[Adopted 10-2-2007 by Ord. No. 2007-03]
The Borough Council of the Borough of Elverson hereby adopts the provisions of Article XI-D of the Tax Reform Code of 1971, as amended, "Local Real Estate Transfer Tax," 72 P.S. 8101-D et seq., and imposes a realty transfer tax as authorized under that article subject to the rate limitations therein. The tax imposed under this section shall be at the rate of 1% upon a transfer of real property or an interest in real property within the boundaries of the Borough of Elverson, regardless of where the instruments making the transfers are made, executed or delivered, or where the actual settlements on the transfer take place, to the extent that the transactions are subject to the tax imposed by Article XI-C of the Tax Reform Code of 1971, as amended, 72 P.S. § 8101-C, Realty Transfer Tax.
The tax imposed under § 246-1 of this article and all applicable interest and penalties shall be administered, collected and enforced under the Act of December 31, 1965 (P.L. 1257, No. 511, as amended, known as "The Local Tax Enabling Act," as amended, provided that if the correct amount of the tax is not paid by the last date prescribed for timely payment, the Borough of Elverson, pursuant to Section 1102-D of the Tax Reform Code of 1971 (72 P.S. § 8102-D), as amended, authorizes and directs the Department of Revenue of the Commonwealth of Pennsylvania to determine, collect, and enforce the tax, interest, and penalties.
Any tax imposed under § 246-1 that is not paid by the date the tax is due shall bear interest as prescribed for interest on delinquent municipal claims under the Act of May 16, 1923 (P.L. 207, No. 153)(53 P.S. § 7101 et seq.), as amended, known as "The Municipal Claims and Tax Liens Act." The interest rate shall be the lesser of the interest rate imposed upon delinquent commonwealth taxes as provided in Section 806 of the Act of April 9, 1929 (P.L. 343, No. 176) (72 P.S. § 806), as amended, known as "The Fiscal Code," or the maximum interest rate permitted under the Municipal Claims and Tax Liens Act for tax claims.
A. 
If any part of any underpayment of tax imposed by this article is due to fraud, there shall be added to the tax an amount equal to 50% of the underpayment.
B. 
In the case of failure to record a declaration required under this article on the date prescribed therefor, unless it is shown that such failure is due to reasonable cause, there shall be added to the tax 5% for each additional month or fraction thereof during which such failure continues, not exceeding 50% in the aggregate.
The tax imposed by this article shall become a lien upon the lands, tenements or hereditaments, or any interest therein, lying or being situated, wholly or in part, within the boundaries of the Borough of Elverson, which lands, tenements, hereditaments, or interest therein are described in or conveyed by or transferred by the deed which is subject to the tax imposed, assessed and levied by this article, said lien to begin at the time when the tax under this article is due and payable and continue until discharged by payment or in accordance with the law, and the Solicitor is authorized to file a municipal or tax claim in the Court of Common Pleas of Chester County in accordance with the provisions of the Municipal Claims and Liens Act of 1923, 53 P.S. § 7101 et seq., its supplements and amendments.
The regulations which have been promulgated by the Pennsylvania Department of Revenue under 72 P.S. § 8101-C et seq., are incorporated into and made a part of this article.
Ordinance No. 68-8 enacted by the Borough of Elverson on December 2, 1968, providing for the levying, assessment, or collection of a tax upon a transfer of real property or an interest in real property which has been enacted by a political subdivision prior to the effective date of this article shall continue in full force and effect, without reenactment, insofar as the transactions upon which the tax is levied, assessed or collected are also subject to the tax imposed by Article XI-C of the Tax Reform Code of 1971, as amended, 72 P.S. 8101-D et seq. Ordinance No. 68-8 shall continue in full force and effect with respect to documents made, executed, and delivered prior to the effective date of this article.
If any sentence, clause, section or part of this article is, for any reason, found to be unconstitutional, illegal or invalid, such unconstitutionality, illegality or invalidity shall not affect or impair any of the remaining provisions, sentences, clauses, sections or parts of this article. It is hereby declared as the intent of the Borough Council that this article would have been adopted had such unconstitutional, illegal, or invalid sentence, clause, section or part thereof not been included herein.