[Adopted 12-1-1950 by Ord. No. 896, amended in its entirety 12-9-1980 by Ord. No.
1486]
This article shall be known and may be cited as the "Business
Privilege Tax Ordinance."
As used in this article, unless the context indicates clearly
a different meaning, the following words and phrases shall have the
meanings set forth below:
The Borough of Millvale.
Carrying on or exercising whether for gain or profit or otherwise
within the Borough any trade, business, including but not limited
to financial business as herein defined, profession, vocation, service,
construction, communication or commercial activity, making sales to
persons or rendering services from or attributable to a bona fide
Borough office or place of business.
"Business" does not include the following: any business which
is subject to the Borough's mercantile tax on its gross receipts;
the business of any political subdivision; any employment for a wage
or salary; or any business upon which the power to levy a tax is prohibited
by law.
The services 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, monetary metals, factors and commission merchants. "Financial
business" shall not include installment sale and lease transactions
involving the use of personal property such as automobiles or trucks.
Cash, credits, property of any kind or nature, received in
or allocable or attributable to the Borough from any business, or
services rendered, or commercial or business transactions without
deduction therefrom on account of the cost of property sold, materials
used, labor, service or other cost, interest or discount paid, or
any other expense. "Gross receipts" exclude the following:
In the case of 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,
and shall also exclude deposits.
In the case of any broker, any commission paid by him to another
broker on account of a purchase or sales contract initiated, executed
or cleared in conjunction with such other broker.
Receipts or that portion thereof attributable to interstate
or foreign commerce or to a bona fide office or place of business
regularly maintained by the taxpayer outside the Borough limits, and
not for the purpose of evading tax payment, and those receipts which
the Borough is prohibited from taxing by law. Such receipts shall
be segregated so that only that part of the receipts which is properly
attributable and allocable to the doing of business in the Borough
shall be taxed hereunder.
The amount of any contract or receipt or portion thereof which
is subject to the payment of this business privilege tax by virtue
of any other contract, subcontract or gross receipts herein defined.
Any natural person, partnership, unincorporated association
or corporation, nonprofit or otherwise. Whenever used in any provision
prescribing a fine or a penalty, the word "person," as applied to
partnerships, shall mean the partners thereof, and as applied to corporations
and unincorporated associations, shall mean the officers thereof.
The twelve-month period from January 1 to December 31, which
coincides with the calendar year.
Any business which is conducted at one location for less
than 60 consecutive calendar days.
[Amended 12-30-1992 by Ord. No. 1904; 5-4-1993 by Ord. No. 1917]
Every person engaging in any business in the Borough shall pay
an annual tax at the rate of 1 1/2 mills on each dollar of volume
of the gross annual receipts thereof.
A.
Every person subject to the payment of the tax hereby imposed who
has commenced his business at least one full year prior to the beginning
of any tax year shall compute his tax upon the actual gross receipts
received by him during the preceding calendar year.
B.
Every person subject to the payment of the tax hereby imposed who
commences or has commenced his business less than one full year prior
to the beginning of any tax year, shall compute his tax for such tax
year upon the average monthly gross receipts generated by the business
during the preceding calendar year multiplied by 12.
C.
Every person subject to the payment of the tax hereby imposed who
commences or has commenced his business subsequent to the beginning
of any tax year shall compute his tax for such year upon the gross
receipts generated by the business during the first month of such
business multiplied by the number of months or fraction thereof remaining
in the tax year.
D.
Every person subject to the payment of the tax hereby imposed who
engages in a business, temporary, seasonal or itinerant by its nature,
shall compute his annual gross receipts upon the actual gross receipts
received during such tax year.
E.
Every person who ceases to carry on a business during any tax year,
after having paid the business privilege tax for the year, shall,
upon making proper application to the Tax Collector, be entitled to
receive a refund of the pro rata amount of the tax paid based upon
a period of time he was not in business during the tax year.
A.
Every person subject to the tax imposed by this article shall forthwith
register with the Tax Collector and set forth his name, address, business
address and the nature of the business activity in which he is engaged.
B.
Every return shall be made upon a form furnished by the Tax Collector.
Every person making a return shall certify the correctness thereof
by affidavit.
C.
Every person subject to the tax imposed by this article who has commenced
his business at least one full year prior to the beginning to any
tax year shall, on or before the following April 15 and annually thereafter,
file with the Tax Collector a return setting forth his name, business,
business address and such other information as may be necessary in
arriving at the annual gross volume of business transacted by him
during the preceding year and the amount of the tax due.
D.
Every person subject to the tax imposed by this article who has commenced
his business less than one full year prior to the beginning to the
tax year shall, on or before the following April 15, file with the
Tax Collector a return setting forth his name, residence, business,
business address and such other information as may be necessary and
arriving at the actual volume of business transaction transacted by
him during the period of operation prior to January 1 of that tax
year, and the amount of the tax due.
E.
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 a return with
the treasurer setting forth his name, business, business address and
such other information as may be necessary in arriving at the actual
volume of business transacted by him during his first month of business
and the amount of tax due.
F.
Every person subject to the payment of the tax imposed by this article
who engages in a business, temporary, seasonal or itinerant by its
nature, shall, within seven days from the day he completes such business,
file a return with the Tax Collector setting forth his name, business,
business address and such other information may be necessary in arriving
at the actual gross volume of business during the tax period and the
amount of the tax due.
The person making the return shall at the time of filing the
return pay the amount of tax shown as due thereon to the Tax Collector.
A.
It shall be the duty of the Tax Collector to collect and receive
the taxes, fines and penalties imposed by this article. It shall also
be his duty to keep a record showing the amount received by him from
each person paying the tax and the date of such receipt.
B.
The Tax Collector is hereby charged with the administration and enforcement
of the provisions of this article and any rules and regulations adopted
pursuant thereto, including 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, and to make refunds where necessary.
Any person aggrieved by any decision of the Tax Collector shall have
the right to appeal to any court of proper jurisdiction.
C.
The Tax Collector is hereby authorized to examine and/or 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 receipts and to otherwise to administrate
and enforce this article and any rules and regulations adopted pursuant
thereto. Every taxpayer or supposed taxpayer is hereby directed and
required to give to the Tax Collector the means, facilities and opportunity
for such examinations and investigation as a Tax Collector may feel
are necessary.
Any information gained by the Tax Collector, or any other officer,
official, agent or employee of the Borough, as a result of any returns,
investigations, hearings or verifications, required or authorized
by this article, shall be confidential except in accordance with proper
judicial order or as otherwise provided by law, and divulgence of
any information so gained is hereby declared to be a violation of
this article, which may be punished by dismissal from office or employment.
A.
The Tax Collector may sue for the recovery of taxes due and unpaid
under this article and may enter such suit in the name of the Borough
of Millvale.
B.
If for any reason the tax is not paid when due in each year, interest
at the rate of 6% per annum and an additional penalty of 1% of the
amount of the unpaid tax for each month or fraction thereof during
which the tax remains unpaid, shall be added and collected. Where
suit is brought for the recovery of any such tax, the person liable
therefor shall, in addition, be liable for the cost of collection
and the interest and penalties herein imposed.
Whoever makes any false or untrue statement on his return, or
who refuses to permit inspection of the books, records or accounts
of any business in his custody, when the right to make such inspection
by the Tax Collector is requested, and whoever fails or refuses to
file a return required by this article, or refuses to pay any amounts
due thereunder, shall, upon being found liable therefor in a civil
enforcement proceeding commenced by the Borough before a Magisterial
District Judge, pay a fine of not less than $100 nor more than $600,
plus court costs and reasonable attorneys' fees incurred by the Borough
in the enforcement proceedings. No judgment shall be imposed until
the date of the determination of the violation by the Magisterial
District Judge. If the defendant neither pays nor timely appeals the
judgment, the Borough may enforce the judgment pursuant to the applicable
Rules of Civil Procedure. Each day a violation exists shall constitute
a separate offense. Further, the appropriate officers or agents of
the Borough are hereby authorized to seek equitable relief, including
injunction, to enforce compliance herewith. Where the taxpayer is
a firm or an association, the fine or penalty may be imposed upon
any of the partners or members thereof, and in case of corporations,
upon any of the officers thereof.
The Tax Collector is hereby authorized to accept payment under
protest of the amount of business privilege tax claimed by the Borough
in any case where the taxpayer disputes the validity or the amount
of the Borough's claim for the tax. If it is thereafter judicially
determined by a court of competent jurisdiction that the Borough has
been overpaid, the amount of the overpayment shall be refunded to
the taxpayer without any accrued interest.
The Tax Collector shall receive as compensation for the collection
of all taxes and penalties herein imposed 2% of all amounts collected
under the terms and provisions of this article.
A.
Nothing
contained in this article shall be construed to empower the Borough
of Millvale to levy and collect the taxes hereby imposed on any person
or any business not within the taxing power of the Borough of Millvale
under the Constitution of the United States and the laws of the Constitution
of the Commonwealth of Pennsylvania.
B.
If the
tax, or any portion thereof, imposed upon any person under the provision
of this article shall be held by any court of competent jurisdiction
to be in violation of the Constitution of the United States or the
Commonwealth of Pennsylvania, the decision of the court shall not
affect or impair the right to impose the taxes or the validity of
the taxes so imposed upon other persons as herein provided.
C.
If a final
decision of court of competent jurisdiction holds any provision of
this article, or the application of any provision to any circumstances,
to be illegal or unconstitutional, the other provisions of this article,
or the application of such provisions to other circumstances, shall
remain in full force and effect. It is hereby declared to be the intention
of the Council of the Borough of Millvale that this article would
have been adopted if such illegal, invalid or unconstitutional provisions
had not been included herein.
This article and the tax levied hereunder shall continue in
full force in effect for the tax year 1981, and each year thereafter
without annual reenactment. All dates referred to herein shall be
applicable to each succeeding year.
This article and tax are passed pursuant to the authority of
the Local Tax Enabling Act, Act No. 511, approved December 31, 1965,
P.L. 1257, and amendments thereto.[1]
[1]
Editor's Note: See 53 P.S. § 6924.101 et seq.
Any ordinance or part of an ordinance conflicting with the provisions
of this article be and the same is hereby repealed as of the effective
date of this article, insofar as the same effects this article. Ordinance
No. 896 of the Borough of Millvale ordained and enacted into law on
the first day of December 1950 is specifically repealed as of the
effective date of this article, subject to the following exception:
A.
Section 9 (Suit on Collection; Penalty) and Section 10 (Fine and
Penalties) of said Ordinance No. 896 are specifically saved from repeal
for purposes of collecting unpaid taxes levied pursuant to said Ordinance
No. 896.
The provisions of this article shall become effective January
1, 1981.
