[Adopted 4-6-1982 as Ch. 193, Art. I, of the 1981 Code]
[Amended 1-20-1986 by Ord. No. 86-3]
A tax for general borough purposes is imposed on:
A. 
One and six-tenths percent of all income earned by residents.
[Amended 11-1-1999 by Ord. No. 99-16; 12-1-2002 by Ord. No. 02-18]
B. 
One percent of all income earned by nonresidents employed within the Borough of Norristown.
C. 
One and six-tenths percent of the net profits earned by businesses, professions and other activities conducted by residents.
D. 
One percent of the net profits earned by businesses, professions and other activities conducted by nonresidents within the Borough of Norristown.[2]
[2]
Editor's Note: Original § 193-2B of the 1981 Code, which continued the tax rate in effect and which immediately followed this section, was deleted at time of adoption of Code; see Ch. 1, General Provisions, Art. I.
[1]
Editor's Note: Original 193-1 of the 1981 Code, Definitions, which immediately preceded this section, was deleted 9-1-1992 by Ord. No. 92-19.
A. 
Net profits.
(1) 
Beginning with the period of January 21, 1971, to December 31, 1971, and for each year thereafter, every taxpayer who makes any net profits shall, on or before April 30 of the then-current year and each year thereafter, make and file with the Income Tax Officer a declaration of his estimated net profits during the period beginning January 1 and ending December 31 of the then-current year. The taxpayer shall pay to the Income Tax Officer the total amount of the tax determined to be due under the estimate as follows:
(a) 
First payment on or before April 30.
(b) 
Second payment on or before July 31.
(c) 
Third payment on or before October 31.
(d) 
Final payment on or before April 15 of the succeeding year.
(2) 
If the taxpayer anticipates net profits after April 30 of the calendar year, then he shall make and file a declaration on or before July 31 and October 31 of the then-current year, whichever of these dates next follows the date on which the taxpayer first anticipates such net profits. The taxpayer shall pay to the Income Tax Officer in equal installments the amount of tax due thereon on or before the quarterly payment dates which remain after the filing of his first declaration.
(3) 
On April 15, 1972, and on April 15 of each calendar year thereafter, every taxpayer shall file with the Income Tax Officer, on a form prescribed or approved by the Officer, a final return showing the amount of net profits earned during the period beginning January 21, 1971, through December 31, 1971, for the current year, and beginning January 1 of the then-current year and ending December 31 of the then-current year thereafter, the total amount of tax due thereon and the total amount of tax heretofore paid with the estimated return. At the time of filing a final return, the taxpayer shall pay to the Income Tax Officer the balance of tax due or shall make demand for a refund or credit in the case of any overpayment. Any taxpayer may, in lieu of paying the fourth quarterly installment of his estimated tax, elect to and make and file with the Income Tax Officer his final return on or before January 31 of the succeeding year and to pay the tax in full at that time.
(4) 
The Income Tax Officer may be authorized to provide by regulation for the making and filing of adjusted declarations of estimated net profits and for the payment of the 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.
(5) 
Every taxpayer who discontinues his business before December 31 of the current year shall, within 30 days after the discontinuance of the business, file his final return as hereinabove required and pay the tax due or make demand for the refund or credit in the case of an overpayment.
B. 
Earned income.
(1) 
Annual earned income tax return. Every taxpayer shall, on or before April 15 of the succeeding year, make and file with the Income Tax Officer, on a form prescribed, prepared and supplied by the Officer, a final return showing the total amount of earned income received during the period beginning January 21, 1971, and ending December 31, 1971, for the current year, and for each year thereafter for the period beginning January 1 and ending December 31, the total amount of tax due thereon, the amount of the tax paid thereon, the amount of the tax thereon that has been withheld in the event that the provisions relating to withholding hereinafter set forth have been invoked by the borough and the balance of the tax due. At the time of 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.
(2) 
Earned income not subject to withholding. Every taxpayer who is employed for salary, wages, commission or other compensation who received any earned income not subject to the provisions relating to collection at the source shall make and file with the Income Tax Officer, on a form prescribed, prepared and supplied by the Officer, a quarterly return, on or before April 30 of the current year, July 31 of the current year, October 31 of the current year and April 15 of the succeeding year, setting forth the aggregate amount of earned income not subject to withholding by him during the 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 subject to the tax, together with such other information as the Income Tax Officer shall require. Every taxpayer who makes such return shall, at the time of filing thereof, pay to the Officer the amount of tax shown as due thereon.
A. 
Every employer, as hereinbefore described and defined, shall be obligated, from January 21, 1971, and thereafter so long as this Article is in effect, to withhold from wages of employees subject to the tax imposed by this Article the amount of tax due in accordance with the withholding procedure set forth hereinafter.
B. 
Every employer having an office, factory, workshop, branch, warehouse or other place of business within the borough 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 Officer may require.
C. 
Every employer having an office, factory, workshop, branch, warehouse or other place of business within the borough 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 Article 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 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. Such return, unless otherwise agreed upon between the Income Tax Officer and the employer, shall show the name and social security number or identification number supplied by the Officer of each employee, the earned income of such employee during such preceding three-month period, the tax deducted therefrom, the political subdivisions imposing the tax, 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.
D. 
Monthly reporting. 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 borough may be required by the Income Tax Officer to file his return and pay the tax monthly. In such cases, payment of the tax shall be made to the Income Tax Officer on or before the last day of the month succeeding the month for which the tax was withheld.
E. 
On or before February 28 of the succeeding year, every employer shall file with the Income Tax Officer:
(1) 
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 Income Tax Officer for the period beginning January 1 of the current year and ending December 31 of the current year (January 21, 1971, to December 31, 1971, for the first year).
(2) 
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, social security number or identification number supplied by the Income Tax Officer, the amount of earned income paid to the employee during said period, the amount of tax deducted, the political subdivisions imposing the tax upon such employee and the amount of tax paid to the Officer. Every employer shall furnish two copies of the individual return to the employee for whom it is filed.
F. 
Termination of business. Every employer who discontinues business for any reason 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.
G. 
Every employer who willfully or negligently fails or omits to make the deductions required by this section shall be liable for the payment of the taxes which he was required to withhold to the extent that such taxes have not been recovered from the employee.
H. 
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 Article relating to the filing of declarations and returns.
A. 
The office of Income Tax Officer is hereby created by this Article, and the borough shall, from time to time by separate resolution, appoint a person or company to administer the provisions of this Article, who will be designated as the "Income Tax Officer."
B. 
The Income Tax Officer shall be bonded as the borough may determine, said bond to cover all moneys coming into his hands on behalf of the borough, the cost of the bond to be paid by the borough. Before entering upon his official duties, the Income Tax Officer shall give and acknowledge the bond to the borough. Said bond shall be in compliance with the provisions of the Local Tax Enabling Act[1] in all respects and subject to the approval of the Borough Solicitor.
[1]
Editor's Note: See 53 P.S. § 6901 et seq.
C. 
The Income Tax Officer shall collect and receive all such taxes, shall furnish a receipt for payment when requested to do so by a taxpayer and shall keep a record showing the amount received by him for each taxpayer under this Article, together with the date of the receipt of such payment.
D. 
The Income Tax Officer is hereby empowered to prescribe rules and regulations relating to any matter or thing pertaining to the administration and enforcement of the provisions of this Article, subject, however, to the approval of the Council of the borough. Such rules and regulations shall be inscribed by the Income Tax Officer into a book kept for that purpose and open to the inspection of the public and thereupon shall have the same force and effect as if they had been incorporated into this Article.
E. 
The Income Tax Officer, or any other person designated by the borough, is hereby authorized to examine any of the books, papers and records of any employer, supposed employer, taxpayer or supposed taxpayer in order to verify the accuracy of any return made or, if no return is made, to ascertain the amount of tax due by any person under this Article. Every such employer, supposed employer, taxpayer or supposed taxpayer shall give to the Income Tax Officer or such other authorized person the means, facilities and opportunities for such examination and investigation hereby authorized.
F. 
The Income Tax Officer is authorized to examine any person under oath concerning any income which was or should have been returned for taxation and shall have the power and is hereby authorized to issue subpoenas to compel the attendance of persons whom he deems necessary to examine as witnesses and to compel the production of books, records and papers relating to any account being examined.
G. 
The Income Tax Officer, or any other official or agent so designated by the borough, shall have the power to reexamine returns, correct erroneous returns, consent to make refunds and authorize the refunding of taxes erroneously or improperly collected from or paid by the taxpayers for any period of time not to exceed six years subsequent to the date of payment of the sum involved.
H. 
Any information gained by the Income Tax Officer or any other official or agent of the borough as a result of any return, investigation, hearing or examination required or authorized by this Article shall become confidential, except for official purposes or except in accordance with proper judicial order or as otherwise provided by law. Any disclosure of such information contrary to the provisions of this section shall constitute a violation of this Article.
I. 
Any person who, except as permitted by the provisions of the foregoing Subsection H of this Article, divulges any information which is confidential under the provisions of this Article shall, upon conviction thereof before any District Justice or court of competent jurisdiction, be sentenced to pay a fine of not more than $600 for each offense, and costs, and in default of payment of such fine and costs, to be imprisoned for a period not exceeding 30 days.[2]
[2]
Editor's Note: Amended at time of adoption of Code; see Ch. 1, General Provisions, Art. I.
The Income Tax Officer shall receive such compensation for his services and expenses as determined by the borough from time to time. In the case of a single tax collector established pursuant to Subsection (f) of Section 10 of Act 511,[1] the borough shall share in the compensation of the expenses of a single officer according to the proportionate share that the borough collects from the total annual collections.[2]
[1]
Editor's Note: See now 53 P.S. § 6913, Subdivision V.
[2]
Editor's Note: Original §§ 193-7 and 193-8 of the 1981 Code, which dealt with lawsuits for the collection of tax and interest and penalties and which immediately followed this section, were deleted at time of adoption of Code; see Ch. 1, General Provisions, Art. I.
A. 
Any person who fails, neglects or refuses to make any declaration or return required by this Article; any employer who fails, neglects or refuses to register or to pay the taxes dedicated from his employees or fails, neglects or refuses to deduct withholding taxes from his employees; any person who refuses to permit the Income Tax 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 Article shall, upon conviction thereof before any District Justice or court of competent jurisdiction of Montgomery County, be sentenced to pay a fine of not more than $600 for each offense, and costs, and in default of payment of such fine and costs, to be imprisoned for a period not exceeding 30 days.[1]
[1]
Editor's Note: Amended at time of adoption of Code; see Ch. 1, General Provisions, Art. I.
B. 
The penalties imposed under this section shall be in addition to any other penalty imposed by any other section of this Article.
C. 
The failure of any person to receive or procure forms required for making the declaration or return required by this Article shall not excuse him from making such declaration or return.
This Article shall not apply to personal property or persons who or which are beyond the legal power of the borough to impose the tax herein provided or to the net profits of any institution, organization, trust, association or foundation operated for public, religious, educational or charitable purposes, provided that this section shall not operate to relieve or exempt any such entity from collection at the source of earned income of its employees and remittance of such collections to the Income Tax Officer.