[Adopted 12-19-2005 as
Ch. 8 of the 2005 Code]
[Added 8-7-2017; amended
at time of adoption of Code (see Ch. 1, General Provisions, Art. I)]
The purpose of this article is to regulate earned income tax
as authorized under the General Municipal Law, 53 P.S. § 6926.321.
For the purpose of this article the terms used herein are defined
as follows:
The Borough of Wyalusing, Bradford County, Pennsylvania.
A.
A tax for general revenue purposes is hereby imposed on the following
at the rate of 1%:
(1)
Earned income received and net profits earned by residents of Wyalusing
Borough during the current year.
(2)
Earned income received and net profits earned of and by all nonresident
taxpayers for services rendered or work done within Wyalusing Borough,
Bradford County, Pennsylvania, or arising or resulting from the operation
of a business, profession or other activity (except corporations)
conducted within or principally located within Wyalusing Borough,
Bradford County, Pennsylvania.
B.
If any taxpayer shall have earned income as hereinabove defined and
during the same tax period shall have been engaged in a business,
profession or other activity from the operation of which the taxpayer
has income in determining said taxpayer's liability for tax.
C.
The tax levied under this article shall be applicable to earned income
received and to net profits earned in the period beginning July 1
of the current year and ending December 31 of the current year or
for a period commencing on July 1 of the current year and ending on
the end of the taxpayers' fiscal year thereafter during the year 1967.
After the year 1967, the tax levied under this article shall be applicable
to earned income received and to net profits earned in the period
beginning January 1 and ending December 31 or for the taxpayers' fiscal
year.
A.
Net profits.
(1)
Every taxpayer making net profits shall, on or before April 15 of
the current year, make and file with the officer, on a form prescribed
or approved by the officer, a declaration of his estimated net profits
during the period beginning January 1 and ending December 31 of the
current year and pay to the officer in four equal quarterly installments
the tax due thereon as follows: the first installment at the time
of filing the declaration and the other installment on or before June
15 of the current year, September 15 of the current year and January
15 of the succeeding year, respectively.
(2)
Any taxpayer who first anticipates any net profit after April 15
of the current year shall make and file the declaration hereinabove
required on or before June 15 of the current year, September 15 of
the current year or December 31 of the current year, whichever of
these dates next follows the date on which the taxpayer first anticipates
such net profit, and pay to the officer in equal installments the
tax due thereon on or before the quarterly payment dates which remain
after the filing of the declaration.
(3)
Every taxpayer shall, on or before April 15 of the succeeding year,
make and file with the officer, on a form prescribed or approved by
the officer, a final return showing the amount of net profits earned
during the period beginning January 1 of the current year and ending
December 31 of the current year, the total amount of tax due thereon
and the total amount of tax paid thereon. At the time of filing the
final return, the taxpayer shall pay to the officer the balance of
tax due or shall make demand for refund or credit in the case of overpayment.
Any taxpayer may, in lieu of paying the fourth quarterly installment
of his estimated tax, elect to make and file with the officer, on
or before January 31 of the succeeding year, the final return as hereinabove
required.
(4)
The officer is hereby authorized to provide by regulation for the
making and filing of adjusted declarations of estimated net profits
and for the payments of the estimated tax in cases where a taxpayer
who has filed the declaration hereinabove required anticipates additional
net profits not previously declared or finds that he has overestimated
his anticipated net profits.
(5)
Every taxpayer who discontinues business prior to December 31 of
the current year shall, within 30 days after the discontinuance of
business, file his final return as hereinabove required and pay the
tax due.
B.
Earned income.
(1)
Annual earned income tax return. Every taxpayer shall, on or before
April 15 of the succeeding year, make and file with the officer, on
a form prescribed or approved by the officer, a final return showing
the amount of earned income received during the period beginning January
1 of the current year and ending December 31 of the current year,
the total amount of tax due thereon, the amount of tax paid thereon,
the amount of tax thereon that has been withheld pursuant to the provisions
relating to the collection at source and the balance of tax due. At
the time of filing the final return, the taxpayer shall pay the balance
of the tax due or shall make demand for refund or credit in the case
of overpayment.
(2)
Earned income not subject to withholding. Every taxpayer who is employed
for a salary, wage, commission or other compensation and who received
any earned income not subject to the provisions relating to collection
at source shall:
(a)
Make and file with the officer, on a form prescribed or approved
by the officer, an annual return setting forth the aggregate amount
of earned income not subject to withholding from him during the period
beginning January 1 and ending December 31 of the current year and
such other information as the officer may require and pay to the officer
the amount of tax shown as due thereon on or before April 15 of the
succeeding year; or
(b)
Make and file with the officer, on a form prescribed or approved
by the officer, a quarterly return, on or before April 30 of the current
year, July 31 of the current year, October 31 of the current year
and January 31 of the succeeding year, setting forth the aggregate
amount of earned income not subject to withholding by him during the
three-month periods ending March 31 of the current year, June 30 of
the current year, September 30 of the current year and December 31
of the current year, respectively, and subject to the tax, together
with such other information as the officer may require. Every taxpayer
making such return shall, at the time of filing thereof, pay to the
officer the amount of tax shown as due thereon.
A.
Every employer having an office, factory, workshop, branch, warehouse
or other place of business within Wyalusing Borough who employs one
or more persons, other than domestic servants, for a salary, wage,
commission or other compensation, who has not previously registered,
shall, within 15 days after becoming an employer, register with the
officer his name and address and such other information as the officer
may require.
B.
Every employer having an office, factory, workshop, branch, warehouse
or other place of business within Wyalusing Borough who employs one
or more persons, other than domestic servants, for a salary, wage,
commission or other compensation, shall deduct, at the time of payment
thereof, the tax imposed by this article on the earned income due
to his employee or employees and shall, on or before April 30 of the
current year, July 31 of the current year, October 31 of the current
year, and January 31 of the succeeding year, file a return and pay
to the officer the amount of taxes deducted during the preceding three-month
periods ending March 31 of the current year, June 30 of the current
year, September 30 of the current year and December 31 of the current
year, respectively. Such return, unless otherwise agreed upon between
the officer and employer, shall show the name, address and social
security number of each such employee, the earned income of such employee
during such preceding three-month period, the tax deducted therefrom,
the political subdivision imposing the tax upon such employee, the
total earned income of all such employees during such preceding three-month
period and the total tax deducted therefrom and paid with the return.
C.
Any employer who, for two of the preceding four quarterly periods,
has failed to deduct the proper tax or any part thereof or has failed
to pay over the proper amount of tax to the taxing authority may be
required by the officer to file his return and pay the tax monthly.
In such cases, payments of tax shall be made to the officer on or
before the last day of the month succeeding the month for which the
tax was withheld.
D.
On or before February 28 of the succeeding year, every employer shall
file with the officer:
(1)
An annual return showing the total amount of earned income paid,
the total amount of tax deducted and the total amount of tax paid
to the officer for the period beginning January 1 of the current year
and ending December 31 of the current year.
(2)
A return-withholding statement for each employee employed during
all or any part of the period beginning January 1 of the current year
and ending December 31 of the current year, setting forth the employee's
name, address and social security number; the amount of earned income
paid to the employee during said period; the amount of tax deducted;
the political subdivision imposing the tax upon such employee; and
the amount of tax paid to the officer. Every employer shall furnish
two copies of the individual return to the employee for whom it is
filed.
E.
Every employer who discontinues business prior to December 31 of
the current year shall, within 30 days after the discontinuance of
business, file the returns and withholding statements hereinabove
required and pay the tax due.
F.
Except as otherwise provided in Section 9 of the Local Tax Enabling
Act of 1965,[1] every employer who willfully or negligently fails or omits
to make the deductions required by this section shall be liable for
payment of the taxes which he was required to withhold to the extent
that such taxes have not been recovered from the employee.
[1]
Editor's Note: See 53 P.S. § 6924.312.
G.
The failure or omission of any employer to make the deductions required
by this section shall not relieve any employee from the payment of
the tax or from complying with the requirements of the resolution
relating to the filing of declarations and returns.
A.
It shall be the duty of the officer 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 or business paying the tax and the date of such receipt.
B.
The officer, before entering upon his official duties, shall give
and acknowledge a bond to the Borough of Wyalusing, which shall be
approved by the Borough Council.
C.
The officer charged with the administration and enforcement of the
provisions of this article is hereby empowered to prescribe, adopt,
promulgate and enforce rules and regulations relating to any matter
pertaining to the administration and enforcement of this article,
including provisions for the reexamination and correction of declarations
and returns and of payments alleged or found to be incorrect or as
to which the overpayment is claimed or found to have occurred and
to make refunds in cases of overpayment, for any period of time not
to exceed six years subsequent to the date of payment of the sum involved,
and to prescribe forms necessary for the administration of the resolution.
No rule or regulation of any kind shall be enforceable unless it has
been approved by resolution by the Wyalusing Borough Council. A copy
of such rules and regulations currently in force shall be available
for public inspection.
D.
The officer shall refund, on petition of and proof by the taxpayer,
earned income tax paid on the taxpayer's ordinary and necessary business
expenses, to the extent that such expenses are not paid by the taxpayer's
employer.
E.
The officer and agents designated by him are hereby authorized to
examine the books, papers and records of any employer or of any taxpayer
or of any person whom the officer reasonably believes to be an employer
or taxpayer in order to verify the accuracy of any declaration or
return or, if no declaration or return was filed, to ascertain the
tax due. Every employer and every taxpayer and every person whom the
officer reasonably believes to be an employer or taxpayer is hereby
directed and required to give to the officer or to any agent designated
by him the means, facilities and opportunity for such examination
and investigations as are hereby authorized.
F.
Any information gained by the officer, his agents or by any other
official or agent of the taxing district as a result of any declarations,
returns, investigations, hearings or verifications required or authorized
by this article shall be confidential, except for official purposes
and except in accordance with a proper judicial order or as otherwise
provided by law.
G.
The officer is authorized to establish different filing, reporting
and payment dates for taxpayers whose fiscal years do not coincide
with the calendar year.
H.
The officer shall, at least quarterly, distribute earned income taxes
to the appropriate political subdivisions. The political subdivisions
shall not be required to request the officer to distribute the funds
collected but shall, at least annually, reconcile their receipts with
the records of the officer and return to or credit the officer with
any overpayment. If the officer, within one year after receiving a
tax payment, cannot identify the taxing jurisdiction entitled to a
tax payment, he shall make payment to the municipality in which the
tax was collected. Within 120 days of the passage of this article,
any present accumulated funds that are unclaimed shall be distributed
on the same basis.
A.
The officer may sue in the name of Wyalusing Borough for the recovery
of taxes due and unpaid under this article.
B.
Any suit brought to recover the tax imposed by this article shall
be begun within three years after such tax is due or within three
years after the declaration or return has been filed, whichever date
is later; provided, however, that this limitation shall not prevent
the institution of a suit for the collection of any tax due or determined
to be due in the following cases:
(1)
Where no declaration or return was filed by any person, although
a declaration or return was required to be filed by him under provisions
of this article, there shall be no limitation.
(2)
Where an examination of the declaration or return filed by any person
or of other evidence relating to such declaration or return in the
possession of the officer reveals a fraudulent evasion of taxes, there
shall be no limitation.
(3)
In the case of substantial understatement of tax liability of 25%
or more and no fraud, suit shall be begun within six years.
(4)
Where any person has deducted taxes under the provisions of this
article and has failed to pay the amounts so deducted to the officer
or where any person has willfully failed or omitted to make the deductions
required by this section, there shall be no limitation.
C.
This section shall not be construed to limit the Borough of Wyalusing
from recovering delinquent taxes by any other means provided by this
article.
D.
The officer may sue for recovery of an erroneous refund, provided
that such suit is begun two years after making such refund, except
that the suit may be brought within five years if it appears that
any part of the refund was induced by fraud or misrepresentation of
material fact.
If for any reason the tax is not paid when due, interest at
the rate of 6% per annum on the amount of said tax and an additional
penalty of 1/2 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 costs of collection and the interest and penalties herein imposed.
A.
Any person who fails, neglects or refuses to make any declaration
or return required by this article; any employer who fails, neglects
or refuses to register or to pay the tax deducted from his employees
or fails, neglects or refuses to deduct or withhold the tax from his
employees; any person who refuses to permit the officer or any agent
designated by him to examine his books, records and papers; and any
person who knowingly makes any incomplete, false or fraudulent return
or attempts to do anything whatsoever to avoid the full disclosure
of the amount of his net profits or earned income in order to avoid
the payment of the whole or any part of the tax imposed by this article
shall, upon conviction thereof before any Magisterial District Judge
or court of competent jurisdiction, be sentenced to pay a fine of
not more than $500 for each offense, and costs, and, in default of
payment of said fine and costs be imprisoned for a period not exceeding
30 days.
B.
Any person who divulges any information which is confidential under
the provisions of this article, shall, upon conviction thereof before
any Magisterial District Judge or court of competent jurisdiction,
be sentenced to pay a fine of not more than $500 for each offense
and costs and, in default of payment of said fines and costs, to be
imprisoned for a period not exceeding 30 days.
C.
The penalties imposed under this section shall be in addition to
any other penalty imposed by any other section of this article.
D.
The failure of any person to receive or procure forms required for
making the declaration or returns required by this article shall not
excuse him from making such declaration or return.
This article is adopted pursuant to the Act of Assembly, known
as the "Local Tax Enabling Act," being Act No. 511 of the 1965 Legislature,
signed into law by the Governor of Pennsylvania, December 31, 1965,
effective January 1, 1966.[1]
[1]
Editor's Note: See now 53 P.S. § 6924.101 et seq.
[Added 8-7-2017]
In the event that any individual section or provision within
this article shall be found invalid, the invalidity shall pertain
only to the specific section, and all other aspects of this article
shall remain in full force and effect.
