[Adopted 3-13-2006 by Ord. No. 3-13-06B]
62.86.1.
This ordinance shall be known as the "Delinquent Earned Income
and Occupational Privilege Tax Cost and Collection Ordinance."
62.87.1.
The amounts established in Subsection 3 below shall constitute
reasonable costs of delinquent tax collection. Reasonable costs shall
be added to and become part of the delinquent taxes due and owing
and shall be collected from the payer of delinquent taxes and shall
be retained as compensation by the delinquent Tax Collector.
1.
Pursuant to the Local Tax Enabling Act and specifically Act 192 of
2004, the political subdivision does hereby authorize the recovery
of reasonable costs set forth in Subsection 3 below, that are incurred
by the political subdivision or charged to the political subdivision
by its Delinquent Tax Collector retained by the political subdivision
in connection with delinquent tax collection as a result of any taxpayer's
failure to pay taxes promptly.
2.
Delinquent tax collection services provided by the Delinquent Tax
Collector retained by the political subdivision may result in voluntary
payment of the delinquent taxes due without the initiation of enforced
collection proceedings. The political subdivision will incur reasonable
costs, including charges and commissions in connection with the collection
of the political subdivision's delinquent taxes. It is the intent
of this article to pass the reasonable costs on to the delinquent
person or entity owing the delinquent taxes or person or entity paying
the delinquent taxes as part of the delinquent taxes due, making the
political subdivision whole on all delinquent taxes collected. The
recovery of reasonable costs established herein shall not be contingent
upon the initiation of enforced collection proceedings. The reasonable
costs authorized and established herein are exclusive of any attorney
fees and expenses, if any, otherwise due to legal counsel from the
political subdivision, the Delinquent Tax Collector, or pursuant to
other applicable laws.
3.
Schedule. The following schedule of reasonable costs shall constitute
reasonable and appropriate costs of delinquent tax collection. The
reasonable costs shall be added to and become part of each delinquent
tax, together with the original tax, penalties, and interest, as well
as record costs, if any, and shall be payable in full before the discharge
or satisfaction of the delinquent taxes due. The schedule of reasonable
costs are separate and distinct from any amounts imposed by the Sheriff,
Prothonotary, court, or any other public office in connection with
the collection of the political subdivision's delinquent taxes. Reasonable
costs shall include: a sum in the amount of 10% prior to the initiation
of enforced collection proceedings before the District Magistrate,
and 33% on or after the initiation of enforced collection proceedings
before the District Magistrate, of gross delinquent tax collections
together with the actual cost of postage and other out-of-pocket expenses
of delinquent tax collection. For the purpose of this provision, the
initiation of enforced collection proceedings shall occur when a complaint,
claim or proof of claim, is prepared on behalf of the political subdivision
or if the political subdivision, by and through its Delinquent Tax
Collector attends any legal proceeding or responds to any taxpayer
challenge relating to the collection of the Delinquent Tax. From and
after any such date, reasonable costs shall be at the higher percentage.
a.
Gross delinquent tax collections for the purpose of calculating reasonable
costs shall include the unpaid original Tax due together with all
penalties and interest for each year of unpaid delinquent taxes.
b.
Liability for payment of the reasonable costs related to the collection
of unpaid per capita, occupation, or occupational privilege taxes
may only be assessed, levied, and collected for five years from the
last day of the calendar year in which the tax was first due and payable.
c.
Liability for payment of the reasonable cost for delinquent earned
income taxes shall be assessed, levied, and collected for any delinquent
earned income tax due and owing to the political subdivision.
62.88.1.
The Delinquent Tax Collector is authorized to file and pursue
appropriate legal proceedings in accordance with Section 21 of the
Local Tax Enabling Act and in accordance with any other applicable
law, including Federal Bankruptcy Law, for the enforced collection
of delinquent taxes. The Delinquent Tax Collector shall inform the
taxing authority before any legal action is initiated for delinquent
taxes. The Delinquent Tax Collector is authorized to bring such proceedings
in the name of the political subdivision and to utilize legal counsel
at the sole cost and expense of the Delinquent Tax Collector to sign,
file, and pursue appropriate legal proceedings, in the name of the
political subdivision, to collect the political subdivision's delinquent
taxes. Pursuant to Act 192 of 2004, the political subdivision, whether
independently or through its Delinquent Tax Collector shall be represented
by an attorney when bringing suit under the provisions of the Local
Tax Enabling Act pursuant to Act 192 of 2004.
62.89.1.
This ordinance shall take effect April 17, 2006.
62.90.1.
If any provision of this ordinance shall be determined to be
unlawful, invalid, void, or unenforceable, then that part shall be
considered severable from the remaining provisions of this ordinance
which shall be in full force and effect.
62.91.1.
Any ordinance or part thereof conflicting with the provisions
of this ordinance is hereby repealed so far as the same affects this
ordinance.
