[Adopted 11-1-1988 as Ch. 24, Part 1, of the 1988 Code; amended in its entirety 9-19-2011 by Ord. No. 1304]
A. 
All terms defined in the Local Tax Enabling Act, 53 P.S. § 6924.101 et seq., shall have the meanings set forth therein.
B. 
The following terms shall have the meanings set forth herein:
BUSINESS
An enterprise, activity, profession, or any other undertaking of an unincorporated nature conducted for profit or ordinarily conducted for profit whether by a person, partnership, association or any other entity.
COLLECTOR
The person or entity appointed as Tax Officer pursuant to the Local Tax Enabling Act to collect the tax.
COMBINED TAX RATE APPLICABLE TO RESIDENTS
The total rate applicable to residents of the taxing authority, including the tax imposed by the school district and by the municipality in which the individual resides, is 1%.
DOMICILE
The place where a person lives and has a permanent home and to which the person has the intention of returning whenever 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 the person to adopt some other permanent home. In the case of a business, "domicile" is that place considered to be the center of business affairs and the place where its functions are discharged.
EARNED INCOME
As defined in the Local Tax Enabling Act, 53 P.S. § 6924.101 et seq., as amended.
[Amended at time of adoption of Code (see Ch. 1, General Provisions, Art. I)]
EFFECTIVE DATE
January 1, 2012.
EMPLOYER
A person, business entity or other entity, employing one or more person for a salary, wage, commission or other compensation. The term includes the commonwealth, a political subdivision and an instrumentality or public authority of either. For purpose of penalties under this article, the term includes a corporate officer.
GOVERNING BODY
The Council of the Borough of Canonsburg, Washington County, Pennsylvania.
LOCAL TAX ENABLING ACT
The Local Tax Enabling Act, 53 P.S. § 6924.101 et seq., and any amendments thereto.
MUNICIPAL TAX RATE APPLICABLE TO NONRESIDENTS
The total rate applicable to residents working within the taxing authority based on the municipal nonresident tax rate is 1%.
NET PROFITS
The net income from the operation of a business, other than a corporation, as required to be reported to or as determined by the Pennsylvania Department of Revenue under Section 303 of the Tax Reform Code of 1971, as amended,[1] and rules and regulations promulgated thereunder. The term does not include income under any of the following subsections:
(1) 
Income which:
(a) 
Is not paid for services provided; and
(b) 
Is in the nature of earnings from an investment.
(2) 
Income which represents:
(a) 
Any gain on the sale of farm machinery;
(b) 
Any gain on the sale of livestock held for 12 months or more for draft, breeding or dairy purposes; or
(c) 
Any gain on the sale of other capital assets of a farm.
NONRESIDENT
A person or business domiciled outside the taxing authority.
PERSON
A natural person.
RESIDENT
A person or business domiciled in the Borough/township/city.
TAX
The tax imposed by this article.
TAXING AUTHORITY
The Borough of Canonsburg, Washington County, Pennsylvania.
TAXPAYER
A person or business required under this article and the Local Tax Enabling Act to file a return of the earned income and net profits tax or to pay the earned income and net profits tax.
TAX RETURN
A form prescribed by the Collector for reporting the amount of tax or other amount owed or required to be withheld, remitted, or reported under this article or the Local Tax Enabling Act.
TAX YEAR
The period from January 1 to December 31.
TCC
The Washington County Tax Collection Committee, which has been established to govern and oversee the collection of earned income tax within the TCD under the Local Tax Enabling Act.
TCD
Any tax collection district to which the taxing authority or any part of the taxing authority is assigned under the Local Tax Enabling Act.
[1]
Editor's Note: See 72 P.S. § 7303.
A. 
General purpose resident tax. The taxing authority hereby imposes a tax for general revenue purposes at the rate of 1% on earned income and net profits of residents of the taxing authority.
B. 
General purpose nonresident tax. The taxing authority also imposes a tax for general revenue purposes at the rate of 1% on earned income and net profits derived by an individual who is not a resident of the taxing authority, from any work, business, profession, or activity, of any kind engaged in within the boundaries of the taxing authority.
C. 
Ongoing tax. The tax shall continue at the above rates during the current tax year and each tax year thereafter, without annual reenactment, until this article is repealed or the rate is changed.
D. 
Local Tax Enabling Act applicable. The tax is imposed under authority of the Local Tax Enabling Act,[1] and all provisions thereof that relate to a tax on earned income or net profits are incorporated into this article. Any future amendments to the Local Tax Enabling Act that are required to be applied to a tax on earned income or net profits will automatically become part of this article upon the effective date of such amendment, without the need for formal amendment of this article, to the maximum extent allowed by 1 Pa.C.S.A. § 1937.
[1]
Editor's Note: See 53 P.S. § 6924.101 et seq.
E. 
Applicable laws, regulations, policies and procedures. The tax shall be collected and administered in accordance with all applicable laws and regulations; and with policies and procedures adopted by the TCC or by the Collector. This includes any regulations, policies, and procedures adopted in the future to the maximum extent allowed by 1 Pa.C.S.A. § 1937.
Every resident receiving earned income or earning net profits in any tax year shall file tax returns and pay tax in accordance with the Local Tax Enabling Act[1] and this article.
[1]
Editor's Note: See 53 P.S. § 6924.101 et seq.
Residents and employers are subject to interest, penalties, costs, and fines in accordance with the Local Tax Enabling Act,[1] including costs imposed by the Collector in accordance with authorization by the TCC having jurisdiction.
[1]
Editor's Note: See 53 P.S. § 6924.101 et seq.
The provisions of this article are severable and if any of its provisions are ruled by a court invalid or unconstitutional, such decision shall not affect or impair any of the remaining provisions of this article. It is declared to be the intention of the Borough/township/city that this article would have been adopted if such invalid or unconstitutional provision had not been included.
The primary purpose of this article is to conform the earned income and net profits tax currently imposed by the taxing authority to the Local Tax Enabling Act,[1] as amended and restated by Act 32 of 2008, and to do so within the time frame required by Act 32. Any prior ordinance imposing a tax on earned income or net profits of individuals is amended and restated in its entirety to read as stated in this article. Any other prior ordinance or part of any prior ordinance conflicting with the provisions of this article is rescinded insofar as the conflict exists. To the extent that this article is the same as any ordinance in force immediately prior to adoption of this article, the provisions of this article are intended as a continuation of such prior ordinance and not as a new ordinance. If this article is declared invalid, any prior ordinance levying a similar tax shall remain in full force and effect and shall not be affected by adoption of this article. If any part of this article is declared invalid, the similar part of any prior ordinance levying a similar tax shall remain in effect and shall not be affected by adoption of this article. The provisions of this article shall not affect any act done or liability incurred, nor shall such provisions affect any suit or prosecution pending or to be initiated to enforce any right or penalty or to punish any offense under the authority of any ordinance in force prior to adoption of this article. Subject to the foregoing provisions of this section, this article shall amend and restate on the effective date any ordinance levying a tax on earned income or net profits in force immediately prior to the effective date.
[1]
Editor's Note: See 53 P.S. § 6924.101 et seq.