[Adopted 12-30-1985 by Ord. No. 1942]
This Article shall be known and may be cited
as the "Haverford Business Privilege Tax Ordinance."
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 masculine
includes the feminine, the singular includes the plural, and the plural
includes the singular.
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 but not limited to financial businesses
and those enterprises engaged in by hotel operators, motel operators,
office and/or residential apartment building operators, parking lot
and garage operators, warehouse operators, 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, agents, brokers, manufacturer's representatives,
advertising and public relations agencies, real estate brokers, insurance
brokers and agents, cable television operators, operators of places
of amusement 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 building or other construction of any kind or in the alteration,
maintenance or repair thereof, repairers of electrical, electronic
and automotive machinery and equipment or other machinery and equipment
and other wares and merchandise.
The Finance Director of the Township of Haverford or his
duly authorized representative or a person or corporation engaged
for this purpose by contract with the Board of Commissioners.
[Amended 1-14-1991 by Ord. No. 2104]
The service and transactions of banks and bankers, trust,
credit and investment companies, holding companies, dealers and brokers
in money, credits, commercial paper, bonds, notes, securities and
stocks, and monetary metals, factors and commission merchants.
Includes the gross amount of cash, credits or
property of any kind or nature received in both cash and credit transactions
allocable or attributable to the Township by reason of any sale made
(including resales of goods, wares or merchandise taken by a dealer
as a trade-in or as part payment for other goods, wares and merchandise),
service rendered (including labor and any materials employed in or
becoming part of the service), or commercial or business transactions
in connection with any business, trade, occupation or profession.
Gross receipts shall not include:
In the case of a sale of goods, the receipts
from a sale in which the goods are delivered from a place of business
regularly maintained outside the Township by the taxpayer to a place
of business regularly maintained outside the Township by the purchaser,
provided that such delivery is not made for the purpose of evading
this tax.
In the case of any service, the receipts from
the performance or rendering of any service, no part of which was
performed or rendered within the Township.
The amount of any allowance made for goods,
wares and merchandise taken by a dealer as a trade-in or as part payment
for other goods, wares and merchandise in the usual and ordinary course
of his business.
In the case of a financial business, the cost
of securities and other property sold, exchanged, paid at maturity
or redeemed, and moneys or credits received in repayment of advances,
credits and loans (not to exceed the principal amount of such advances,
credits and loans), and deposits.
In the case of a broker, any portion of the
fees or commissions with respect to any transaction paid by him to
another broker on account of a purchase or sale contract initiated
by or exercised or cleared in conjunction with such other broker.
Receipts by a dealer from sales to other dealers
in the same line where the dealer transfers title or possession at
the same price for which he acquired the goods, wares and merchandise,
provided that such other dealers are not the parent or subsidiary
of the vendor dealer or have no other affiliation or cooperative arrangement
with the vendor dealer.
Includes both the owner of a hotel, motel, office and/or
residential apartment building, parking lot, garage or warehouse and
any person the owner may engage for hire to supervise the operation
of such hotel, motel, apartment building, parking lot, garage or warehouse.
Any individual, partnership, limited partnership, association,
corporation, trust or other legally recognizable entity, except such
as are wholly exempt from taxation under the Act of December 31, 1965,
P.L. 1257, as amended.[1] Persons exempted from taxation under this article shall
include agencies of the government of the United States or of the
Commonwealth of Pennsylvania or political subdivisions thereof, and
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 imposed by this article.
Any act or instance of helping or benefiting another for
a consideration.
The twelve-month period beginning the first day of January.
Any business, trade, occupation or profession that is conducted
at one location for less than 60 consecutive calendar days.
The Township of Haverford.
[1]
Editor's Note: See 53 P.S. § 6901
et seq.
[Amended 1-14-1991 by Ord. No. 2104]
For the tax year beginning January 1, 1986,
and for each year thereafter in each license year, every person desiring
to continue to engage in or hereinafter to begin to engage in a business,
trade, occupation or profession of an actual place of business in
the Township shall, on or before the 15th day of April or prior to
commencing business in such tax year, make application for registration
for each place of business in the Township, and if such person has
no actual place of business within the Township, then one registration
application shall be made with the Director. Such registration shall
be made by the completion of an application furnished by the Director
and the payment of a fee of $10 for each place of business. Each application
for registration shall be signed by the applicant, if a natural person,
and, in case of an association or partnership, by a member or partner
thereof and, in case of a corporation, by an officer thereof or by
the authorized person of any other legal entity. Each applicant shall
receive a business license from the Director, which shall not be assignable.
In case of loss, defacement or destruction of any license, the person
to whom the license was issued shall apply to the Director for a new
license, for which a fee of $10 shall be charged. Such license shall
be conspicuously posted at each place of business within the Township
at all times.
Every person engaging in a business, trade,
occupation or profession in the Township shall pay an annual business
privilege tax for the year beginning January 1, 1986, and for each
tax year thereafter at the rate of 1.5 mills on such person's gross
receipts.
All persons required to pay a business privilege
tax under the provisions of this article shall be exempted 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 Haverford
License Tax Ordinance. Any person required to pay both a business
privilege tax and a mercantile license tax need pay only one license
fee of $10 for each place of business.[1]
Computation of estimated and actual gross receipts
shall be made in the following manner:
A.
The estimated gross receipts for any tax year of any
person subject to the payment of the tax hereby imposed who has commenced
business at least a full year prior to January 1 of that tax year
shall be the actual gross receipts of that person during the 12 months
preceding such January 1.
B.
The estimated gross receipts for any tax year of any
person subject to the payment of the tax hereby imposed who has commenced
business less than one full year prior to January 1 of that tax year
shall be computed 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.
The estimated gross receipts for any tax year of any
person subject to the payment of the tax hereby imposed who commences
business subsequent to January 1 of that tax year shall be computed
for that tax year by multiplying such person's actual gross receipts
for the first month of business 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.
A.
Every return as hereinafter required by this article shall be made upon a form furnished by the Director and in accordance with such regulations as may hereafter be issued by the Director pursuant to § 165-37G hereof. Every person making such return shall certify the correctness thereof under the penalties of perjury.
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 15th day of April following,
file with the Director 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.
[Amended 1-30-1989 by Ord. No. 2041]
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 15th day of April following,
file with the Director 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.
[Amended 1-30-1989 by Ord. No. 2041]
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 Director 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 Director a return setting
forth such person's name, business and business address and such 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.
At the end of the tax year and on or before April
15 of the following year, every person subject to the tax hereby imposed
shall make a final return to the Director 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.
[Amended 1-30-1989 by Ord. No. 2041]
B.
At the time of filing the final return, if the full
amount of 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.
A.
It shall be the duty of the Director to collect and
receive the taxes, fines and penalties imposed by this article. It
shall also be the duty of the Director to keep a record showing the
amount of the tax received and the date of pavement. A receipt shall
be given to the person paying the tax.
B.
If the Director is not satisfied with the return and
payment of tax made by any taxpayer or supposed taxpayer under the
provisions of this article, the Director 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 Director's possession or that shall come into his possession,
and for this purpose the Director or the deputy or authorized agent
of the Director 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 Director 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 his discretion, require reasonable
deposits to be made by persons who engage in business which is temporary,
seasonal or itinerant by its nature.
C.
If any taxpayer or supposed taxpayer shall neglect
or refuse to make any return and payment of tax required by this article,
or if, as a result of an investigation by the Director, a return is
found to be incorrect, the Director shall have the power to estimate
the tax due by such person and determine the amount due for taxes,
penalties and interest thereon.
D.
The burden in hereby imposed upon any person claiming
an exemption from the payment of the tax hereby imposed to prove by
clear and convincing evidence his legal right to such exemption.
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 Director
shall refund to the taxpayer the amount of such overpayment, which
shall be the difference between the amount of 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.
G.
The Director is hereby authorized to make rules and
regulations consistent with the provisions of this article relating
to the interpretation or application of any section of this article
or to any matter affecting the administration and enforcement of this
article, including provision for the reexamination and correction
of returns and the adjustment or refund of any overpayment of tax.
H.
Examination of books and records of taxpayers.
(1)
The Finance Director of Haverford Township and his
duly appointed agents are authorized to examine the books, papers
and records of any taxpayer or supposed taxpayer in order to verify
the accuracy of any return; or, if no return was filed, to ascertain
the tax due. Every taxpayer or supposed taxpayer is required to give
to the Finance Director of Haverford Township or his duly appointed
agents the means, facilities and opportunity for such examination
or investigation upon reasonable notice. In addition to all other
powers, the Finance Director shall have the power, on behalf of the
taxing jurisdiction, to examine any person under oath concerning any
material set forth on the taxpayer's return or, in the event that
no return has been filed, to inquire into appropriate records to determine
the tax due. Should a taxpayer or supposed taxpayer fail or refuse
to comply with a request for production of documents, the Finance
Director is hereby empowered to issue an administrative subpoena for
the production of such records and to compel the attendance of persons,
either as parties, principals, agents or witnesses before him.
(2)
The information obtained by the Finance Director,
his agents or any other official agent of a taxing jurisdiction as
a result of any returns, investigations, hearings or verifications
required or authorized, is confidential and shall not be disclosed
to any person except for official use in connection with the verification
of the return or the determination of the tax due unless such disclosure
is compelled by an order of a court of competent jurisdiction.
All taxes due and unpaid under this article
shall be recoverable by the Township Secretary or his designee as
other debts due the Township are now or may hereafter be by law recoverable.
[Amended 1-30-1989 by Ord. No. 2041; 1-14-1991 by Ord. No.
2104]
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
shall neglect or refuse to make any return or payment as herein required,
an additional 10% of the amount of the tax shall be added by the Director
and collected. Where legal action is brought for the recovery of this
tax, the taxpayer shall, in addition, be responsible and liable for
collection costs, including attorney fees.
All taxes, interest and penalties received,
collected or recovered under the provisions of this article shall
be paid into the treasury of the Township for the use and benefit
of the Township.
A.
Nothing contained in this article shall be construed
to empower the Township to levy and collect the taxes hereby imposed
on any person or any business, trade, occupation or profession or
any portion of any business, trade, occupation or profession not within
the taxing power of the Township under the Constitution of the United
States and the Constitution and laws of the Commonwealth of Pennsylvania.
B.
It is not the intention of the Board of Commissioners
in adopting this article to impose, nor should any portion of this
article be construed to mean that the Board of Commissioners has imposed
by adopting this article, a room tax on hotels or motels in the Township
of Haverford, or any other tax which is an invalid duplication of
any tax imposed by the Commonwealth of Pennsylvania. Rather, all taxes
imposed by this article are taxes on the privilege of conducting businesses,
trades, occupations and professions, including the business of operating
a hotel or motel.
C.
It is the intent of the Board of Commissioners to
impose a tax on the privilege of conducting the business of operating
an office and/or residential apartment building, and the renting of
space to tenants of such buildings shall be deemed to be the minimum
sufficient activity to constitute the conduct of a business under
the terms of this article, and such minimum activity shall not be
deemed to be merely preserving the asset of the property.
[Amended 6-13-1988 by Ord. No. 2019; 3-12-2012 by Ord. No.
2660; 12-8-2014 by Ord. No. 2736]
Any person or entity subject to tax who fails
to comply with the provisions of this article may be subject to a
civil fine, not to exceed $600 per violation, plus costs, including
court filing fees and the Township's attorney fees. The fine imposed
by this section shall be in addition to any other penalty imposed
by this article.
Nothing in this article shall be construed to
affect any suit or proceeding pending in any court, or any rights
acquired, or liability incurred, or any cause or causes of action
acquired or existing prior to its adoption, nor shall any just or
legal right or remedy of any character be lost, impaired or affected
by this article.
In the event that this article takes effect after the beginning of a tax year, the tax imposed by § 165-32 hereof shall be imposed on the gross receipts for that portion of the tax year commencing with the effective date of this article, and the estimated gross receipts determined under § 165-34A, B and C of this article shall be apportioned accordingly.
