[Ord. 11-1993, 12/13/1993]
1.
A tax for general revenue purposes of 1/2% is hereby imposed on earned
income and net profits earned by residents of the Borough of Hughesville
beginning on January 1, 1994, and continuing for each taxable year
thereafter.
2.
The tax levied hereunder shall be applicable to earned income and
net profits during the taxable year beginning January 1, 1994, and
continuing for each taxable year thereafter without annual reenactment
but shall be paid in accordance with returns to be filed on the basis
of each calendar year. Subsequent changes in rate may be made and
shall become effective on the date specified.
[Ord. 11-1993, 12/13/1993]
This Part 1 is enacted under the authority of the Local Tax
Enabling Act, as enacted by the General Assembly of the Commonwealth
of Pennsylvania as Act No. 511, approved December 31, 1965.
[Ord. 11-1993, 12/13/1993]
The following words and phrases shall have the meanings ascribed
to them in this section, except where the context clearly indicates
or requires a different meaning. The singular shall include the plural,
and the masculine shall include the feminine and the neuter.
A partnership, limited partnership or any other unincorporated
group of two or more persons.
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.
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.
The calendar year for which the tax is levied.
The place where one lives and has his permanent home to which
he has the intention of returning whenever absent. Actual residence
is not necessarily domicile, for domicile is the taxed place of abode
which, in the intention of the taxpayer, is permanent rather than
transitory. Domicile is the place which a man has voluntarily fixed
the habitation of 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
the case of businesses or associations, the domicile is that place
considered as the center of business affairs and the place where its
functions are discharged.
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 workers' 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
or payments made by employers or labor unions for wage and salary
supplement programs, including but not limited to programs governing
hospitalization, sickness, disability, strike benefits, Social Security
and retirement.
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.
The person, public employee or private agency designated
by the Borough Council to collect and administer the tax on net profits
and earned income.
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.
A person, partnership or other entity domiciled outside the
taxing district.
A natural person.
The calendar year before the current year.
A person, partnership, association or other entity domiciled
in the taxing district.
The calendar year following the current year.
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.
[Ord. 11-1993, 12/13/1993]
1.
Net profits.
A.
Every taxpayer of the taxing district making any 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 installments on or before June 15 of the current year, September
15 of the current year and January 15 of the succeeding year, respectively.
B.
Any taxpayer who first anticipates any net profit after April 15 of the current year shall make and file the declaration required in Subsection 1 hereof 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.
C.
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 returns as required in Subsection 1 hereof.
D.
The officer is hereby authorized to provide by regulation for the
making and filing of adjusted declarations of estimated net profits
and for the payment of estimated tax in cases where a taxpayer who
has filed the declaration hereinabove required anticipates additional
net profits than previously declared or finds that he has overestimated
his anticipated net profits.
E.
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.
2.
Earned Income. Earned income not subject to withholding shall be
as follows: every taxpayer who is employed for a salary, wage, commission
other compensation and who received any earned income not subject
to the provisions relating to collection at source shall 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.
[Ord. 11-1993, 12/13/1993]
1.
Every employer having an office, factory, workshop, branch, warehouse
or other place of business within the taxing district 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.
2.
Every employer having an office, factory, workshop, branch, warehouse
or other place of business within the taxing district who employs
one or more persons for a salary, wage, commission or other compensation,
other than domestic servants in a private home, agriculture labor
or casual labor not in the course of the employers trade or business,
shall deduct at the time of payment thereof the tax imposed hereunder
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 shall
show the name, address and Social Security number of such employee,
the earned income of such employee during the preceding three-month
period, the tax deducted therefrom, 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. Any employer who
for two of the preceding four quarterly periods has failed to deduct
the proper tax, or any part thereof, or who 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.
3.
On or before February 28 of the succeeding year, every employer shall
file with the officer, on forms prescribed or approved by him:
A.
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 and such other information
as may be required.
B.
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 such period, the amount of tax deducted,
the amount of tax paid to the officer and such other information as
the officer may require. Every employer shall furnish two copies of
the individual return to the employee for whom it was filed.
4.
Every employer who discontinues business prior to December 31 of
the current year shall, within 30 days after discontinuance of business,
file the returns hereinabove required and pay the tax due.
5.
Except as otherwise provided under § 12, 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.
6.
The failure or omission of any employer to make the deductions required
by this section shall not relieve the employee from the payment of
the tax or from complying with the requirements herein relating to
the filing of declarations and returns.
[Ord. 11-1993, 12/13/1993]
1.
It shall be the duty of the officer to collect and receive the taxes,
fines and penalties imposed herein. 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.
A.
Bond. The officer, before entering upon his official duties, shall
give and acknowledge a bond to the taxing district. The taxing district
may, by resolution, designate any bond currently given by the officer
as adequate, in which case such bond shall be sufficient to satisfy
the requirements of this subsection.
B.
Each such bond shall be joint and several, with one or more corporate
sureties which shall be surety companies authorized to do business
in this commonwealth and duly licensed by the Insurance Commissioner
of the commonwealth.
C.
Each bond shall be conditioned upon the faithful discharge of the
officer, his clerks, assistants and appointees of all trust confided
in him by virtue of his office, upon the faithful accounting or payment
over, according to law, of all moneys and all balances thereof paid
to, received or held by him by virtue of his office and upon the delivery
to his successors in office of all books, papers, documents or other
official things held in right of his office.
D.
The bond shall be taken in the name of the taxing district and shall
be for the use of the taxing district appointing the officer, and
for the use of such other person or persons for whom money shall be
collected or received, or as his or her interest shall otherwise appear,
in case of a breach of any of the conditions thereof by the acts or
neglect of the principal on the bond.
E.
The taxing district, or any person, may sue upon the bond in its
or his own name for its or his own use.
F.
The bond shall contain the name or the names of the surety company
or companies bound thereon. The taxing district shall fix the amount
of the bond at an amount equal to the maximum amount of the taxes
which may be in the possession of the officer at any given time.
G.
The taxing district may, at any time, upon cause shown and due notice
to the officer and his surety or sureties, require or allow the substitution
or the addition of a surety company acceptable to such taxing district
for the purpose of making the bond sufficient in amount, without releasing
the surety or sureties first approved from any accrued liability or
previous action on such bond.
H.
The taxing district appointing the officer shall designate the custodian
of the bond required to be given by the officer.
2.
The officer is hereby charged with the administration and enforcement
of the provisions of the tax imposed herein and is hereby empowered
to prescribe, adopt, promulgate and enforce rules and regulations
relating to any matter pertaining to the administration and enforcement
of the tax imposed hereby, including provisions for the reexamination
and correction of declarations and returns, and of payments alleged
or found to be incorrect, or as to which an overpayment is claimed
to have occurred, and to make refunds in case 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 tax imposed herein. No rule or regulation of any kind shall
be enforceable unless it has been approved by the governing body of
the taxing district. A copy of such rules and regulations currently
in force shall be available for public inspection.
3.
The officer and agents designated by him are hereby authorized to
examine the books, papers and records of any employer or supposed
employer, or of any taxpayer or supposed 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 or supposed
employer, and every taxpayer or supposed taxpayer, is hereby directed
and required to give the officer, or to any agent designated by him,
the means, facilities and opportunity for such examination and investigations
as are hereby authorized.
4.
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.
5.
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
herein shall be confidential, except for official purposes and except
in accordance with a proper judicial order, or as otherwise provided
by law.
6.
The officer is authorized to establish different filing, reporting
and payment dates for taxpayers whose fiscal years do not coincide
with the calendar year.
[Ord. 11-1993, 12/13/1993]
1.
An income tax officer shall be elected annually by the governing
body of the taxing district.
2.
A deputy income tax officer may be elected and shall have such duties
as are assigned to him by the income tax officer.
3.
The income tax officer and, if one is elected, the deputy income
tax officer shall receive such compensation as shall be determined
by the governing body of the taxing district.
[Ord. 11-1993, 12/13/1993]
1.
The officer may sue in the name of the taxing district for the recovery
of taxes due and unpaid hereunder.
2.
Any suit brought to recover the tax imposed herein 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.
However, 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:
A.
Where no declaration or return was filed by any person although a
declaration or return was required to be filed by him hereunder, there
shall be no limitation.
B.
Where an examination of the declaration or return filed by any person
or of any 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.
C.
In the case of substantial understatement of tax liability of 25%
or more, and no fraud, suit shall be begun within six years.
D.
Where any person has deducted taxes under the provisions hereunder
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 return, there shall be no limitation.
E.
This section shall not be construed to limit the governing body from
recovering delinquent taxes by any other means provided by Act 511
of 1965, as amended (the Local Tax Enabling Act).
3.
The officer may sue for recovery of an erroneous refund, provided
such suit is begun within 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.
[Ord. 11-1993, 12/13/1993]
If for any reason the tax is not paid when due, interest at
the rate of 6% per annum on the amount of such 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 the 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.
[Ord. 11-1993, 12/13/1993]
The provisions hereof are severable. If any sentence, clause
or section is for any reason found to be unconstitutional, illegal
or invalid, such unconstitutionality, illegality or invalidity shall
not effect or impair any of the remaining provisions, sentences, clauses
or sections thereof. It is hereby declared to be the intent of the
governing body of the taxing district that this tax enactment would
have been adopted had such unconstitutional, illegal or invalid sentence,
clause or section not been included herein.
[Ord. 11-1993, 12/13/1993]
This Part 1 shall become effective 30 days after final enactment
and shall remain in force and effect thereafter.
[Ord. 11-1993, 12/13/1993]
1.
Whoever fails, neglects or refuses to make any declaration or return
required hereunder, or 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,
whoever refuses to permit the officer or any agent designated by him
to examine his books, records and papers, and whoever knowingly makes
an incomplete, false or fraudulent return, or attempts to do anything
whatsoever to avoid 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 hereunder, shall be fined not more than $500
for each offense or imprisoned not more than 30 days, or both. All
fines and penalties collected shall be paid to the officer of the
taxing district, to be credited to the account of the taxing district.
2.
Whoever divulges any information which is confidential under the
provisions of this Part 1 shall be fined not more than $500 for each
offense or imprisoned not more than 30 days, or both.
3.
The penalties imposed under this section shall be in addition to
any other penalty imposed by any other section hereof.
4.
The failure of any person to receive or procure forms required for
making the declaration or returns required hereunder shall not excuse
such declaration or return.
