a return setting forth such person's name, business and business address and such other information as may be necessary to compute the actual gross receipts of such person during the first month of business and the amount of tax estimated to be due.
E. 
Every person subject to the payment of the tax imposed by this article who engages in a business which is temporary, seasonal or itinerant by its nature shall, within seven days from the date of completion of such business, file with the Collector a return setting forth such person's name, business and business address and such other information as may be necessary in arriving at the actual gross receipts of such person during such period and the amount of the tax due.
F. 
On or before May 1 of the year following the tax year, every person subject to the tax hereby imposed shall make a final return as required by § 163-27E.
A. 
At the time of filing the first return, the person making the same shall pay the amount of the tax estimated to be due.
B. 
At the time of filing the final return, if the full amount of the tax due by the taxpayer for the tax year has not been paid, the taxpayer shall pay the remaining balance of the tax, which shall be the difference between the amount of the tax paid at the time of making the first return on the estimated computation and the amount of the tax finally shown to be due.
[Amended 12-29-1986 by Ord. No. 86-4]
A. 
It shall be the duty of the Collector to collect and receive the fees, taxes, fines and penalties imposed by this article. It shall also be the duty of the Collector to keep a record showing the amount of the tax received and the date of payment. A receipt shall be given to the person paying the tax.
B. 
If the Collector is not satisfied with the return and payment of tax made by any taxpayer or supposed taxpayer under the provisions of this article, the Collector is hereby authorized and empowered to make a determination of the tax due by such person, based upon the facts contained in the return or upon any information within the Collector's possession or that shall come into his possession, and for this purpose the Collector or the deputy or authorized agent of the Collector is authorized to examine the books, papers and records of any such person to verify the accuracy of any return or payment made under the provisions hereof or to ascertain whether the taxes imposed by this article have been paid. The Collector is hereby authorized and directed to make and keep such records, prepare such forms and take such other measures as may be necessary or convenient to carry this article into effect, and may, in such officer's discretion, require reasonable deposits to be made by persons who engage in a business which is temporary, seasonal or itinerant by its nature.
C. 
If any taxpayer or supposed taxpayer fails to make any return and payment of tax as required by this article or if, as a result of an investigation by the Collector, a return is found to be incorrect, the Collector shall estimate, the tax due by such person and determine the amount due for taxes, penalties and interest thereon.
[Amended 3-30-1981 by Ord. No. 81-3]
D. 
The burden is hereby imposed upon any person, firm or corporation claiming an exemption from the payment of the tax hereby imposed to prove by clear and convincing evidence the legal right to such exemption to the satisfaction of the Collector.
E. 
If the final return of the taxpayer shows an overpayment of the tax by reason of the fact that the gross receipts as stated in the estimated computation were more than the actual gross receipts of the taxpayer for the year or by reason of the fact that the taxpayer did not continue to engage in business throughout the year, the Collector shall refund to the taxpayer the amount of such overpayment which shall be the difference between the amount of the tax paid upon the filing of the first return and the amount of the tax finally shown to be due.
F. 
Any information contained on the returns of a taxpayer and any information obtained as a result of the examination of the books and records of the taxpayer shall be confidential except for official purposes and except for purposes of judicial order.
All taxes due and unpaid under this article shall be recoverable by the Borough Solicitor as other debts due the Borough are now by law recoverable.
[Amended 3-30-1981 by Ord. No. 81-3]
All taxes due under this article shall bear interest at the rate of 1 1/2% per month or fractional part of a month from the day they are due and payable until paid. If any taxpayer fails to make any return or payment as herein required within one month after the day it is due and payable, an additional 10% of the amount of the tax shall be added by the Collector and collected.
All taxes, interest and penalties received, collected or recovered under the provisions of this article shall be paid into the treasury of the Borough for the use and benefit of the Borough.
Nothing contained in this article shall be construed to empower the Borough to levy and collect the taxes hereby imposed on any person or any portion of any business not within the taxing power of the Borough under the Constitution of the United States and the Constitution and laws of the Commonwealth of Pennsylvania.
[Amended 4-28-1980 by Ord. No. 80-13; 1-30-1989 by Ord. No. 89-2]
Any person, as defined in this article, or any officer, agent, servant or employee thereof who shall fail, neglect or refuse to comply with any of the terms or provisions of this article shall, upon conviction thereof before a Magisterial District Judge, be sentenced to pay a fine of not less than $25 nor more than $600 and costs of prosecution for each offense, to be collected as other fines and costs are by law collectible, or to imprisonment for a period not exceeding 30 days, or both. The fine imposed by this section shall be in addition to any other penalty imposed by any other section of this article.
The Borough Council, on its own motion or upon the recommendation of the Collector, may by resolution adopt such rules and regulations for the implementation and enforcement of this article as in its judgment shall be necessary.
The Collector shall enter bond for the faithful performance of his duties in such form and amount and with such corporate surety authorized by law to so act as shall be directed by Borough Council. The bond premiums shall be paid by the Borough.