[Adopted 4-4-1983 by Ord. No. 2-83; amended in its entirety 12-3-2007 by Ord. No. 06-07]
The following words and phrases, when used in this article, shall have the meanings ascribed to them in this section unless the context clearly indicates a different meaning:
BOROUGH
The Borough of Boyertown, Berks County, Pennsylvania.
DATE OF BILLING
The date when the Tax Collector first issues the bills under this article.
EMPLOYER
An individual, partnership, limited partnership, association, firm or corporation that engages the services of any individual and makes payment to said individual, whether by salary, wages or commission. An "employer" shall include a self-employed person who engages in his employ the services of one or more individuals besides himself.
INDIVIDUALS
Any person, male or female, engaged in any occupation of any nature, kind or type within the limits of the Borough, whether in the employ of another or self-employed during the current calendar year.
OCCUPATION
Any trade, profession, business or undertaking of any type or kind carried on or performed within the Borough for which recompense is received, whether by means of salary, wages, commission or, if the individual is self-employed, by payment for services rendered.
TAX COLLECTOR
The person designated by the Borough for the collection of local services taxes.
For the period following January 2, 1984, or the current year, the Borough hereby imposes on each individual engaged in occupations within the limits of the Borough a local services tax in the manner and at the rates hereinafter set forth.
Each individual engaged in an occupation, as defined herein, within the limits of the Borough shall pay an annual local services tax of $52.
A. 
The local services tax ("LST") must be assessed and collected on a pro-rata basis determined by the number of payroll periods established by an employer for a calendar year. The pro-rata share of the LST assessed on each taxpayer for a payroll period shall be calculated by dividing the combined rate of the LST by the number of payroll periods established by the employer for the calendar year. Therefore, the $52 local services tax will be collected at $1 per week for taxpayers paid weekly, or at $4.33 per month for taxpayers paid monthly. The LST shall be applicable to employment beginning January 1 of the current year and ending December 31 of the current year. The employer shall be required to remit the LST to the Borough's Tax Collector 30 days after the end of each quarter of a calendar year. The Tax Collector shall, upon written notice to the employer, collect from all taxpayers owing delinquent local services taxes. Upon the presentation of such written notice, it shall be the duty of the employer to deduct from the wages, commissions or earning of such employee, then owing or that shall within 60 days thereafter become due, a sum sufficient to pay the respective amount of the delinquent LST to the Tax Collector within 60 days after such written notice shall have been given. No more than 10% of the wages, commissions or earnings of the delinquent taxpayer may be deducted at any one time for delinquent local services taxes. The employer shall be entitled to deduct from the moneys collected from such employee the costs incurred from the extra bookkeeping necessary to record such transactions, not exceeding 2% of the amount of money so collected and paid over to the Tax Collector. Upon the failure of any employer to deduct the amount of delinquent taxes or to pay the same over to the Tax Collector, less the cost of bookkeeping involved in such transaction, within the time period required, such employer shall pay the amount of the delinquent taxes for each taxpayer whose taxes are not withheld and paid over or that are withheld and not paid over together with a penalty of 10% added thereto. Upon failure of the employer to deduct the amount of delinquent taxes as set forth above, the Tax Collector shall recover by filing an action of assumpsit in a suit to be instituted by the Tax Collector.
B. 
From January 2, 1984, and each year thereafter, all new businesses located within the Borough, whether they are a corporation, individual proprietorship, partnership or any type of association whatsoever and whether they are an industrial or commercial business, shall obtain a form from the Tax Collector and/or the Secretary of the Borough Council and shall complete said form and return it to the Tax Collector within 15 days after commencing to do business in the Borough. Said information shall consist of but not be limited to the following:
(1) 
The names of the property owner(s).
(2) 
The address of the property owner(s).
(3) 
The location of the business property.
(4) 
The name of the business or enterprise, along with the names of the principals involved and their home or residential addresses and whether the business enterprise is a corporation, individual proprietorship, partnership, profit corporation, nonprofit corporation or any other type of association. In the case of a corporation, the names and addresses of all corporate officers shall be supplied.
(5) 
The name and telephone number of a responsible individual to be contacted in case of an emergency or crisis situation.
(6) 
Any other address of the business enterprise outside of the Borough.
(7) 
The estimated number of employees.
(8) 
The date business commenced within the Borough.
(9) 
Additional information as may be required by the Tax Collector from time to time.
C. 
From January 2, 1984, and each year thereafter, it is hereby required that all landlords shall provide an updated list of all the occupants within their building(s) which they own within the Borough to be supplied to the Tax Collector by not later than January 31, 1984, and each year thereafter.
D. 
Any business enterprise, whether it is a corporation, individual proprietorship, partnership or any other type of business association, failing to comply with the provisions of this article shall, upon summary conviction before a District Justice or a Justice of the Peace, be sentenced to pay a fine of $600 and costs of prosecution and, in default of payment thereof, shall undergo imprisonment for not more than five days. In the case of a corporation, the officers of said business shall be responsible and subject to the fine hereinbefore imposed.
All employers with work sites within the Borough are required to deduct the LST from their employees at the site of employment. The situs for payment is the place of employment on the first day the taxpayer becomes subject to the LST during each payroll period. All employers are hereby charged with the duty of paying over to the Tax Collector from each employee engaged in his or her service the LST of $52 per year upon each individual employed by said employer who performs services on behalf of said employer within the geographical limits of the Borough who is engaged in an occupation, as defined in Article IV, for the benefit of said employer or in the service of said employer within the geographical limits of the Borough. Each employer shall make a return in payment of said tax and is authorized to deduct said LST at the pro-rata basis described in § 174-36A of this article. Employers are only required to withhold the LST on a payroll-period basis for those payroll periods in which the taxpayer is employed. Each employer within the Borough shall prepare and file a return showing a computation of the tax on a form to be obtained from the Tax Collector.
Each individual who shall have more than one occupation within the Borough shall be subject to the payment of the local services tax solely upon his principal occupation, and an employer is not required to withhold the LST if the taxpayer provides a pay stub from his or her principal employer accompanied by a form developed by the Department of Community and Economic Development entitled "Employee Statement of Principal Employment," indicating that the pay stub is from the taxpayer's principal employer and that the taxpayer will notify the employer of any change in employment. Employers are relieved of liability for the LST if employers fail to withhold the tax due to incorrect information provided by the taxpayer regarding the taxpayer's principal employer or if the employer complies with the provisions in this article establishing the collection of the tax on a payroll-period basis. If a taxpayer has two or more jobs in different political subdivisions during a payroll period, the priority of claim to collect the LST shall be in the following order:
A. 
Where the taxpayer maintains his or her principal office or is principally employed;
B. 
Where the taxpayer resides and works; and
C. 
Where the taxpayer is employed that is nearest in miles to the taxpayer's home.
Each self-employed individual in the Borough who performs services of any type or kind within the geographical limits of the Borough, whether the same is regarded as a profession or a business, shall be required to pay a local services tax on a quarterly basis. The LST shall be pro rated and paid to the Tax Collector 30 days after the end of each calendar quarter.
A. 
It shall be the duty of the Tax Collector to collect and receive the taxes, fines or penalties imposed by this article. It shall also be his duty to keep a record showing the amount received by him from each self-employed person paying the tax and the date of such receipt; and further, it shall be his duty to keep a record showing the amount received by him from every employer paying the tax on behalf of his employees by deduction made by said employer from the salary, wages, commissions or other forms of recompense.
B. 
The Tax Collector is hereby charged with the administration and enforcement of the provisions of this article and is hereby empowered to prescribe, adopt and promulgate and enforce rules and regulations relating to any matter pertaining to the administration and enforcement of this article, including a provision for the examination of the payroll records of any employer within the Borough; and further, for the reexamination and correction of any returns made in compliance with this article and any payment alleged or found to be incorrect or as to which overpayment is claimed or found to have occurred. Any person aggrieved by any decision of the Tax Collector shall have the right to appeal as in other cases provided.
C. 
The Tax Collector is hereby authorized to examine the books and payroll records of any employer in order to verify the accuracy of any return made by an employer on behalf of his employees or, if no return was made, to ascertain the local services tax due. Each employer in the Borough is hereby directed and required to give to the Tax Collector the means, facilities and opportunity for such examinations and investigations as are hereby authorized.
[Amended 4-2-2012 by Ord. No. 02-2012]
A. 
The Tax Collector may sue in the name of the Borough for the recovery of any tax due or unpaid under this article.
B. 
If, for any reason, the tax imposed by this article is not paid when due, a penalty of 10% of the amount of such tax shall be added to the flat rate of said tax. Further, for every month that such tax remains unpaid after it is due, interest at the rate of 1% of the amount of such tax shall accrue and be added to the amount due.
Whoever makes any false or untrue statement on any return required by this article or who refuses inspection of his books, records or accounts in his custody or control in order to determine the number of employees subject to the local services tax who are in employment or whoever fails and refuses to file any return required by this article shall, upon conviction in a summary proceeding, be sentenced to pay a fine of not more than $600 for each offense, and in default of payment of said fine, to be imprisoned for a period not exceeding 30 days for each offense.
This article is enacted under the authority of the Local Tax Enabling Act, Act No. 511, of 1965, as amended.[1]
[1]
Editor's Note: See 53 P.S. § 6924.101 et seq.
This article shall remain in full force and effect for the calendar year 1984 and every calendar year thereafter in accordance with requirements of Act. No. 511 of 1965, as amended.
Any individual engaged in an occupation, as defined in this article, whose total earned income and net profits from all sources within the political subdivision is less than $12,000 for the calendar year in which the LST is levied, shall be exempt from payment of the LST for each such year. In order to receive an upfront exemption, employees must file an annual upfront exemption form developed by DCED with the Borough and the employee's employer. The exemption certificate shall verify that the employee reasonably expects to receive earned income and net profits of less than $12,000 from all sources within the Borough for the calendar year for which the exemption certificate is filed. Employers shall make upfront exemption forms readily available to employees at all times and provide new employees with the forms at the time of hiring. In addition, the following individuals are exempt from the LST:
A. 
Members of a reserve component of the armed forces called to duty; and
B. 
Honorably discharged veterans who served in any war or armed conflict who are blind, paraplegic, or a double or quadruple amputee as a result of military service or who are one-hundred-percent-disabled from a service-connected disability.