[Ord. No. 1967-1, 5/1967]
This Part 1 shall be known and may be cited as the "Township of Walker Earned Income Tax Ordinance of 1967." It is enacted under the authority of the Local Tax Enabling Act of December 31, 1965, P.L. (Act No. 511).[1] This Part 1 shall become effective as of July 1, 1967.
[1]
Editor's Note: See now 53 P.S. § 6924.101 et seq.
[Ord. No. 1967-1, 5/1967]
Unless otherwise expressly said, the following words and phrases used in this Part 1 shall have the meaning therein indicated.
ACT
The Local Tax Enabling Act of December 31, 1965, P.L. (Act No. 511).[1]
ASSOCIATION
A partnership, limited partnership, or any other unincorporated group of two or more persons.
BOARD OF SUPERVISORS
The Board of Supervisors of the Township of Walker.
BUSINESS
An enterprise, activity, profession or any other undertaking of an unincorporated nature conducted for profit or ordinarily conducted for profit whether by a person, partnership, association, or any other entity.
CORPORATION
A corporation or joint stock association organized under the laws of the United States, the Commonwealth of Pennsylvania, or any other state, territory, foreign country or dependency.
CURRENT YEAR
The calendar year for which the tax is levied.
DOMICILE
The place where one lives and is his permanent home and to which he has the intention of returning whenever he is absent. Actual residence is not necessarily domicile, for domicile is the fixed place of abode which, in the intention of the taxpayer, is permanent rather than transitory. Domicile is the place in which a man has voluntarily fixed the habitation of himself and his family, nor for a mere special or limited purpose, but with the present intention of making a permanent home, until some event occurs to induce him to adopt some other permanent home. In the case of businesses, or associations, the domicile is that place considered as the center of business affairs and the place where its functions are discharged.
EARNED INCOME
Salaries, wages, commissions, bonuses, incentive payments, fees, tips and other compensation received by a person or his personal representative for services rendered, whether directly or through an agent, and whether in cash or in property; not including, however, wages or compensation paid to persons on active military service, periodic payments for sickness and disability other than regular wages received during a period of sickness, disability or retirement or payments arising under workmen's compensation acts, occupational disease, acts and similar legislation, or payments, commonly recognized as old age benefit, retirement pay or pensions paid to persons retired from service reaching a specific age or after a stated period of employment or payments commonly known as public assistance, or unemployment compensation payments made by any governmental agency or payments to reimburse expenses or payments made by employers or labor unions for wage and salary supplemental programs including but not limited to, programs covering hospitalization, sickness, disability, or death, supplemental unemployment benefits, strike benefits, social security and retirement.
EMPLOYER
A person, partnership, association, corporation, institution, governmental body or unit or agency, or any other entity employing one or more persons for a salary, wage, commission or other compensation.
GOVERNING BODY
The Board of Supervisors of the Township of Walker.
INCOME TAX OFFICER OR OFFICER
Person, corporation, public employee or private agency designated by the Board of Supervisors of the Township of Walker to collect and administer the tax on earned income and net profits.
NET PROFITS
The net income from the operation of a business, profession, or other activity, except, corporations, after provision for all costs and expenses incurred in the conduct thereof, determined either on a cash or accrual basis in accordance with the accounting system used in such business, profession or other activity but without deduction of taxes based on income.
NONRESIDENT
A person, partnership, association or other entity domiciled outside the Township of Walker.
PERSON OR INDIVIDUAL
A natural person.
PRECEDING YEAR
The calendar year before the current year.
RESIDENT
A person, partnership, association, or other entity domiciled in the Township of Walker.
SUCCEEDING YEAR
The calendar year following the current year.
TAXING DISTRICT
The Township of Walker.
TAXPAYER
A person, partnership, association, or any other entity, required hereunder to file a return on earned income or net profits, or to pay a tax thereon.
TOWNSHIP
The Township of Walker.
[1]
Editor's Note: See now 53 P.S. § 6924.101 et seq.
[Ord. No. 1967-1, 5/1967]
A tax of 1% for general revenue purposes is hereby imposed beginning July 1, 1967, and continuing thereafter until further action of the Board of Supervisors on all earned income and net profits earned by residents of the Township, and on earned income and net profits earned by nonresidents of the Township within the Township, for the period beginning July 1 of the current year and ending December 31 of the current year. The said tax shall continue in force thereafter on a calendar year or taxpayer fiscal year basis, without annual reenactment, unless the rate of tax is subsequently changed.
[Ord. No. 1967-1, 5/1967]
1. 
Net Profits.
A. 
Every taxpayer making net profits subject to this Part 1 shall pay to the Officer an annual payment of tax due on or before April 15, of the succeeding year, for the period beginning July 1 and ending December 31 of the current year, and-on or before April 15 of the next succeeding year and of each succeeding year thereafter, make and file with the Officer on a form prescribed or approved by the Officer, a declaration of his estimated net profits during the period beginning January 1 and ending December 31 of the succeeding year, and pay to the Officer in four quarterly installments the tax due thereon as follows: The first installment at the time of filing the declaration, and the other installments on or before June 15, of the succeeding year, September 15 of the succeeding year, and January 15 of the succeeding year, respectively, and on the same dates of each succeeding year thereafter.
B. 
Any taxpayer who first anticipates any net profit after April 15 of the succeeding year, shall make and file the declaration hereinabove required on or before June 15, of the succeeding year, September 15 of the succeeding year, or December 31 of the succeeding year, and on the same dates of each succeeding year thereafter, whichever of these dates next follows the date on which the taxpayer first anticipates such net profit, and pay to the Officer in equal installments the tax due thereon on or before the quarterly payment dates which remain after the filing of the declaration.
C. 
Every taxpayer shall, on or before April 15 of the succeeding year, make and file with the Officer on a form prescribed or approved by the Officer, a final return showing the amount of net profits earned during the period beginning July 1 of the current year and ending December 31 of the current and during the period beginning January 1 of the succeeding year and ending December 31 of the succeeding year, and during similar periods of each succeeding year thereafter, the total amount of tax due thereon and the total amount of tax paid thereon. At the time of filing the final return, the taxpayer shall pay to the Officer the balance of tax due or shall make demand for refund or credit in the case of overpayment. Any taxpayer may, in lieu of paying the fourth quarterly installment of his estimated tax, elect to make and file with the Officer on or before January 31 of the succeeding year, and each succeeding year thereafter, the final return as hereinabove required.
D. 
The Officer is authorized to provide by regulation for the making and filing of adjusted declarations of estimated net profits, and for the payments of the estimated tax in cases where a taxpayer who has filed the declaration hereinabove required anticipates additional net profits not previously declared or finds that he has overestimated his anticipated net profits.
E. 
Every taxpayer who discontinues business prior to December 31 of the current year, and prior to the same date of each succeeding year thereafter, shall within 30 days after the discontinuance of business, file his final return as hereinabove required and pay the tax due.
2. 
Earned Income.
A. 
Annual Earned Income Tax Return. Every taxpayer shall, on or before April 15 of the succeeding year, make and file with the Officer on a form prescribed or approved by the Officer a final return showing the amount of earned income' received during the period beginning July 1 of the current year, and ending December 31 of the current year, and for each succeeding year thereafter earned during the period beginning January 1 and ending December 31, the total amount of tax due thereon, the amount zero tax paid thereon, the amount of tax thereon that has been withheld pursuant to the provisions relating to the collection at source an, the balance of tax due. At the time of filing the final return,' the taxpayer shall pay the balance of the tax due or shall make demand for refund or credit in the case of overpayment.
B. 
Earned Income Not Subject to Withholding. Every taxpayer who is employed for a salary, wage, commission, or other compensation and who received any earned income not subject to the provisions relating to collection at source, shall:
(1) 
Make and file with the Officer on a form prescribed or approved by the Officer, an annual return setting forth the aggregate amount of earned income not subject to withholding from him, during the period beginning July 1 and ending December 31 of the current year, and during the period beginning January 1 and ending December 31 thereafter, and such other information as the Officer may require, and pay to the Officer the amount of tax shown as due thereon on or before April 15 of the succeeding year, and on or before April 15 of each succeeding year thereafter, and
(2) 
Make and file with the Officer on a form prescribed or approved by the Officer, a quarterly return on or before April 20 of the succeeding year, July 31 of the succeeding year, October 31 of the succeeding year, and January 31 of the next succeeding year, and on the same dates of each next succeeding year thereafter, setting forth the actual amount of earned income not subject to withholding by him during the three-month periods ending March 31 of the succeeding year, June 30 of the succeeding year, September 30 of the succeeding year, and December 31 of the succeeding year respectively, and during the same periods for the next succeeding year thereafter, and subject to the tax, together with such other information as the Officer may require. Every taxpayer making such return shall, at the time of filing thereof, pay to the Officer the amount of tax shown as due thereon.
3. 
Death of Taxpayer. In the event of the death of taxpayer during a taxable period, his personal representative, or in the absence of a personal representative, his heirs-at-law as designated by the Intestate Act of 1947, as amended, or as hereafter amended or supplemented, shall file his return on or before the 15th day of April of the year following the date of death and on or before such date shall pay any tax due from such deceased taxpayer under this Part 1 or demand refund in the case of overpayment.
[Ord. No. 1967-1, 5/1967]
1. 
Every employer having an office, factory, workshop, branch warehouse, or other place of business within the Township who employs one or more persons, other than domestic servants, for a salary, wage, commission or other compensation, who has not previously registered, shall, within 15 days after becoming an employer, register with the Officer his name and address and such other information as the Officer may require.
2. 
Every employer having an office, factory, workshop, branch, warehouse, or other place of business within the Township who employs one or more persons, other than domestic servants, for a salary, wage, commission or other compensation, shall deduct at the time of payment thereof, the tax imposed by this Part 1 on the earned income due to his employee or employees, and shall on or before October 31 of the current year, and January 31 of the succeeding year, and on or before April 30 of the succeeding year, July 31 of the succeeding year, October 31 of the succeeding year, and January 31 of the next succeeding year, and on or before the same dates of each next succeeding year thereafter, file a return and pay to the Officer the amount of taxes deducted during the preceding three-month periods ending September 30 of the current year, December 31 of the current year, March 31 of the succeeding year, June 30 of the succeeding year, September 30 of the succeeding year, December 31 of the succeeding year, and during the periods ending on the same dates of each next succeeding year thereafter, respectively. Such returns, unless otherwise agreed upon between the Officer and employer, shall show the name and social security number of each such employee, the earned income of such employee during such preceding three-month period, the tax deducted therefrom, the fact that the Township is imposing the tax upon such employee, the total earned income of such employee during such preceding three month period, and the total tax deducted therefrom and paid with the return. Any employer who for two of the preceding four quarterly periods failed to deduct the proper tax or any part thereof, or has failed to pay over the proper amount of tax to the Officer, may be required by the Officer to file his return and pay the tax monthly. In such cases, payments of tax shall be made to the Officer on or before the last day of the month succeeding the month for which the tax was withheld.
3. 
On or before February 28 of the preceding year, every employer shall file with the Officer:
A. 
An annual return showing the total amount of earned income paid, the total amount of tax deducted, and the total amount of tax paid to the Officer for the period beginning July 1 of the current year and ending December 31 of the current and thereafter, for the period beginning January 1 of each succeeding year and ending December 31 of each succeeding year.
B. 
A return withholding statement for each employee employed during all or any part of the period beginning July 1 of the current year and ending December 31 of the current year, and for the period beginning January 1 of each succeeding year and ending December 31 of the succeeding year, and of each next succeeding year thereafter, setting forth the employee's name, address, and social security number, the amount of earned income paid to the employee during aid period, the amount of tax deducted, the fact that the Township is imposing the tax upon such employee, and the amount of tax paid to the Officer. Every employer shall furnish two copies of the individual return to the employee for whom it is filed.
4. 
Every employer who discontinues business prior to December 31 of the current year, and prior to the same date of each succeeding year, shall, within 30 days after the discontinuance of business, file the returns and withholding statements herein above required and pay the tax due.
5. 
Except as otherwise required in § 9 of the Act, every employer who willfully or negligently fails or omits to make the deductions required by this § 24-105, shall be liable for payment of the taxes which he was required to withhold to the extent that such taxes have not been recovered from the employee.
6. 
The failure or omission of any employer to make the deductions required by this § 24-105 shall not relieve any employee from the payment of the tax or from complying with the requirements of this Part 1 relating to the filing of declarations and returns.
[Ord. No. 1967-1, 5/1967]
1. 
It shall be the duty of the Officer to collect and receive the taxes, fines and penalties imposed by his office. It shall also be his duty to keep a record showing the amount received by him from each person or business paying the tax and the date of such receipt.
2. 
Each Officer, before entering upon his official duties, shall give and acknowledge a bond to the Township. If the Township shall by resolution designate any bond previously given by the Officer as adequate, such bond shall be sufficient to satisfy the requirements of this Subsection 2.
A. 
Each such bond shall be joint and several, with one or more corporate sureties authorized to do business in this commonwealth and duly licensed by the Insurance Commissioner of this commonwealth.
B. 
Each bond shall be conditioned upon the faithful discharge by the Officer, his clerks, assistants and appointees of all trusts confided in him by virtue of this office, upon the faithful execution of all duties required of him by virtue of his office, upon the just and faithful accounting or payment over, according to law, of all moneys and all balances thereof paid to, received or held by him by virtue of his office and upon the delivery to his successor or successors in office of all books, papers, documents or other official things held in right of his office.
C. 
Each such bond shall be taken in the name of inter alia the Township, and shall be for the use of inter alia the Township, and for the use of such other person, or persons for whom money shall be collected or received, or as his or her interest shall otherwise appear, in case of a breach of any of the conditions thereof by the acts or neglect of the principal on the bond.
D. 
The Township or any person may sue upon the said bond in its or his own name for its or his own use.
E. 
Each such bond shall contain the name or names of the surety company or companies bound thereon. The Township shall fix the amount of the bond at an amount equal to the maximum amount of taxes which may be in the possession of the Officer of any given time.
F. 
The Board of Supervisors may, at any time, upon cause shown and due notice to the Officer, and his surety or sureties, require or allow the substitution or the addition of a surety company acceptable to the Board of Supervisors, for the purpose of making the bond sufficient in amount, without releasing the surety or sureties first approved from any accrued liability or previous action on such bond.
G. 
The Board of Supervisors shall designate the custodian of the bond required to be given by the Officer.
3. 
The Officer is hereby empowered to prescribe, adopt, promulgate and enforce, rules and regulations relating to any matter pertaining to the administration and enforcement of this Part 1, including provisions for the re-examination and correction of declarations and returns, and of payments alleged or found to be incorrect, or as to which an overpayment is claimed or found to have occurred, and make refunds in cases of over-payment for any period of time not to exceed six years subsequent to the date of payment of the sum involved and to prescribe forms necessary for the administration of this Part 1. No rule or regulation of any kind shall be enforceable unless it has been approved by resolution of the Board of Supervisors. A copy of such rules and regulations currently in force shall be available for public inspection.
4. 
The Officer shall refund, on petition of, and proof by the taxpayer, earned income tax paid on the taxpayer's ordinary and necessary business expenses, to the extent that such expenses are not paid by the taxpayer's employer.
5. 
The Officer and agents designated by him are hereby authorized to examine the books, papers, and records of any employer or of any taxpayer or of any person whom the officer reasonably believes to be an employer or taxpayer in order to verify the accuracy of any declaration or return, or if no declaration or return was filed, to ascertain the tax due. Every employer and every taxpayer and every person whom the officer reasonably believes to be an employer or taxpayer, is hereby directed and required to give to the Officer, or to any agent designated by him, the means, facilities, and opportunity for such examination and investigations, as are hereby authorized.
6. 
Any information gained by the Officer, his agents, or by any other official or agent of the Township, as the result of any declarations, returns, investigations, hearings or verifications required or authorized by this Part 1, shall be confidential, except for official purposes and except in accordance with a proper judicial order, or as otherwise provided by law.
7. 
The Officer is authorized to establish different filing, reporting and payment dates for taxpayers whose fiscal years do not coincide with the calendar year.
[Ord. No. 1967-1, 5/1967]
1. 
The Officer may sue in the name of the Township for the recovery of taxes due and unpaid under this Part 1.
2. 
Any suit brought to recover the tax imposed by this Part 1 shall be begun within three years after such tax is due, or within three years after the declaration or return has been filed, whichever date is later; provided, however, that this limitation shall not prevent the institution of a suit for the collection of any tax due or determined to be due in the following cases:
A. 
Where no declaration or return was filed by any person although a declaration or return was required to be filed by him under provisions of this Part 1, there shall be no limitation.
B. 
Where an examination of the declaration or return filed by any person, or of other evidence relating to such declaration or return in the possession of the Officer reveals a fraudulent evasion of taxes there shall be no limitation.
C. 
In the case of substantial understatement of tax liability of 25% or move, and no fraud, suit shall be begun within six years.
D. 
Where any person has deducted taxes under the provisions of this Part 1, and has failed to pay the amounts so deducted to the Officer, or where any person has willfully failed or omitted to make the deductions required by this § 24-107, there shall be no limitation.
E. 
This § 24-107 shall not be construed to limit the Board of Supervisors or the Officer from recovering delinquent taxes by any other means provided by the Act. In order to recover such delinquent taxes, the Officer may have recourse to any other provisions contained in the Act relating to the collection of taxes.
3. 
The Officer may sue for recovery of an erroneous refund provided such suit is begun two years after making such refund, except that the suit may be brought within five years if it appears that any part of the refund was induced by fraud or misrepresentation of material fact.
[Ord. No. 1967-1, 5/1967]
1. 
If for any reason, the tax is not paid when due, interest at the rate of 6% per annum on the amount of said tax, and an additional penalty of 1/2 of 1% of the amount of the unpaid tax for each month or fraction thereof during which the tax remains unpaid, shall be added and collected. Where suit is brought for the recovery of any such tax, the person liable therefore shall, in addition, be liable for the costs of collection and the interest and penalties herein imposed.
[Ord. No. 1967-1, 5/1967]
1. 
Any person who fails, neglects, or refuses to make any declaration or return required by this Part 1 or any employer who fails, neglects, or refuses to register or to pay the tax deducted from his employee, or fails, neglects or refuses to deduct or withhold the tax from his employees, or any person who refuses to permit the Officer or any agent designated by him to examine his books, records, and papers, and any person who knowingly makes any incomplete, false or fraudulent return, or attempts to do anything whatsoever to avoid the full disclosure of the amount of his net profits or earned income in order to avoid the payment of the whole or any part of the tax imposed by this Part 1, shall, upon conviction thereof before any Magisterial District Judge or court of competent jurisdiction of Juniata County, be sentenced to pay a fine of not more than $500 for each offense, and costs, and, in default of payment of said fine and costs to be imprisoned for a period not exceeding 30 days.
2. 
Any person who divulges any information which is confidential under the provisions of this Part 1 shall, upon conviction thereof, before any Magisterial District Judge of Juniata County, be sentenced to pay a fine of not more than $500, for each offense, and costs, and, in default of payment of said fines and costs to be imprisoned for a period not to exceed 30 days.
3. 
The penalties imposed under this § 24-109 shall be in addition to any other penalty imposed by any other section of this Part 1.
4. 
The failure of any person to receive or procure forms required for making the declaration or returns required by this Part 1 shall not excuse him for making such declaration or return.