For purposes of this article, all terms defined in the Local
Tax Enabling Act, 53 P.S. § 6924.101 et seq., shall have
the meanings set forth therein, except as modified below. The following
terms shall have the meanings set forth herein:
LOCAL TAX ENABLING ACT
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.
TAX
The tax imposed by this article.
TAX OFFICER
The person or entity appointed as Tax Officer pursuant to
the Local Tax Enabling Act to collect the Tax in the TCD.
TAX RETURN
A form prescribed by the Tax Officer, and approved by the
TCC, 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.
TAXPAYER
A person or business required under this article or the Local
Tax Enabling Act to file a return of an income tax or to pay an income
tax.
TCC
The tax collection committee established to govern and oversee
the collection of earned income tax within the TCD under the Local
Tax Enabling Act.
TCD
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.
Although credits and deductions against tax are permitted under
certain circumstances as provided in applicable law and regulations,
no individuals are exempt from tax based on age, income, or other
factors.
Every taxpayer 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 and the rules, regulations, policies and
procedures of the TCC and Tax Officer. A taxpayer is required to file
a return even if no tax payment is due and owing.
Every employer shall register, withhold, and remit tax, and
file tax returns in accordance with the Local Tax Enabling Act and
the rules, regulations, policies and procedures of the TCC and Tax
Officer.
Individuals 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 Local Tax Enabling Act and as approved
by the TCC.
The primary purpose of this article is to confirm the earned
income and net profits tax currently imposed 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. Any 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 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 in any manner by adoption
of this article. The provisions of this article shall not affect any
act done or liability incurred, nor shall such provision affect any
suit or prosecution pending or to be initiated to enforce any right
or penalty or to punish 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 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.
This article is intended to be consistent with the Local Tax
Enabling Act, and to include all necessary authorizations to permit
the Tax Officer to take such tax collection, administration, disbursement,
enforcement and other activities as authorized by the Local Tax Enabling
Act, subject to the policies and procedures of the TCC.
The provisions of this article 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.