[Ord. 202, 12/22/1956; as amended by Ord. 348, 1/4/1982;
by Ord. 353, 4/9/1982; by Ord. 511, 2/10/1993; by Ord. 596, 2/3/1997;
and by Ord. 765, 6/6/2011]
For purposes of this Part 5, all terms defined in the Local Tax Enabling Act, 53 P.S. § 6924.101 et seq., shall have the meanings set forth therein. In addition, the following terms shall have the meanings set forth herein, unless the context shall clearly indicate otherwise:
January 1, 2012.
The Local Tax Enabling Act, 53 P.S. § 6924.101
et seq., and as amended in the future, including any regulations adopted
by the Department of Community and Economic Development thereunder.
The tax on earned income and net profits imposed by this Part 5.
The person or entity appointed as tax officer pursuant to
the Local Tax Enabling Act to collect the tax in the TCD.
A person or business required under this Part 5 or the Local Tax Enabling Act to file a tax return or to pay tax.
A form or forms prescribed by the Department of Community and Economic Development, or by the tax officer with the approval of the TCC, for reporting the amount of tax or other amount owed or required to be withheld, remitted, or reported under this Part 5 or the Local Tax Enabling Act.
The period from January 1 to December 31 in a single calendar
year.
The Tax Collection Committee established to govern and oversee
the collection of income tax within the TCD under the Local Tax Enabling
Act.
The Northampton Tax Collection District, or any future tax
collection district, to which the Borough or any part of the Borough
is assigned under the Local Tax Enabling Act.
[Ord. 202, 12/22/1956; as amended by Ord. 348, 1/4/1982;
by Ord. 353, 4/9/1982; by Ord. 511, 2/10/1993; by Ord. 596, 2/3/1997;
and by Ord. 765, 6/6/2011]
1.
General Purpose Resident Tax. The Borough hereby imposes a tax for
general revenue purposes at the rate of 1.0% on earned income and
net profits of residents of the Borough.
2.
General Purpose Municipal Nonresident Tax. The Borough also imposes
a tax for general revenue purposes at the rate of 1.0% on earned income
and net profits derived by a nonresident from any work, business,
profession, or activity of any kind engaged in within the boundaries
of the Borough.
3.
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above rates during the current tax year and each tax year thereafter, without annual reenactment, until this Part 5 is repealed or the rate is changed.
4.
Local Tax Enabling Act Applicable. The tax is imposed under authority of the Local Tax Enabling Act, and all provisions thereof that relate to a tax on earned income or net profits are incorporated into this Part 5. Any future amendments to the Local Tax Enabling Act that are required to be applied to the tax will automatically become part of this Part 5 upon the effective date of such amendment, without the need for formal amendment of this Part 5, to the maximum extent allowed by 1 Pa.C.S.A. § 1937.
5.
Applicable Laws, Regulations, Policies, and Procedures. The tax shall
be collected and administered in accordance with all applicable laws
and regulations and rules, regulations, policies and procedures adopted
by the TCC or by the tax officer in conformity with the Local Tax
Enabling Act. This includes any regulations, policies, and procedures
adopted in the future to the maximum extent allowed by 1 Pa.C.S.A.
§ 1937.
[Ord. 202, 12/22/1956; as amended by Ord. 348, 1/4/1982;
by Ord. 353, 4/9/1982; by Ord. 511, 2/10/1993; by Ord. 596, 2/3/1997;
and by Ord. 765, 6/6/2011]
Although credits and deductions against the tax are permitted
under certain circumstances as provided in applicable law and regulations,
no individuals are exempt from the tax based on age, income, or other
factors.
[Ord. 202, 12/22/1956; as amended by Ord. 348, 1/4/1982;
by Ord. 353, 4/9/1982; by Ord. 511, 2/10/1993; by Ord. 596, 2/3/1997;
and by Ord. 765, 6/6/2011]
Every taxpayer receiving earned income or earning net profits
in any tax year shall make and file tax returns and declarations and
pay tax in accordance with the Local Tax Enabling Act and the rules,
regulations, policies and procedures of the TCC and tax officer. A
taxpayer is required to file timely an annual tax return even if no
tax payment is due and owing. In addition, even though a resident
of the Borough did not earn income or net profits in the prior tax
year, the resident must file an annual tax return, when requested
to do so by the tax officer, stating the reason why there was no income
or net profits to report.
[Ord. 202, 12/22/1956; as amended by Ord. 348, 1/4/1982;
by Ord. 353, 4/9/1982; by Ord. 511, 2/10/1993; by Ord. 596, 2/3/1997;
and by Ord. 765, 6/6/2011]
Every employer shall register, require employee residency certificates,
withhold and remit the tax, and file tax returns and withholding statements
in accordance with the Local Tax Enabling Act and the rules, regulations,
policies and procedures of the TCC and tax officer.
[Ord. 202, 12/22/1956; as amended by Ord. 348, 1/4/1982;
by Ord. 353, 4/9/1982; by Ord. 511, 2/10/1993; by Ord. 596, 2/3/1997;
and by Ord. 765, 6/6/2011]
1.
Collection of Tax. The tax will be collected from taxpayers and employers
by the tax officer. The tax officer is authorized to file an action
in the name of the Borough for the recovery of the tax due to the
Borough and unpaid. Nothing in this section shall affect the authority
of the Borough to file an action in its own name for collection of
the tax under the Local Tax Enabling Act.
2.
Criminal Complaints for Violations. The tax officer is authorized to file criminal complaints on behalf of the Borough for violation of this Part 5 or the Local Tax Enabling Act. Nothing in this section shall affect the authority of the Borough to file a criminal complaint on its own behalf for violation of this Part 5 or the Local Tax Enabling Act.
[Ord. 202, 12/22/1956; as amended by Ord. 348, 1/4/1982;
by Ord. 353, 4/9/1982; by Ord. 511, 2/10/1993; by Ord. 596, 2/3/1997;
and by Ord. 765, 6/6/2011]
In the event of violation of this Part 5 or the Local Tax Enabling Act or nonpayment of the tax, taxpayers and employers are subject to interest, penalties, costs, and fines in accordance with the Local Tax Enabling Act, including costs of collection imposed by the tax officer in accordance with authorization by the TCC. The Tax Officer may retain reasonable costs of collection in accordance with the Local Tax Enabling Act and as approved by the TCC.
[Ord. 202, 12/22/1956; as amended by Ord. 348, 1/4/1982;
by Ord. 353, 4/9/1982; by Ord. 511, 2/10/1993; by Ord. 596, 2/3/1997;
and by Ord. 765, 6/6/2011]
The provisions of this Part 5 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 Part 5. It is declared to be the intention of the Borough Council of the Borough that this Part 5 would have been adopted if such invalid or unconstitutional provision had not been included.
[Ord. 202, 12/22/1956; as amended by Ord. 348, 1/4/1982;
by Ord. 353, 4/9/1982; by Ord. 511, 2/10/1993; by Ord. 596, 2/3/1997;
and by Ord. 765, 6/6/2011]
1.
The primary purpose of this Part 5 is to conform the Borough's currently existing earned income and net profits tax to the Local Tax Enabling Act, as amended and restated by Act 32 of 2008, and to do so within the time frame required by Act 32.
2.
Any prior ordinance or part of any prior ordinance conflicting with the provisions of this Part 5 is rescinded insofar as the conflict exists. To the extent that the provisions of this Part 5 are the same as any ordinance in force immediately prior to adoption of this Part 5, the provisions of this Part 5 are intended as a continuation of such prior ordinance and not as a new ordinance. If this Part 5 is declared invalid, any prior ordinance levying a similar tax shall remain in full force and effect and shall not be affected in any manner by adoption of this Part 5. The provisions of this Part 5 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 Part 5. Subject to the foregoing provisions of this section, this Part 5 shall supersede and repeal on the effective date any ordinance levying a tax on earned income or net profits in force immediately prior to the effective date.
[Ord. 202, 12/22/1956; as amended by Ord. 348, 1/4/1982;
by Ord. 353, 4/9/1982; by Ord. 511, 2/10/1993; by Ord. 596, 2/3/1997;
and by Ord. 765, 6/6/2011]
This Part 5 is intended to be consistent with the Local Tax Enabling Act. This Part 5 is intended to include all necessary authorizations to permit the tax officer to take all actions for the collection, administration, disbursement, and enforcement of the tax and all other actions on behalf of the political subdivisions of the TCD as authorized by the Local Tax Enabling Act, subject to the policies and procedures of the TCC. To give full force and effect to this Part 5, the authority of the tax officer shall be interpreted in the broadest permissible sense for the benefit of the tax officer's ability to perform its duties.
[Ord. 202, 12/22/1956; as amended by Ord. 348, 1/4/1982;
by Ord. 353, 4/9/1982; by Ord. 511, 2/10/1993; by Ord. 596, 2/3/1997;
and by Ord. 765, 6/6/2011]
The provisions of this Part 5 shall become effective on January 1, 2012, and shall apply to earned income received or earned and net profits earned or made by a taxpayer during calendar year 2012 and each year thereafter without annual reenactment unless the rate of tax is subsequently changed. Changes in the rate of tax shall become effective on the date specified in the ordinance imposing such change.
