[Adopted 12-6-2007 by Ord. No. 557]
As used in this article, the following terms shall have the meanings indicated:
APPROVED NOMINEE
The person designated by the governing body of the Borough of Sinking Spring by resolution to administer and enforce or to assist in the administration or enforcement of the tax in the place of the Tax Collector.
CALENDAR YEAR or YEAR
The period of time beginning on the first day of January and ending on the 31st day of December of each year.
EMPLOYER
An individual, partnership, limited partnership, association or corporation that engages the services of any individual and makes payment to said individual whether by salary, wages, commission or otherwise. An "employer" shall include a self-employed person who engages in his employ the services of one or more individuals besides himself.
INDIVIDUAL
Any person, male or female, engaged in any occupation of any nature, type or kind whatsoever within the corporate limits of the Borough of Sinking Spring, whether in the employ of another or self-employed, during the calendar year 2008 or any calendar year thereafter.
LOCAL SERVICES TAX
A tax of $52 per year levied on each engagement in any occupation, as heretofore defined, within the corporate limits of the Borough of Sinking Spring during the calendar year 2008 or any calendar year thereafter.
PRIVILEGE
The exercising or carrying on by any manner or means of any occupation whatsoever, whether it be trade, profession, business or undertaking of any type or kind carried on or performed within the corporate limits of the Borough of Sinking Spring, Berks County, for which recompense is received, whether by means of salary, wages, commission or otherwise, or whether the individual be self-employed, by payment for services rendered.
RETURN
All forms designated, prepared and supplied by the Tax Collector or his approved nominee for reporting the tax required to be deducted and paid at the times specified in §§ 174-22 and 174-24 of this article.
TAX COLLECTOR
The Tax Collector of the Borough of Sinking Spring, Berks County, Pennsylvania, as appointed by the Borough of Sinking Spring to collect the local services tax.
TAXABLE YEAR
The calendar year in which the tax is payable.
For the calendar year 2008 and annually thereafter, the Borough of Sinking Spring hereby imposes on each individual, to be paid by said individual exercising the privilege of engaging in any occupation within the corporate limits of the Borough of Sinking Spring, an annual local services tax in the manner and at the rates hereinafter set forth.
Beginning on January 1, 2008, each engagement in an occupation as hereinbefore defined shall be subject to the payment of a local services tax of $52 to be paid by each individual exercising the privilege of engaging in any occupation, as hereinbefore defined, within the corporate limits of the Borough of Sinking Spring.
A. 
Each individual exercising the privilege of engaging in any occupation or occupations within the corporate limits of the Borough of Sinking Spring and who shall earn less than $12,000 during the calendar year from said occupation or occupations shall be exempt from the payment of the local services tax of $52.
B. 
Each individual who shall be engaged in more than one occupation within the corporate limits of the Borough of Sinking Spring and who shall earn a total of $12,000 or more from the two or more occupations engaged in shall not be exempt from the local services tax of $52 though he or she shall earn less than $12,000 in each one of the two or more occupations he or she is engaging in within the corporate limits of the Borough of Sinking Spring.
C. 
Any person who has served in any war or armed conflict in which the United States was engaged and is honorably discharged or released under honorable circumstances from active service if, as a result of military service, the person is blind, a paraplegic, or a double or quadruple amputee or has a service-connected disability declared by the United States Veterans' Administration or its successor to be a total 100% disability, said person shall be exempt from payment of the tax.
D. 
Any person who has served as a member of a reserved component of the armed forces and is called to active duty at any time during the taxable year shall be exempt from payment of the tax. For the purposes of this subparagraph, "reserved component of the armed forces" shall mean the United States Army Reserve, United States Navy Reserve, United States Marine Corps Reserve, United States Coast Guard Reserve, United States Air Force Reserve, the Pennsylvania Army National Guard or the Pennsylvania Air National Guard.
E. 
Any individual exempt from the payment of the local services tax hereunder shall nevertheless pay said tax pursuant to the provisions of § 174-22, 174-25 or 174-26 hereof and shall, after December 31 of the subject taxable year but prior to June 30 next following the subject taxable year, file a claim for refund of said tax. The burden of proof shall be upon the individual claiming to be exempt to verify and furnish proof satisfactory to the Tax Collector, or his approved nominee, that he or she is exempt and is entitled to a refund of the tax previously paid. Upon the receipt of such proof supporting the exemption, the Tax Collector, or his approved nominee, is authorized to make refund of the tax previously paid to such individual having supplied such proof that he or she is exempt from payment of the tax.
A. 
Each taxpayer or employer who becomes subject to the tax or the withholding provisions of this article shall file the required returns and shall pay the tax due according to the following schedule:
(1) 
For all employees employed or self-employed persons engaging in an occupation in the Borough between the dates of January 1 of the taxable year and March 31 of the taxable year (first quarter), no later than April 30 of the taxable year.
(2) 
For all employees employed or self-employed persons engaging in an occupation in the Borough between the dates of April 1 of the taxable year and June 30 of the taxable year (second quarter), no later than July 31 of the taxable year.
(3) 
For employees employed or self-employed persons engaging in an occupation in the Borough between the dates of July 1 of the taxable year and September 30 of the taxable year (third quarter), no later than October 31 of the taxable year.
(4) 
For all employees employed or self-employed persons engaging in an occupation in the Borough between October 1 of the taxable year and December 31 of the taxable year (fourth quarter), no later than January 31 of the year following the taxable year.
B. 
In the case of an individual who exercises the privilege of engaging in an occupation within the corporate limits of the Borough of Sinking Spring for the first time after the first day of January of the taxable year, said tax shall be due and payable at close of the quarter said privilege is so exercised, as set forth in § 174-21A above.
C. 
Each taxpayer, employer or individual who becomes subject to the tax or withholding provisions of this article and fails to remit payment for said tax to the Borough, according to the schedule set forth in § 174-21A and B above, shall have levied against them a penalty equal to 10% of the amount due and interest computed at 1% per month for all amounts due and owing after the due date.
Each employer within the Borough of Sinking Spring is hereby charged with the duty of collecting and paying over to the Tax Collector of the Borough of Sinking Spring, or his approved nominee, from each employee engaged in his services, a pro-rata share of the said tax of $52 per year upon the privilege of engaging in any occupation, as hereinbefore defined, from each individual employed by said employer who performs services on behalf of said employer within the Borough of Sinking Spring or who is engaged in an occupation, as hereinbefore defined, for the benefit of the said employer or in the service of said employer within the corporate limits of the Borough of Sinking Spring. The pro-rata share of the tax assessed by the employer shall be determined by dividing the $52 tax by the number of payroll periods established by the employer for the year. For purposes of determining the pro-rata share, the employer shall round down to the nearest 1/100 dollar. Each employer shall make returns and payments of such tax as required by this section and § 174-24 and is authorized to deduct the said local services tax at the rates hereby imposed from each employee in his service, whether said employee is paid by salary, wages, commission or otherwise. Each employer within the corporate limits of the Borough of Sinking Spring shall prepare and file a return showing a computation of the tax on a form to be obtained by him from the Tax Collector of the Borough of Sinking Spring, or his approved nominee. Each employer shall file returns as required by this section and § 174-24 obtained by him from the Tax Collector of the Borough of Sinking Spring, or his approved nominee, showing a computation of the tax. Each employer, by completing and filing said returns as required by this section and § 174-24, and making payments after deducting the tax from the salary, wages, commissions or other compensations payable by him to his employees, shall be entitled to retain a commission calculated at 0.5% on the gross tax due and payable by each individual, provided that such tax is collected and paid over by the employer within the one month next following the last day of the quarter for which it is due. It is further provided that if the employer fails to file said return and pay said tax, but makes collection thereof from the salary, wages, commissions or other compensation paid by him to said employee, the employer shall be responsible for payment of the tax in full without any deductions or commissions as though the tax had originally been levied against him. If said employer fails to file a return, deduct and remit the tax imposed on his employees within four months of the due date, the applicable penalty and interest shall be chargeable to the employer. It is the employer's responsibility to file the return and remit the tax on behalf of his employee, whether or not he deducts the tax from the employee. It is further provided that the provisions of this section shall apply with respect to each and every employee earning less than $12,000 during the taxable year as defined and set forth under § 174-20. The burden of proof shall be upon the employee to verify and furnish proof to the Tax Collector, or his approved nominee, that he is exempt under § 174-20 and thus entitled to a refund.
Each individual who shall have more than one occupation within the corporate limits of the Borough of Sinking Spring or a principal occupation in another municipality which levies a local services tax shall be subject to the payment of the annual local services tax solely upon the privilege of engaging in his principal occupation, and his principal employer shall deliver to him a certificate of payment in a form to be furnished to the employer by the Tax Collector, or his approved nominee, certifying to any other employer of such individual that said local services tax has been paid by the employee to the employer and, in turn, remitted by said employer to the tax collector, or his approved nominee, of said other municipality. Any employer receiving such original certificate of payment of the local services tax by another employer shall not deduct or collect the local services tax imposed by this article.
Each employer in the Borough of Sinking Spring shall use his employment records as of the first day of January in determining the number of employees from whom the said local services tax shall be deducted and paid over to the Tax Collector or his approved nominee. Each employer who engages the services of any individual in an occupation to be performed in the Borough of Sinking Spring on or after the first day of January 2008 shall collect from said employee a pro-rata share of the $52 tax by dividing 52 by the number of payroll periods established by the employer for the year and collecting that sum for each remaining pay period from the employee's pay.
Each self-employed individual in the Borough of Sinking Spring who performs any services of any type or kind within the corporate limits of the Borough of Sinking Spring, whether the same is regarded either as a profession or as a business, shall be required to pay the local services tax of $52 for himself and shall, further, be required to deduct and pay over in the manner hereinbefore set forth in § 174-22, but in any event no less than $13 per quarter to the Tax Collector of the Borough of Sinking Spring, an annual local services tax of $52 for himself or herself and every individual in his employ who is engaged in the performance of any occupation or profession for him within the Borough of Sinking Spring. Any individual engaged in any occupation within the said Borough who is an employee of another shall be liable for the payment of the tax of $52 for himself and shall be treated and regarded as a self-employed individual if the location of the business of his employer is beyond the corporate limits of the Borough of Sinking Spring and said employee is not liable for a similar tax in another municipality. Each employer whose business location is beyond the corporate limits of the Borough of Sinking Spring shall be required to furnish to the Tax Collector of the Borough of Sinking Spring, or his approved nominee, a list of all individuals employed by him who exercise the privilege of engaging in any occupation of any type or kind within the corporate limits of the Borough of Sinking Spring during the calendar year and who are not liable for a similar tax in another municipality. It is further provided that the provisions of this section shall apply to each self-employed individual, as defined herein, earning less than $12,000 during the calendar year, as defined and set forth under § 174-20. The burden of proof shall be upon the self-employed individual to verify and furnish proof to the Tax Collector that he is exempt under § 174-20 and thus entitled to a refund.
Where a person is engaged in domestic services for others and has more than one employer in the performance of such services, the employer by whom such domestic is employed on the first day of January of the taxable year shall be responsible for the collection and payment of the annual Local Services Tax for such domestic to the Tax Collector of the Borough of Sinking Spring, or his approved nominee pursuant to §§ 174-22 and 174-24. In the event that the domestic is not employed by any person on the first day of January, the said responsibility for deducting and paying over the local services tax shall rest upon the employer of the domestic on the next succeeding date following the first day of January, and said employer shall furnish to said domestic employee a certificate of payment of said local services tax to be exhibited to all other employers of said domestic, and the producing of said certificate to such other employers shall excuse them from the deduction of any further local services tax from said domestic employee for the taxable year.
A. 
It shall be the duty of the Tax Collector, or his approved nominee, to collect, to receive and, when required by law or this article, to make refunds of the taxes, fines or penalties imposed by this article. It shall also be his duty to keep a record showing the amount received by him from each self-employed person paying the tax and the date of such receipt; and, further, it shall be his duty to keep a record showing the amount received by him from every employer paying the tax on behalf of his employees by deduction made by such employer from the salary, wages, commissions or other forms of recompense.
B. 
The Tax Collector, or his approved nominee, is hereby charged with the administration and enforcement of the provisions of this article and 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 a provision for the examination of the payroll records of any employer within the Borough of Sinking Spring and, further, for the reexamination and correction of any returns made in compliance with this article and any payment alleged or found to be incorrect or as to which overpayment or exemption is claimed or found to have occurred. Any person aggrieved by any decision of the Tax Collector, or his approved nominee, shall have the right to appeal to the Court of Common Pleas of Berks County as in other cases provided.
C. 
The Tax Collector, or his approved nominee, is hereby authorized to examine the books and payroll records of any employer in order to verify the accuracy of any return made by any employer on behalf of his employees or, if no return was made, to ascertain the local services tax due. Each employer in the Borough of Sinking Spring is hereby directed and required to give to the Tax Collector, or his approved nominee, the means, facilities and opportunity for such examinations and investigations as are hereby authorized.
D. 
The records, books and accounts of the Tax Collector, or his approved nominee, shall be audited by whoever from time to time is charged with the auditing of the accounts of the Borough of Sinking Spring.
In the event that any tax under this article remains due or unpaid at the end of the taxable year, the Tax Collector, or his approved nominee, may sue for the recovery of any such tax due or unpaid under this article, together with penalty. Where suit is brought for the recovery of any local services tax, the individual liable therefor shall, in addition, be responsible and liable for the costs of collection and the interest and penalties herein imposed.
[Amended at time of adoption of Code (see Ch. 1, General Provisions, Art. I)]
Whoever makes any false or untrue statements on any return or exemption claim required by this article, or who refuses inspection of the books, records or accounts in his custody or control in order to determine the number of employees subject to the local services tax who are in his employment, or whoever fails or refuses to file any return required by this article shall, upon conviction in a summary proceeding under the Pennsylvania Rules of Criminal Procedure, be guilty of a summary offense and shall be punishable by a fine of not more than $1,000, plus court costs and reasonable attorneys' fees incurred by the Borough in the enforcement proceedings. Upon judgment against any person by summary conviction, or by proceedings by summons on default of the payment of the fine or penalty imposed and the costs, the defendant may be sentenced and committed to the Borough correctional facility for a period not exceeding 10 days or to the county correctional facility for a period not exceeding 30 days. Each day that such violation exists shall constitute a separate offense, and each section of this article that is violated shall also constitute a separate offense. In addition to or in lieu of enforcement under this section, the Borough may enforce this article in equity in the Court of Common Pleas of Berks County. It is further provided that action to enforce the penalty herein provided may be begun and instituted against any person in charge of the business premises of any employer who has failed or who refuses to file a return required by this article.
A. 
Nothing contained in this article shall be construed to empower the Borough of Sinking Spring to levy and collect the local services tax hereby imposed on any occupation not within the taxing power of the Borough of Sinking Spring under the Constitution of the United States and the laws and Constitution of the Commonwealth of Pennsylvania, particularly those laws which provide that no person shall pay more than $52 in any calendar year as a local services tax irrespective of the number of political subdivisions within which such person may be employed within any given calendar year.
B. 
If the local services tax hereby imposed under the provisions of this article shall be held by any court of competent jurisdiction to be in violation of the Constitution of the United States or of the Commonwealth of Pennsylvania as to any individual, the decision of the court shall not affect or impair the right to impose or collect said local services tax or the validity of the tax so imposed upon other persons or individuals as herein provided.
If any individual is engaged in any occupation of any type or kind licensed by the Commonwealth of Pennsylvania, the tax imposed by this article, nevertheless, shall be payable and due by said individual for the privilege of maintaining a location within the corporate limits of the Borough of Sinking Spring or for the carrying on of such occupation or business so licensed within the corporate limits of the Borough of Sinking Spring.
Any claim for refund of any local services tax paid during the calendar year of 2008 or thereafter must be filed in writing with the Tax Collector, or his approved nominee, on or before the 30th day of June next following the subject taxable year. Any claim for refund filed after said date shall be barred and disallowed.