STATUTORY REFERENCES
Power to tax — See 53 P.S. §§ 6924.101
et seq.
This chapter shall be known and may be cited as the "Borough
of Brookhaven Mercantile Tax Ordinance" or just the "Mercantile Tax."
[Ord. 269, passed 4-10-1967; Ord. 433, passed 12-6-1982]
(A)
FINAL RETURN
FIRST RETURN
GROSS VOLUME OF BUSINESS
LICENSE YEAR
RETAIL DEALER and RETAIL VENDOR
TAX
TAXPAYER
TEMPORARY, SEASONAL OR ITINERANT BUSINESS
WHOLESALE AND RETAIL DEALER and WHOLESALE AND RETAIL VENDOR
For the purpose of this chapter, the following definitions shall
apply unless the context clearly indicates or requires a different
meaning.
The return of the annual mercantile license tax required
by this chapter.
The return of the annual mercantile license tax required
by this chapter.
Includes both cash and credit transactions, and trade-in
transactions as provided by law.
The twelve-month period beginning January 1 in each and every
year.
Any person who is a dealer in or vendor of goods, wares and
merchandise who is not a wholesale dealer or vendor or a wholesale
and retail dealer or vendor as hereinafter defined.
The annual mercantile license tax imposed by this chapter.
Any person, partnership or corporation required to make a
return or pay a tax, or both, pursuant to this chapter.
Any business that is conducted at one location for less than
60 consecutive calendar days.
Any person who sells to dealers in, or vendors of, goods,
wares and merchandise.
(B)
The terms "wholesale dealer," "wholesale vendor," "retail dealer,"
"retail vendor," "wholesale and retail dealer" and "wholesale and
retail vendor," as defined in this section, shall not include nonprofit
corporations or associations organized for religious, charitable or
educational purposes, agencies of the government of the United States
or of the Commonwealth, or any person vending or disposing of articles
of his or her own manufacture for shipment or delivery from the place
of the manufacture thereof, or any farmer vending or disposing of
his or her own produce.
[Ord. 482, passed 4-28-1986]
(A)
All taxes due to the Borough pursuant to this chapter shall be collected
by the duly elected Tax Collector of the Borough or a duly authorized
agent appointed by Council.
(B)
No expenses incurred in the collection of such taxes shall be paid
by the Borough, unless they are approved by Council prior to being
incurred.
(C)
Any such agent appointed by Council shall serve at the pleasure of
Council, and the appointment may be modified or terminated by Council
as it deems appropriate, consistent with any contract entered into
between the Borough and such agent.
(D)
For the purpose of collecting such taxes, the Tax Collector or such
agent shall furnish a bond as required by law. Council shall decide
who is required to bear the cost of such bond. The decision of Council
as to who shall bear the cost of the bond shall be communicated to
the Tax Collector or the agent prior to purchase of the bond.
[Ord. 404, passed 1-7-1980]
For each license year or any part thereof, every person wishing
to continue to engage in, or hereafter to begin to engage in, the
business of wholesale or retail sales, or wholesale and retail sales,
and any vendor or dealer in goods, wares or merchandise, and any person
conducting a restaurant or other place where food, drink or refreshments
are sold in the Borough, shall, on or before February 15 for each
license year, or prior to commencing business in any such license
year, apply for and obtain a mercantile license for his or her place
of business or, if more than one, for each of his or her places of
business in the Borough from the collector.
[Ord. 269, passed 4-10-1967]
Each application for a license under this chapter shall be signed
by the applicant, if a natural person. In the case of an association
or partnership, it shall be signed by a member or partner thereof,
and in the case of a corporation, by an officer thereof.
[Ord. 436, passed 1-3-1983]
The Tax Collector shall issue a mercantile license upon payment
of a fee as set forth in § 208.03(H) of the Administration
Code for an applicant's place of business or, if more than one,
for each of his or her places of business in the Borough, for such
license year.
[Ord. 269, passed 4-10-1967]
Mercantile licenses shall not be assignable and shall be conspicuously
posted at the place of business or each of the places of business
of every licensee at all times.
[Ord. 269, passed 4-10-1967]
In the case of loss, defacement or destruction of any mercantile
license, the person to whom the license was issued shall apply to
the collector for a new license for which a fee of $1 shall be charged.
[Ord. 269, passed 4-10-1967]
Under authority of the "Local Tax Enabling Act," 53 P.S. §§ 6924.101
et seq., as amended, an annual mercantile license tax to provide revenue
for general Borough purposes is hereby levied, assessed and imposed
upon every person engaging in any of the following occupations or
businesses in the Borough at the rates hereinafter set forth. Such
persons shall pay a mercantile license tax for each license year at
such rate, subject to any exemptions set forth in this chapter. In
no event shall the annual mercantile license tax herein imposed be
less than $10 for each of the places of business of every such person.
(A)
On each retail vendor or dealer in goods, wares and merchandise of
every kind, and each person engaged in conducting restaurants or other
places where food, drink or refreshments are sold, the tax shall be
at the rate of 1 1/2 mills on each dollar of the gross volume
of business transacted during the license year.
(B)
On each wholesale and retail vendor or dealer in goods, wares and
merchandise of every kind the tax shall be at the rate of one mill
on dollar of the gross volume of wholesale business transacted, and
1 1/2 mills on each dollar of the gross volume of retail business
transacted during the license year.
(C)
On each wholesale vendor or dealer in goods, wares and merchandise
of every kind, the tax shall be at the rate of one mill on each dollar
of the volume of business transacted during the license year.
[Ord. 269, passed 4-10-1967]
Every person subject to the payment of the tax imposed by this
chapter who has commenced his or her business at least a full year
prior to the beginning of any license year shall compute the gross
volume of business upon the actual gross amount of business transacted
by him or her during the 12 months preceding the license year.
[Ord. 269, passed 4-10-1967]
Every person subject to the payment of the tax imposed by this
chapter who has commenced his or her business less than one full year
prior to the beginning of any license year shall compute the gross
volume of business by multiplying by 12 the monthly average of the
actual gross amount of business transacted by him or her during the
months he or she was engaged in business prior to the beginning of
any license year.
[Ord. 269, passed 4-10-1967]
Every person subject to the payment of the tax imposed by this
chapter who commences his or her business subsequent to the beginning
of any license year shall compute the gross volume of business for
the license year upon the gross volume of business transacted by him
or her during the first month of his or her engaging in business,
multiplied by the number of months remaining in the license year.
[Ord. 269, passed 4-10-1967]
Every person subject to the payment of tax imposed by this chapter
who engages in business temporary, seasonal or itinerant by its nature
shall compute the gross volume of business upon the actual gross amount
of business transacted by him or her during the license year.
[Ord. 269, passed 4-10-1967]
Every return required by this chapter shall be made upon a form
furnished by the collector. Every person making such return shall
certify the correctness thereof under the penalties of perjury.
[Ord. 588, passed 8-8-1994]
Every person subject to the tax under this chapter who has commenced
his or her business at least one full year prior to the beginning
of each and every license year subsequent to the license year of 1967
shall, on or before April 15 following, file with the collector a
return setting forth his or her name, his or her business, his or
her business address and such other information as may be necessary
to compute the actual gross volume of business transacted by him or
her during the license year and the amount of tax estimated to be
due.
[Ord. 588, passed 8-8-1994]
Every person subject to the tax under this chapter who has commenced
his or her business less than one full year prior to the beginning
of each and every license year subsequent to the license year of 1967
shall, on or before April 15 following file with the collector a return
setting forth his or her name, his or her business, his or her business
address and such other information as may be necessary to compute
the actual gross volume of business transacted by him or her during
the license year and the amount of tax estimated to be due.
[Ord. 269, passed 4-10-1967]
Every person subject to the tax under this chapter who commences
business subsequent to the beginning of any license year shall, within
40 days from the date of commencing such business, file a return with
the collector setting forth his or her name, his or her business,
his or her business address and such other information as may be necessary
to compute the actual gross volume of business transacted by him or
her during the license year and the amount of tax estimated to be
due.
[Ord. 269, passed 4-10-1967]
Every person subject to the payment of the tax under this chapter
who engages in a business temporary, seasonal or itinerant by its
nature shall, within seven days from the day he or she completes such
business, file a return with the collector setting forth his or her
name, his or her business, his or her business address and such other
information as may be necessary in arriving at the actual gross amount
of business transacted by him or her during such period and the amount
of tax due.
[Ord. 588, passed 8-8-1994]
On or before April 15 of each year, every person subject to
the tax under this chapter shall make a final return to the collector
of the actual volume of business transacted by such taxpayer during
the period for which the taxpayer is subject to the tax. Such final
return shall state the amount of the gross volume of business as set
forth in the first return, the amount of tax paid at the time of the
filing of the first return required by this chapter and the amount
of tax due upon the final computation. In addition to the return,
every person subject to the tax shall submit a Schedule C, Form 1065
or Form 1120, of the Internal Revenue Service, whichever form is applicable
for a verification of the gross amount of business transacted.
[Ord. 269, passed 4-10-1967]
At the time of filing the first return, the person making the
same shall pay the amount of tax estimated to be due.
[Ord. 269, passed 4-10-1967]
At the time of filing the final return, if the full amount of
tax due by the taxpayer for the license year has not been paid, the
taxpayer shall pay the remaining balance of the tax which will be
the difference between the amount of tax paid at the time of making
the first return on the estimated computation and the amount of the
tax finally shown to be due.
[Ord. 269, passed 4-10-1967]
The collector is hereby authorized and directed to make and
keep such records, prepare such forms and take such other measures
as may be necessary or convenient to carry this chapter into effect.
[Ord. 269, passed 4-10-1967]
The collector shall collect and receive the fees, taxes, fines
and penalties imposed by this chapter. He or she shall also keep a
record showing the amount of tax received by him or her and the date
of payment. A receipt shall be given to the person paying the tax.
[Ord. 269, passed 4-10-1967]
If the collector is not satisfied with the return and payment
of the tax made by any taxpayer or supposed taxpayer under the provisions
of this chapter, he or she is hereby authorized to make a determination
of the tax due by such person, based upon the facts contained in the
return, or upon any information within his or her possession, or that
comes into his or her possession. For this purpose, the collector,
his or her deputy or his or her authorized agent, is authorized to
examine the books, papers and records of any such person to verify
the accuracy of any return or payment made under the provisions thereof,
to ascertain whether the taxes imposed by this chapter have been paid.
If any taxpayer or supposed taxpayer neglects or refuses to make any
return and payment of tax required by this chapter, or if, as a result
of an investigation by the collector, a return is found to be incorrect,
the collector shall estimate the tax due by such person and determine
the amount due by him or her for taxes and for penalties and interest
thereon.
[Ord. 269, passed 4-10-1967]
The collector may, at his or her discretion, require reasonable
deposits to be made by taxpayers who engage in a business that is
temporary, seasonal or itinerant by its nature.
[Ord. 269, passed 4-10-1967]
Any person claiming an exemption from the payment of the tax
hereby imposed is hereby charged with the burden of convincing the
collector of his or her legal right to such exemption.
[Ord. 269, passed 4-10-1967]
All taxes due and unpaid under this chapter shall be recoverable
by the Borough as other debts due the Borough are now by law recoverable.
[Ord. 269, passed 4-10-1967]
(A)
All taxes due under this chapter shall bear interest at the rate
of 6% per year or fractional part of a month from the day they are
due and payable until paid. If any taxpayer neglects or refuses to
make any return or payment required by this chapter, an additional
10% of the amount of the tax shall be added by the collector and collected.
(B)
The interest and surcharge provided for herein shall be in addition
to the penalty provided in § 884.99.
[Ord. 269, passed 4-10-1967]
All taxes, interest and penalties received, collected or recovered
under the provisions of this chapter shall be paid into the treasury
of the Borough for the use and benefit of the Borough.
[Ord. 269, passed 4-10-1967]
If a taxpayer for the license year has paid at the time of filing
his or her estimate an amount in excess of the actual tax due at the
end of the license year, the collector shall refund to the taxpayer
the amount of excess tax paid for such year. If the final return of
a taxpayer shows an overpayment of the tax by reason of the fact that
the gross volume of business as stated in the estimated computation
was less than the actual volume of business for the year or by reason
of the fact that the taxpayer did not continue to engage in business
throughout the year, the collector shall refund to the taxpayer the
amount of such overpayment which shall be the difference between the
amount of tax paid upon the filing of the first return and the amount
of the tax finally shown to be due.
[Ord. 269, passed 4-10-1967]
If any sentence, clause, section or part of this chapter 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 chapter. It is hereby declared to be the intent of
Council that this chapter would have been adopted had such unconstitutional,
illegal or invalid sentence, clause, section or part thereof not been
included herein.
This chapter shall be effective immediately after its passage
and advertisement and shall continue effective without annual re-
enactment.
[1]
Editor's Note: See § 202.99 for general code
penalty if no specific penalty is provided.
