The following terms shall have, for the purpose of this article,
the meanings respectively herein indicated:
ASSOCIATION
A partnership, limited partnership or any other unincorporated
group of two or more persons.
BUSINESS
An enterprise, activity, profession or any other undertaking
of an unincorporated nature conducted for profit or ordinarily conducted
for profit, whether by a person, partnership, association or any other
entity.
CORPORATION
A corporation or joint-stock association organized under
the laws of the United States, the Commonwealth of Pennsylvania or
any other state, territory, foreign country or dependency.
DOMICILE
The place where one lives and has his permanent home and
to which he has the intention of returning whenever he is absent.
Actual residence is not necessarily "domicile," for "domicile" is
the fixed place of abode which, in the intention of the taxpayer,
is permanent rather than transitory. "Domicile" is the place in which
a man has voluntarily fixed the habitation of himself and his family,
not for a mere special or limited purpose, but with the present intention
of making a permanent home, until some event occurs to induce him
to adopt some other permanent home. In case of business or associations,
the "domicile" is that place considered as the center of business
affairs and the place where its functions are discharged.
EARNED INCOME
Salaries, wages, commissions, bonuses, incentive payments,
fees, tips and other compensation received by a person or his personal
representative for services rendered, whether directly or through
an agent, and whether in cash or in property; not including, however,
wages or compensation paid to persons on active military service,
periodic payments for sickness and disability other than regular wages
received during a period of sickness, disability or retirement or
payments arising under workmen's compensation acts, occupational
disease acts and similar legislation or payments commonly recognized
as old age benefits, retirement pay or pensions paid to persons retired
from service after reaching a specific age or after a stated period
of employment or payments commonly known as "public assistance," or
unemployment compensation payments made by any governmental agency
to reimburse expenses or payments made by employers or labor unions
for wage and salary supplemental programs, including but not limited
to programs covering hospitalization, sickness, disability or death,
supplemental unemployment benefits, strike benefits, social security
and retirement.
EMPLOYER
A person, partnership, association, corporation, institution,
governmental body or unit or agency or any other entity employing
one or more persons for a salary, wage, commission or other compensation.
INCOME TAX OFFICER or OFFICER
A person, public employee or private agency designated by
the governing body to collect and administer the tax on earned income
and net profits.
NET PROFITS
The net income from the operation of a business, profession
or other activity, except corporations, after provision for all costs
and expenses incurred in the conduct thereof, determined either on
a cash or accrual basis in accordance with the accounting system used
in such business, profession or other activity but without deduction
of taxes based on income.
NONRESIDENT
A person, partnership, association or other entity domiciled
outside the taxing district.
RESIDENT
A person, partnership, association or other entity domiciled
in the taxing district.
TAXPAYER
A person, partnership, association or any other entity, required
hereunder to file a return of earned income or net profits or to pay
a tax thereon.
The following tax is hereby levied under this Act and shall be applicable to earned income received and
to net profits earned beginning July 1, 1966, and the tax shall continue
in force on a calendar-year or taxpayer-fiscal-year basis, without
annual reenactment, unless the rate of the tax is subsequently changed:
A. One percent of all earned income received on or after July 1, 1966,
by residents of the Borough of South Waverly.
B. One percent of all earned income received on or after July 1, 1966,
by nonresidents for work done or services rendered in the Borough
of South Waverly.
C. One percent of the net profits earned on and after July 1, 1966,
in businesses, professions and other activities conducted by residents.
D. One percent of the net profits earned on or after July 1, 1966, in
businesses, professions and other activities conducted in the Borough
of South Waverly by nonresidents.
The Income Tax Officer shall receive such compensation for his
services and expenses as determined by the Borough Council.
The Income Tax Officer shall demand, receive and collect from
all corporations, political subdivisions, associations, companies,
firms or individuals employing persons owing delinquent earned income
taxes or whose wife owes delinquent earned income taxes or having
in possession unpaid commissions or earnings belonging to any person
or persons owing delinquent earned income taxes or whose wife owes
delinquent earned income taxes, upon the presentation of a written
notice and demand under oath or affirmation containing the name of
the taxable or the husband thereof and the amount of tax due. Upon
the presentation of such notice and demand, it shall be the duty of
any such corporation, political subdivision, association, company,
firm or individual to deduct from the wages, commissions or earnings
of such individual employees then owing or that shall within 60 days
thereafter become due or from any unpaid commissions or earnings of
any such taxable in its or his possession or that shall within 60
days thereafter come into his or its possession a sum sufficient to
pay the respective amount of the delinquent earned income taxes and
costs shown upon the written notice or demand and to pay the same
to the Income Tax Officer of the Borough within 60 days after such
notice shall have been given. Such corporation, political subdivision,
association, firm or individual shall be entitled to deduct from the
moneys collected from each employee the costs incurred from the extra
bookkeeping necessary to record such transactions, not exceeding 2%
of the money so collected and paid over to the Officer. Upon the failure
of any such corporation, political subdivision, association, company,
firm or individual to deduct the amount of such taxes or to pay the
same over to the Officer, less the cost of bookkeeping involved in
such transaction as herein provided, within the time hereby required,
such corporation, political subdivision, association, company, firm
or individual shall forfeit and pay the amount of such tax for each
such taxable whose taxes are not withheld and paid over or that are
withheld and not paid over together, with a penalty of 10% added thereto,
to be recovered by an action of assumpsit in a suit to be instituted
by the Officer or by the proper authorities of the Borough as debts
of like amount are now by law recoverable, except that such person
shall not have the benefit of any stay of execution or exemption law.
Upon presentation of a written notice and demand under oath
or affirmation to the State Treasurer or any other fiscal officer
of the state or its boards, authorities, agencies or commissions,
it shall be the duty of the Treasurer or officer to deduct from the
wages then owing or that shall within 60 days thereafter become due
to any employee a sum sufficient to pay the respective amount of the
delinquent earned income taxes and costs shown on the written notice.
The same shall be paid to the Officer of the Borough within 60 days
after such notice shall have been given.
The Borough shall have power to collect unpaid taxes from the
persons owing such taxes by suit in assumpsit or other appropriate
remedy. Upon each such judgment, execution may be issued without any
stay or benefit of any exemption law. The right of the Borough to
collect unpaid taxes under the provisions of this section shall not
be affected by the fact that such taxes have been entered as liens
in the office of the prothonotary or the fact that the property against
which they were levied has been returned to the County Commissioners
for taxes for prior years.
This article shall not apply to any person or property as to
whom or which it is beyond the power of the Borough Council to impose
the tax herein provided for.