[Adopted 4-13-2015 by Ord. No. 661]
This article shall be known as the "Delinquent Earned Income Tax Cost and Collection Ordinance."
The amounts established in § 390-66, below, shall constitute reasonable costs of delinquent tax collection. Reasonable costs shall be added to and become part of the delinquent taxes due and owing and shall be collected from the payor of delinquent taxes and shall be retained as compensation by the delinquent tax collector.
Pursuant to the Local Tax Enabling Act and specifically Act 192 of 2004, the Political Subdivision does hereby authorize the recovery of reasonable costs set forth in § 390-66, below, that are incurred by the Political Subdivision or charged to the Political Subdivision by its delinquent tax collector retained by the Political Subdivision in connection with delinquent tax collection as a result of any taxpayers' failure to pay taxes promptly.
Delinquent tax collection services provided by the delinquent tax collector retained by the Political Subdivision may result in voluntary payment of the delinquent taxes due without the initiation of enforced collection proceedings. The Political Subdivision will incur reasonable costs, including charges and commissions in connection with the collection of the Political Subdivision's delinquent taxes. It is the intent of this article to pass the reasonable costs on to the delinquent person or entity owing the delinquent taxes or person or entity paying the delinquent taxes as part of the delinquent taxes due making the Political Subdivision whole on all delinquent taxes collected. The recovery of reasonable costs established herein shall not be contingent upon the initiation of enforced collection proceedings. The reasonable costs authorized and established herein are exclusive of any attorney fees and expenses, if any, otherwise due to legal counsel from the Political Subdivision, the delinquent tax collector, or pursuant to other applicable laws.
The following schedule of reasonable costs shall constitute reasonable and appropriate costs of delinquent tax collection. The reasonable costs shall be added to and become part of each delinquent tax, together with the original tax, penalties, and interest, as well as record costs, if any, and shall be payable in full before the discharge or satisfaction of the delinquent taxes due. The schedule of reasonable costs are separate and distinct from any amounts imposed by the Sheriff, Prothonotary, Court, or any other public office in connection with the collection of the Political Subdivision's delinquent taxes.
A. 
Reasonable costs shall include:
(1) 
A sum in the amount of 10% prior to the initiation of enforced collection proceedings before the Magisterial District Judge, and 20% on or after the initiation of enforced collection proceedings before the Magisterial District Judge, of gross delinquent tax collections together with the actual cost of postage and other out-of-pocket expenses of delinquent tax collection. For the purpose of this provision, the initiation of enforced collection proceedings shall occur when a complaint, claim or proof of claim, is prepared on behalf of the Political Subdivision or if the Political Subdivision, by and through its delinquent tax collector attends any legal proceeding or responds to any taxpayer challenge relating to the collection of the delinquent tax. From and after any such date, reasonable costs shall be at the higher percentage.
(a) 
Gross delinquent tax collections for the purpose of calculating reasonable costs shall include the unpaid original tax due together with all penalties and interest for each year of unpaid delinquent taxes.
(b) 
Liability for payment of the reasonable cost for delinquent earned income taxes shall be assessed, levied, and collected for any delinquent earned income tax due and owing to the Political Subdivision.
The delinquent tax collector is authorized to file and pursue appropriate legal proceedings in accordance with Section 21 of the Local Tax Enabling Act and in accordance with any other applicable law, including Federal Bankruptcy Law, for the enforced collection of delinquent taxes. The delinquent tax collector shall inform the taxing authority before any legal action is initiated for delinquent taxes. The delinquent tax collector is authorized to bring such proceedings in the name of the Political Subdivision and to utilize legal counsel at the sole cost and expense of the delinquent tax collector to sign, file, and pursue appropriate legal proceedings, in the name of the Political Subdivision, to collect the Political Subdivision's delinquent taxes. Pursuant to Act 192 of 2004, the Political Subdivision, whether independently or through its delinquent tax collector shall be represented by an attorney when bringing suit under the provisions of the Local Tax Enabling Act pursuant to Act 192 of 2004.
This article shall take effect immediately.
If any provision of this article shall be determined to be unlawful, invalid, void, or unenforceable, then that part shall be considered severable from the remaining provisions of this article which shall be in full force and effect.
Any ordinance or part thereof conflicting with the provisions of this article is hereby repealed so far as the same affects this article.