[Adopted 12-6-2010 by Ord. No. 124[1]]
[1]
Editor's Note: This ordinance also superseded former Art.
II, Occupational Privilege Tax, adopted 5-6-1986 by Ord. No. 27, as
amended.
This article shall be known and may be cited as the "Local Services
Tax Ordinance."
A.
COLLECTOR
EMPLOYER
INDIVIDUAL
OCCUPATION
RESERVE COMPONENT OF THE ARMED FORCES
TAX
The following
words and phrases when used in this article shall have the meanings
ascribed to them in this section, except where the context or language
clearly indicates or requires a different meaning:
The person or firm from time to time designated by motion
of Township of Hamilton to collect and administer the provisions of
this article and collect the tax levied by this article.
An individual, partnership, association, corporation, governmental
body, agency or other entity employing one or more persons on a salary,
wage, commission, fee or other compensation basis, including a self-employed
person.
Any person, male or female, 18 years of age or over, engaged
in any occupation within the limits of Hamilton Township.
Any trade, profession, business or undertaking of any type,
kind or character including services, domestic or other, carried on
or performed within the limits of Hamilton Township for which an aggregate
total compensation of at least $12,000, per calendar year is charged
or received whether by means of salary, wages, commissions, or fees
for services rendered.
The United States Army Reserve, United States Navy Reserve,
United States Marine Corps Reserve, United States Coast Guard Reserve,
United States Air Force Reserve, the Pennsylvania Army National Guard
or the Pennsylvania Air National Guard.
The local services tax levied by this article.
B.
"He," "His" or "Him" shall include singular and plural number and
male, female and neuter gender.
Township of Hamilton hereby imposes a tax for general revenue
purposes in the amount of $52 upon the privilege of engaging in an
occupation within the Township of Hamilton in the year of 2011, and
in each following calendar year. This tax is in addition to all other
taxes of any kind or nature heretofore levied by Township of Hamilton.
Each employer within Hamilton Township, and each employer situate
outside Hamilton Township, but who engages in business within Hamilton
Township, is hereby charged with the duty of collecting the tax from
each of the employees engaged by him and performing for him within
Hamilton Township, and making a return and payment thereof to the
collector. Further, each employer is hereby authorized to deduct said
tax from the salary, wages, commissions or fees paid each employee
in his employ.
Each employer shall prepare and file a return showing a computation
of the tax on forms to be supplied to him by the collector. Each employer
in filing this return and making payment of the tax withheld from
his employee shall be entitled to retain a commission calculated at
the rate of 2% of the gross tax due and payable, provided that such
tax is collected and paid over by the employer on or before the dates
hereinafter set forth. It is further provided that if the employer
fails to file said return and pay said tax, whether or not he makes
collection thereof from the salary, wages, commissions or fees paid
by him to said employee, the employer shall be responsible for the
payment of the tax in full without deducting a commission and as though
the tax had originally been levied against him.
Each employer shall use his employment records from the first
day of January to the 31st day of March, 2011, for determining the
number of employees from whom said tax shall be deducted and paid
over to the collector on or before April 30, 2011. Supplemental reports
shall be made by each employer on July 31, 2011, October 31, 2011,
and January 31, 2012, for new employees as reflected on his employment
records from April 1, 2011, to June 30, 2011; July 1, 2011, to September
30, 2011; and October 1, 2011 to December 31, 2011. Payments on these
supplemental reports shall be made on July 31, 2011, October 31, 2011,
and January 31, 2012, respectively.
In the event an individual is engaged in more than one occupation
or an occupation which requires working in more than one political
subdivision during the calendar year, the priority of claim to collect
the tax shall be in the following order: First, the political subdivision
in which the individual maintains his principal office or is principally
employed; second, the political subdivision in which the individual
resides and works, if a like tax is levied by the political subdivision;
third, the political subdivision in which the individual is employed
and which imposes the tax nearest in miles to the individual's
home. The place of employment shall be determined as of the day the
individual first becomes subject to a like tax during the calendar
year. Any employer to whom an employee shows a receipt for a like
tax for the calendar year from some other political subdivision or
employer shall not be required to deduct this tax from the employee's
wages but shall include such employee on his return by setting forth
his name, address and the identification of the other political subdivision
to whom the tax was paid or the employer who deducted the tax.
All self-employed individuals engaged in any occupation within
Hamilton Township shall be required to comply with this article and
to pay the tax to the collector on April 30, 2011, or as soon thereafter
as he engages in an occupation.
All employees and self-employed individuals residing or having
their place of business outside Hamilton Township, but who engage
in any occupation within Hamilton Township, do by virtue thereof agree
to be bound by and subject themselves to the provisions, penalties
and regulations promulgated under this article with the same force
and effect as though they were residents of Hamilton Township. Further,
any individual engaged in an occupation within Hamilton Township and
an employee of a nonresident employer may for the purpose of this
article be considered a self-employed person and in the event this
tax is not paid, the Township shall have the option of proceeding
against either the employer or employee for the collection of this
tax as hereinafter provided.
A.
The following persons are exempted from the Local Services Act or
any portion thereof:
(1)
Any person whose total income from all sources is less than $ 12,000
per annum;
(2)
Any person who has served in any war or armed conflict in which the
United States was engaged and is honorably discharged or released
under honorable circumstances from active service if, as a result
of military service, the person is blind, paraplegic or a double or
quadruple amputee or has a service-connected disability declared by
the United States Veterans' Administration or its successor to
be a total, one-hundred-percent-permanent disability;
(3)
Any person who serves as a member of a reserve component of the armed
forces and is called to active duty at any time during the taxable
year.
B.
Hamilton Township and the collector may adopt regulations for the
processing of claims for exemptions.
A.
It shall be the duty of the collector to accept and receive payments
of this tax and to keep a record thereof showing the amount received
by him from each employer or self-employed person, together with the
date the tax was received.
B.
The collector is hereby charged with the administration and enforcement
of this article and is hereby empowered to prescribe, adopt, promulgate
and enforce rules and regulations relating to any matter pertaining
to the administration and enforcement of this article, including provisions
for the examination of the payroll records of any employer subject
to this article; the examination and correction of any return 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 collector
shall have the right to appeal to the Court of Common Pleas of Adams
County as in other cases provided.
C.
The 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; or, if no return was made, to ascertain the tax
due. Each employer is hereby directed and required to give the collector
the means, facilities and opportunity for such examination.
A.
In the event any tax under this article remains due or unpaid 30
days after the due date above set forth, the collector may sue for
the recovery of such tax due or unpaid together with interest and
penalty.
B.
If for any reason the tax is not paid when due, interest at the rate
of 6% on the amount of said tax shall be calculated beginning with
the due date of said tax, and a penalty of 5% shall be added to the
flat rate of said tax for nonpayment thereof. Where suit is brought
for the recovery of this tax, the individual liable therefore shall
in addition be responsible and liable for the costs of collection.
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 and control in order to determine the number
of employees subject to this tax who are in his employment, or who
fails or refuses to file any return required by this article, or fails
or refuses to pay the tax herein levied, shall, upon conviction before
any Justice of the Peace, be sentenced to pay a fine of not more than
$300, for each offense, plus the costs of collection, including reasonable
attorney's fees, and in default of payment of said fine to be
imprisoned in Adams County Prison for a period not exceeding 30 days
for each offense. It is further provided that the action to enforce
the fine and penalty herein provided may be instituted against any
person in charge of the business of any employer who failed or refused
to file a return required by this article.
A.
Nothing contained in this article shall be construed to empower the
Township of Hamilton to levy and collect the tax hereby imposed on
any occupational privilege not within the taxing power of Hamilton
Township under the Constitution of the United States and the laws
of the Commonwealth of Pennsylvania.
B.
If the tax hereby imposed under the provisions of this article shall
be held by any court of competent jurisdiction to be in violation
of the Constitution of the United States or of the laws of the Commonwealth
of Pennsylvania as to any individual, the decision of the court shall
not affect or impair the right to impose or collect said tax or the
validity of the tax so imposed on other individuals as herein provided.
This article shall become effective January 1, 2011, and remain
in force and effect for the calendar year of 2011, and for each following
calendar year, unless repealed.
