[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.
BOROUGH
BUSINESSES, TRADES, OCCUPATIONS AND PROFESSIONS
COLLECTOR
GROSS RECEIPTS
PERSON
SECRETARY
SERVICE
TAX YEAR
TEMPORARY, SEASONAL OR ITINERANT BUSINESS
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:
The Borough of Jenkintown.
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.
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]
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.
Any individual, partnership, limited partnership, association,
corporation or other business entity.
The Secretary of the Borough of Jenkintown.
Any act or instance of helping or benefiting another for
a consideration.
The twelve-month period beginning the first day of January.
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:
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.
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.
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.
