This article shall be known and may be cited as the "Mercantile Tax Ordinance of the Borough of Sinking Spring."
[Adopted 5-5-1983 by Ord. No. 441]
A. BOROUGH MERCANTILE TAX COLLECTOR PERSON RETAIL DEALER TAXPAYER TAX YEAR TEMPORARY, SEASONAL OR ITINERANT BUSINESS WHOLE VOLUME OF BUSINESS WHOLESALE AND RETAIL DEALER WHOLESALE DEALER
The following words and phrases, when used in this article, shall have the meanings ascribed to them in this section unless the context clearly indicates a different meaning:
The Borough of Sinking Spring, Berks County, Pennsylvania.
The officer appointed by the Borough Council of the Borough of Sinking Spring to collect the tax covered under this article.
Any individual, partnership, limited partnership, association, corporation or other entity engaging in business.
Any person who is a dealer in or vendor of goods, wares and merchandise who is not a wholesale dealer or a wholesale and retail dealer as herein defined.[1]
A person subject to the tax imposed by this article.
[Added 12-28-2011 by Ord. No. 589]
The calendar year, January 1 through December 31, of a given year.
[Amended 12-28-2011 by Ord. No. 589]
Any business that is conducted at one location for less than 60 consecutive calendar days.
The money or money's worth received by any wholesale dealer, retail dealer, wholesale and retail dealer or proprietor of any restaurant or other place where food, drink and refreshments are served, in or by reason of the sale of goods, wares and merchandise, including in every case cash, credits and, except as herein provided, property of any kind or nature, without deduction therefrom on account of the cost of the property sold, the cost of materials, labor and services expended, interest, discounts, other taxes paid and other expenses, but not including the dollar volume of business transacted by wholesale dealers, retail dealers and wholesale and retail dealers derived from the resale of goods, wares and merchandise taken by any such dealer as a trade-in or as part payment for other goods, wares and merchandise, except to the extent that the resale price exceeds the trade-in allowance.
Any person who sells to dealers in or vendors of goods, wares and merchandise and to other persons.
Any person who sells to dealers in or vendors of goods, wares and merchandise and to no other persons.
[1]
Editor's Note: The former definition of "tax quarter," which immediately followed this definition, was repealed 12-28-2011 by Ord. No. 589.
B.
The terms "person," "wholesale dealer," "retail dealer" and "wholesale and retail dealer" shall not include nonprofit corporations or associations organized for religious, charitable or educational purposes, social or civic groups, agencies of the government of the United States or of the Commonwealth of Pennsylvania or any person vending or disposing of articles of his own growth, production or manufacture for shipment or delivery from the place of growth, production or manufacture thereof.
C.
When any of the foregoing terms are used in this article, the singular shall include the plural, and the masculine shall include the feminine and neuter.
[Amended 12-28-2011 by Ord. No. 589]
A.
For the tax year commencing January 1, 2012, and ending December 31, 2012, and for tax years thereafter, the Borough hereby imposes a tax on each dollar of the whole volume of business transacted in the Borough by wholesale dealers, retail dealers, wholesale and retail dealers and proprietors of restaurants or other places where food, drink and refreshments are served, regardless of whether such person, dealer or proprietor shall maintain a place of business within the Borough, at the rates and at the times hereinafter set forth. The Borough further directs that the tax return filings and payments of the tax shall be made as hereinafter set forth.
B.
Beginning January 1, 2012, and for each tax year thereafter, the tax year shall be a calendar year, January 1 through December 31. To effect the transition from fiscal-year quarterly filing, to calendar-year filing, the immediate prior fiscal year, July 1, 2010 through June 30, 2011, shall end on June 30, 2011. Each taxpayer shall file a return for the tax quarter July 1, 2011 through September 30, 2011, and pay all taxes due on whole volume of business in said quarter on or before October 31, 2011. Each taxpayer shall file a return for the tax quarter October 1, 2011 through December 31, 2011, and pay all taxes due on whole volume of business in said quarter on or before January 31, 2012. Beginning January 1, 2012, and for each tax year thereafter, each taxpayer shall file an annual return on April 15 of each year as provided in this article.
Every person engaging in any of the following occupations or businesses in the Borough, regardless of whether such person maintains a place of business within the Borough, shall pay in the manner hereinafter provided an annual tax on each dollar of the whole volume of business transacted in the Borough by such person for the tax year commencing July 1, 1983, and ending June 30, 1984, and for tax years thereafter, at the following rates:
A.
Wholesale dealers in goods, wares and merchandise at the rate of one mill on each dollar of the annual whole volume of business transacted by them.
B.
Retail dealers in goods, wares and merchandise and proprietors of restaurants or other places where food, drink and refreshments are served at the rate of 1 1/2 mills on each dollar of the annual whole volume of business transacted by them.
C.
Wholesale and retail dealers in goods, wares and merchandise at the rate of one mill on each dollar of the annual whole volume of wholesale business transacted by them and at the rate of 1 1/2 mills on each dollar of the annual whole volume of retail business transacted by them.
[Amended 12-28-2011 by Ord. No. 589]
A.
Every person subject to the tax hereby imposed who has commenced business at least a full year prior to the beginning of a tax year shall compute the estimated whole volume of business for that tax year upon the actual gross amount of business transacted by such person during the 12 months preceding.
B.
Every person subject to the tax hereby imposed who has commenced business less than one full year prior to the beginning of a tax year shall compute the estimated whole volume of business for that tax year by multiplying by 12 the monthly average of the actual gross amount of business transacted by him during the months he was engaged in business prior to January 1.
C.
Every person subject to the tax hereby imposed who commences his business subsequent to the beginning of a tax year shall compute the estimated whole volume of business for that tax year upon the actual gross amount of business transacted by him during the first month of his engaging in business multiplied by the number of months remaining in the tax year.
D.
Every person subject to the tax hereby imposed who engages in a business that is temporary, seasonal or itinerate in nature and of a duration not exceeding 60 days, shall compute his annual whole volume of business for the tax year upon the actual whole amount of business transacted by him during such tax year.
[Amended 12-28-2011 by Ord. No. 589]
A.
Every return shall be made upon a form prescribed and furnished by the Mercantile Tax Collector. Every person making such return shall furnish all information requested therein and certify the correctness thereof.
B.
Tax return.
(1)
Beginning with tax year 2012 and for each subsequent tax year, every person subject to the tax hereby imposed who has commenced his business at least one full year prior to the beginning of the tax year shall, on or before the 15th day of April following, file with the Mercantile Tax Collector a return setting forth his name, his business and business address and such other information as may be required by the Tax Collector to compute the actual gross volume of business transacted by him during the tax year immediately prior and the amount of tax estimated to be due for the then current tax year. Each return shall show the actual whole volume of business transacted by the taxpayer during the preceding tax year, the amount of tax paid previously as an estimate for the preceding tax year, the amount of tax, if any, remaining due for the preceding year, and the amount of estimated tax due for the current tax year.
(2)
Every person subject to the tax hereby imposed who has commenced his business less than one full year prior to the beginning of the tax year shall, on or before the 15th of April following, file with the Mercantile Tax Collector a return setting forth his name, his business and business address and such other information as may be required by the Tax Collector to compute the actual gross volume of business transacted by him during the tax year immediately prior and the amount of tax estimated to be due for the then-current tax year. Each return shall show the actual whole volume of business transacted by the taxpayer during the preceding tax year, the amount of tax paid previously as an estimate for the preceding tax year, the amount of tax, if any, remaining due for the preceding year, and the amount of estimated tax due for the current tax year.
(3)
Every person subject to the tax hereby imposed who commences business subsequent to the beginning of the tax year shall, within 60 days from the date of commencing such business, file with the Mercantile Tax Collector a return setting forth his name, his business and business address and such other information as may be required by the Tax Collector and shall compute and show the amount of tax estimated to be due for the then-current tax year.
(4)
Every person subject to the tax hereby imposed who engages in a business which is temporary, seasonal or itinerate by its nature and of a duration not exceeding 60 days shall, within seven days from the day he completes such business, file with the Mercantile Tax Collector a return setting forth his name, his business address and such other information as may be required by the Tax Collector to compute the actual gross amount of business transacted by him during such period and the amount of the tax due. Each return shall show the amount of tax due for the then-current tax year.
(5)
Any person ceasing to do business during the tax year shall, within 14 days from the date of ceasing to do business, file a final return showing the actual gross volume of business conducted during that portion of the tax year in which said person was actually in business, and pay the tax due as computed thereon.
(6)
The burden is hereby imposed upon any person claiming an exemption from the payment or imposition of tax hereby imposed to prove his legal right to such exemption.
[Amended 12-28-2011 by Ord. No. 589]
A.
At the time of filing a tax return, each taxpayer shall pay an estimated tax for the current year and any balance of taxes due for the tax year immediately preceding. The estimated tax shall be calculated as provided above. The balance of tax due for the preceding tax year shall be the difference between the amount of tax paid as an estimate for said preceding tax year and the amount of the tax finally shown to be due.
B.
All taxes, interest and penalties imposed under the provisions of this article shall be payable to the Mercantile Tax Collector.
A.
It shall be the duty of the Mercantile Tax Collector to collect and receive the taxes, interest, penalties and fines imposed by this article. It shall also be his duty to keep a record showing the amount received by him from each person paying the tax and the date of such receipt.
B.
The Mercantile Tax Collector 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 provisions for the reexamination and correction of returns, for payments alleged or found to be incorrect and for overpayments claimed or found to have occurred. Any person aggrieved by any decision of the Mercantile Tax Collector shall have the right to appeal to the Court of Common Pleas of Berks County, as in other cases provided.
C.
If the Mercantile Tax Collector is not satisfied with the return made by any taxpayer or supposed taxpayer under the provisions of this article, he is hereby authorized and empowered to redetermine the tax due by such person, based upon the facts contained in the return or upon any information within his possession or that shall come into his possession, and for this purpose he or his representative is authorized to examine any books, papers and records of any such person in order to verify the accuracy of any return or payment made under the provisions thereof or to ascertain whether the taxes imposed by this article have been paid; and every such person is hereby required to submit his books, papers and records to such examination upon request of the Mercantile Tax Collector and to give him or his representative the means, facilities and opportunity for such an examination.
D.
If any taxpayer or supposed taxpayer shall neglect or refuse to file any return required by this article or to pay the tax imposed by this article, or if any such person pays less than the correct amount of tax due from him, the Mercantile Tax Collector shall estimate or determine the tax due by such person and the amount of interest and penalties thereon.
E.
The Mercantile Tax Collector is hereby authorized and directed to make and keep such records and prepare such forms as may be necessary or convenient to carry this article into effect.
A.
All taxes, interest and penalties due and unpaid under this article shall be recovered by the Borough in accordance with the provisions of the Local Tax Enabling Act (1965), December 31, P.L. 1257,[1] as amended from time to time, or as otherwise provided by law.
[1]
Editor's Note: See 53 P.S. § 6924.101 et seq.
B.
In the event that the amount of tax paid by any taxpayer is less than the amount determined to be due from such taxpayer, interest shall be paid on the difference at the rate of 1 1/2% per month or fractional part thereof from the day said tax was due and payable until the day said tax is fully paid. For the purpose of this provision, the tax imposed by this article shall be deemed due and payable on April 15 of the tax year; except that in the case of taxpayers who file returns under § 174-51B(3) of this article, said tax shall be deemed due and payable 60 days from the date of commencing such business, and in the case of taxpayers who file returns under § 174-51B(4) of this article, said tax shall be deemed due and payable seven days from the day such business is completed.
[Amended 12-28-2011 by Ord. No. 589]
C.
The mercantile tax levied pursuant to this article shall be due and payable on the date which the taxpayer is required to file a return as set forth above. All taxes due shall bear interest at the rate of 1 1/2% per month or fractional part of a month, from the day they are due and payable until paid. If any taxpayer shall neglect or refuse to make any return or payment as required, an additional 10% of the amount of the tax shall be added to the amount due. Where legal action is brought for the recovery of this tax, the taxpayer shall, in addition, be responsible and liable for collection costs, including attorneys' fees.
[Amended 12-28-2011 by Ord. No. 589]
D.
In the event that any taxpayer neglects or refuses to file the return required to be filed by this article, a penalty in the amount of 5% of the amount of tax due from such taxpayer shall be collected by the Mercantile Tax Collector. Such penalty shall be in addition to any other penalty imposed by this article.
[Amended 12-28-2011 by Ord. No. 589]
Any information gained by the Mercantile Tax Collector or any other official or agent of the Borough as a result of any returns, investigations or verifications required or authorized by this article shall be confidential, except for official purposes and except in accordance with proper judicial order or as otherwise provided by law.
[Amended at time of adoption of Code (see Ch. 1, General Provisions, Art. I)]
Any person or any officer, agent, servant or employee thereof who shall fail, neglect or refuse to comply with any of the terms or provisions of this article or of any regulations or requirements made pursuant hereto and authorized hereby, or who knowingly makes any false or untrue statement on his return, or who refuses to permit inspection of any books, records or accounts of any person when the right to make such inspection is requested by the Mercantile Tax Collector, or who fails or refuses to file a return required by this article or who fails or refuses to pay any tax, interest or penalties 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 chapter 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 chapter in equity in the Court of Common Pleas of Berks County. The fine imposed by this section shall be in addition to any other penalty imposed by any other section in this article.
The tax imposed by this article shall be in addition to all other taxes of any kind or nature heretofore or hereafter levied by the Borough and the tax imposed herein is for general revenue purposes.
[Amended 12-28-2011 by Ord. No. 589]
The effective date of the Mercantile Tax Ordinance remains unchanged and shall be deemed to have been in effect from July 1, 1983, continuing in full force and effect from year to year thereafter. the effective date of the within amendments to the Mercantile Tax Ordinance shall be January 1, 2012.
Nothing contained in this article shall be construed to empower the Borough to levy and collect the taxes hereby imposed on any person or any business or any portion of any business, trade, occupation or profession not within the taxing power of the Borough under the Constitution of the United States and the laws and Constitution of the Commonwealth of Pennsylvania.
If any person is liable for the same tax on the same subject imposed under the Local Tax Enabling Act (1965), December 31, 1965, P.L. 1257, and its amendments,[1] to the Borough and one or more political subdivisions of the state, then and in that event the tax shall be apportioned by such percentage as may be agreed upon by such political subdivisions, but in no event shall the combined taxes of both subdivisions exceed a maximum rate of tax as fixed by the said enabling act permitting the imposition of such taxes.
[1]
Editor's Note: See 53 P.S. § 6924.101 et seq.
If the tax or any portion thereof 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 laws or the Constitution of the Commonwealth of Pennsylvania as to any person, the decision of the court shall not affect or impair the right to impose or collect said tax or the validity of the tax so imposed upon other persons as herein provided; and if any word, phrase, clause, section, provision or exclusion contained in this article is held to be invalid, illegal or unconstitutional, the decision of the court shall not affect or impair any of the remaining provisions of this article, and it is hereby declared to be the legislative intent that this article would have been adopted if such illegal, invalid or unconstitutional word, phrase, clause, section, provision or exclusion had not been included herein; and to this end the provisions of this article are hereby declared to be severable.