[Adopted 4-13-1966 by Ord. No. 328]
Unless otherwise specifically stated, the following terms shall
have, for the purposes of this article, the meanings herein set forth:
A partnership, limited partnership or any other unincorporated
group of two or more persons.
An enterprise, activity, profession or any other activity
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 or 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 voluntarily fixed place
of habitation of a person, 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.
[Amended 1-12-1989 by Ord. No. 438]
Salaries, wages, commissions, bonuses, incentive payments,
fees, tips and other compensation received by a person or his personal
representative for services rendered, whether directly or through
an agent and whether in cash or in property, not including, however,
wages or compensation paid to persons on active military service,
periodic payments for sickness and disability other than regular wages
received during a period of sickness, disability or retirement or
payments arising under workmen's compensation acts, occupational disease
acts and similar legislation or payments commonly recognized as old
age benefits, retirement pay or pensions paid to persons retired from
service after reaching a specific age or after a stated period of
employment or payments commonly known as "public assistance" or "unemployment
compensation payments" made by any governmental agency or payments
to reimburse expenses or payments made by employers or labor unions
for wage and salary supplemental programs, including but not limited
to programs covering hospitalization, sickness, disability or death,
supplemental unemployment benefits, strike benefits, social security
and retirement.
A person, partnership, association, corporation, institution,
governmental body or unit or agency, or any other entity employing
one or more persons for a salary wage, commission or other compensation.
A person, public employee or private agency designated by
the governing body to collect and administer the tax on earned income
and net profits, which term is synonymous with "Collector."
The net income from the operation of a business, 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.
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.
A.
An annual tax for general revenue purposes of 5/10 of 1% is hereby
imposed on:
[Amended 1-12-1989 by Ord. No. 438]
(1)
Salaries, wages, commissions, compensation and earned income after
the first day of January of the current year by residents of the Borough
of Ligonier.
(2)
Salaries, wages, commissions, compensation and earned income after
the first day of January of the current year by nonresidents of the
Borough of Ligonier for work done or services performed or rendered
in the Borough of Ligonier.
(3)
The net profits earned after the first day of January of the current
year of businesses, professions or other activities conducted by such
residents.
(4)
Net profits earned after the first day of January of the current
year of businesses, professions and other activities conducted in
the Borough of Ligonier by nonresidents.
B.
The tax levied under Subsection A(1) and (2) as set forth above shall relate to and be imposed upon salaries, wages, commissions, compensation and earned income paid by an employer or on his behalf to any person who is employed by or renders services to him. The tax levied under Subsection A(3) and (4) as set forth above shall relate to and be imposed upon the net profits of any business, profession or enterprise carried on by any person or owner or proprietor either individually or in association with some other person or persons.
C.
Such taxes shall be levied with respect to the salaries, wages, commissions,
compensation and earned income or net profit earned during the period
from January 1 to December 31 of the current year for which the tax
is levied and shall continue without need or reenactment by virtue
of the authority granted by Act No. 511 of 1965.[1]
[Amended 1-12-1989 by Ord. No. 438]
[1]
Editor's Note: See 53 P.S. § 6901 et seq. and 53
P.S. §§ 6924.101 to 6924.312.
The Collector for the tax imposed herein shall be the person
designated by the Borough Council of the Borough of Ligonier. He shall
collect and receive all such taxes, shall furnish a receipt for their
payment and shall keep a record showing the amount received by him
from each taxpayer under this article and the date of each receipt.
The Finance Committee of the Borough Council, together with the Borough
Solicitor, is empowered to prescribe rules and regulations relating
to any matter or thing pertaining to the administration and enforcement
of the provisions of this article. Such rules and regulations shall
be inscribed by the Borough Secretary in a book kept for that purpose
and open to the inspection of the public.
A.
Each person whose earnings or profits are subject to the tax imposed
by this article, except those persons whose total tax is deducted
at the source by the employer, shall, on or before April 15 of the
current year, make and file with the Borough of Ligonier an estimate
of his or her net income on a form furnished by or obtainable from
the Borough of Ligonier, setting forth the estimated amount of salaries,
wages, commissions, compensation and other earned income, or net profits
expected to be earned by him during the year, and subject to said
tax imposed hereby, together with such other pertinent information
as the Borough of Ligonier may require.
[Amended 1-12-1989 by Ord. No. 438]
B.
Each return shall also show the estimated amount of the tax imposed
by this article on such estimated earnings and profits. The person
making said return shall at the time of filing thereof pay to the
person designated by the Borough Council of the Borough of Ligonier
as the Collector for the tax imposed herein the estimated amount of
tax shown as due thereon; provided, however, that the taxpayer shall
have the right to pay the estimated tax or the balance of the estimated
tax as shown on the return in four quarterly installments, the first
on or before April 15 of the current year at the time of the filing
of his declaration of estimated net profit or earned income for that
year and the other installment thereof on or before June 15 of that
current year, September 15 of that current year and January 15 of
the succeeding year respectively.
[Amended 1-12-1989 by Ord. No. 438]
C.
On or before April 15 of the current year, the taxpayer who has so
filed a complete return of his net income shall pay the balance of
the tax or make a demand for a refund of an overpayment thereof, as
the case may be. Any taxpayer filing said estimate for 1966 or any
succeeding year of net income may use as his estimate his preceding
year's net income; provided, further, that where any portion of the
tax due shall have been deducted at the source and shall have been
paid to the Borough of Ligonier by the person making said deduction,
credit for the amount so paid shall be deducted from the amount shown
to be due, and only the balance, if any, shall be due and payable
at the time of the filing of said return or as hereinabove provided;
provided, further, that the Borough of Ligonier is authorized to provide
by regulation that the return of an employer or employers showing
the amount of tax deducted by him or them from the salaries, wages,
commissions, compensation or earned income of an employee, and paid
by him or them to the Borough of Ligonier, shall be accepted as the
return required by an employee whose sole income subject to the tax
under this article is such salaries, wages, commissions, compensation
or earned income.
[Amended 1-12-1989 by Ord. No. 438]
D.
Any taxpayer who first anticipates any net profit for any year succeeding
1966 in which this tax is in operation and which said net profit is
realized after April 15 of the current year for said tax, the taxpayer
shall make and file his declaration of net estimated earned income
or net profit on or before June 15 of that current year, September
15 of that current year or December 11 of that current year, whichever
of these dates next follows the date on which the taxpayer first anticipates
such net profit, or earned income, and pay to the officer in equal
installments the tax due thereon, on or before the quarterly payment
dates which remain after the filing of the declaration.
E.
Every taxpayer who discontinues business prior to December 31 of
the current year for which this tax is imposed shall, within 30 days
after the discontinuance of business, file his final return as hereinabove
required and pay the tax due.
A.
Every employer having an office, factory, workshop, branch, warehouse
or other place of business within the Borough of Ligonier, 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
Collector designated by the Borough Council of the Borough of Ligonier
his name and address and such other information as the Collector shall
require.
B.
Every employer having an office, factory, workshop, branch, warehouse
or other place of business within the Borough of Ligonier, who employs
one or more persons on a salary, wage, commission or other compensation
basis, shall deduct, at the time of payment thereof, the tax of 1/2
of 1% of salaries, wages, commissions or other compensation due by
said employer to said employee 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 Collector the amount of taxes deducted during the preceding
three-month periods ending March 31 of that current year, June 30
of that current year, September 30 of that current year and December
31 of that current year, respectively. Such return, unless otherwise
agreed upon between the officer and employer, shall show the name
and social security number of each employee, the earned income of
such employee during such preceding three-month period, the tax deducted
therefrom, the name of the Borough of Ligonier as the political subdivision
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.
[Amended 1-12-1989 by Ord. No. 438]
C.
Any employer who for two of the preceding four quarterly periods
has failed to deduct the proper tax, or any part thereof, or who has
failed to pay over the proper amount of tax to the Collector may be
required by the Collector to file his return and pay the monthly return.
In such cases, payments of tax shall be made to the Collector on or
before the last day of the month succeeding the month for which the
tax was withheld; provided, however, that the failure or omission
of any employer, either residing within or outside of the Borough
of Ligonier, to make such return and/or to pay such tax shall not
relieve the employee from the payment of such tax and the compliance
with such regulations with respect to making returns and payments
thereof as may be fixed in this article as established by the Borough
of Ligonier.
D.
On or before February 28 of the succeeding year, every employer shall
file with the Collector:
(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 Collector for the period beginning January 1 of the current
year and ending December 31 of the current year.
(2)
A return withholding statement for each employee employed during
all or any part of the period beginning January 1 of that current
year for which the tax is imposed and ending December 31 of that current
year, setting forth that employee's name, address, social security
number, 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 Collector.
Every employer shall furnish two copies of the individual return to
the employee for whom it is filed.
E.
Except as otherwise provided in Section 9 of Act 511 of 1965,[1] every employer who willfully 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.
[1]
Editor's Note: See 53 P.S. § 6924.312.
It shall be the duty of the Collector designated by the Borough
Council of the Borough of Ligonier, for the collection of the tax
herein imposed, to collect and receive the tax imposed by this article.
It is also the duty of the Collector, designated by the Borough Council
of the Borough of Ligonier, in addition to keeping the records now
required by law or ordinances, to keep a record showing the amount
received by him for each taxpayer and the date of such receipt.
A.
The Collector, designated by the Borough Council of the Borough of
Ligonier for the tax herein imposed, is hereby charged with the enforcement
of the provisions of this article and the rules and regulations made
as prescribed herein and is hereby empowered to promulgate and enforce
rules and regulations relating to any matter or thing pertaining to
the administration and enforcement of the provisions of this article,
including provision for the reexamination and correction of returns
and payments alleged or found to be incorrect or as to which an overpayment
is claimed or found to have occurred.
B.
The Collector, designated by the Borough Council of the Borough of
Ligonier for the tax herein imposed, is hereby authorized to examine
the books, papers and records of any employer or alleged employer,
or of any taxpayer or supposed taxpayer, in order to verify the accuracy
of any return made and, if no return was made, to ascertain the tax
imposed by this article. Every such employer or alleged employer,
or taxpayer or supposed taxpayer, is hereby directed to give up to
the Collector, designated by the Borough Council of the Borough of
Ligonier for the tax herein imposed, the means, facilities and opportunity
for such examination and investigation as is hereby authorized and
to examine any person under oath concerning any income which was or
should have been returned for taxation and, to this end, may compel
the production of books, papers and records and the attendance of
all persons before him, whether as parties or witnesses, whom he believes
to have knowledge of such income.
C.
Any information gained by the Collector, designated by the Borough
Council of the Borough of Ligonier for the tax herein imposed, as
a result of any returns, investigations, hearings or verifications
required or authorized by this article shall be confidential and shall
not be divulged or revealed, except in accordance with proper judicial
order or as otherwise provided by law, or regulations made in accordance
with this article, and any person or agent divulging such information
shall be subject to a fine or penalty of not more than $500 and costs
for each offense and, in default of payment of said fine and costs,
to be imprisoned for a period not exceeding 30 days.
All taxes imposed by this article remaining unpaid after they
become due shall bear interest in addition to the amount of the unpaid
tax at the rate of 6% per year, and the persons upon whom said taxes
are imposed shall be further liable to a penalty of 1/2 of 1% of the
amount of the unpaid tax for each month or fraction of a month for
the first six months of nonpayment.
All taxes imposed by this article, together with all interest
and penalties, shall be recoverable by the Borough Solicitor as other
debts of like amounts are recoverable by boroughs as authorized and
set forth in the laws of the Commonwealth of Pennsylvania.
A.
Any person convicted before the Magisterial District Judge for a
violation of any of the provisions or requirements of this article
or who shall fail, neglect or refuse to make any return required by
this article or any taxpayer who shall fail, neglect or refuse to
pay the tax, penalties and interest imposed by this article or any
person who shall refuse to permit the Collector, designated by the
Borough Council of the Borough of Ligonier for the tax herein imposed,
to examine his books, records and papers or who shall knowingly make
any incomplete, false or fraudulent return or who shall attempt to
do anything whatever to avoid the full disclosure of the amount of
his earnings or profits to avoid the payment of the whole or any part
of the tax shall be subject to a fine or penalty not exceeding $600
and costs for each such offense or to undergo imprisonment for not
more than 30 days for the nonpayment of such fine or penalty.
[Amended 1-12-1989 by Ord. No. 438; 7-12-2001 by Ord. No. 514]
B.
Such fine or penalty shall be in addition to any other penalty imposed
by any other section of this article.
C.
The failure of any employer or any taxpayer to receive or procure
a return form shall not excuse him from making a return.
This article shall not apply to any person or property as to
whom or which it is beyond the legal power of the Council to impose
the tax or duties herein provided for.
