[Adopted 12-19-1985 by Ord. No. 778]
This article shall be known as the "Media Business
Privilege Tax Ordinance."
The following words and phrases, when used in
this article, shall have the meanings ascribed to them in this section,
except where the context clearly indicates a different meaning.
The Borough of Media.
All businesses, trades, occupations and professions in which
there is offered any service or services to the general public or
a limited number thereof, including but not limited to financial business
and those enterprises engaged in by hotel operators, motel operators,
office and/or residential apartment building operators; parking lot
and garage operators; warehouse operators; lessors of tangible personal
property; physicians and surgeons; osteopaths; podiatrists; chiropractors;
veterinarians; optometrists; pharmacists; lawyers; dentists; engineers;
architects; chemists; certified public accountants; public accountants;
funeral directors; promoters; agents; brokers; manufacturers' representatives;
advertising and public relations agencies; real estate brokers; insurance
brokers and agents; stockbrokers; cable television operators; operators
of places of amusement providing either passive or active recreation;
vending machine operators; barbershop operators and beauty shop operators;
cleaning, pressing and dyeing establishment operators; laundry operators;
shoe repair shop operators; tailors; upholsterers; electrical, plastering,
bricklaying, carpentry, heat, ventilating, plumbing and painting contractors
engaged in the class of heavy building or other construction of any
kind or in the alteration, maintenance or repair thereof; and repairers
of electrical, electronic and automotive machinery and equipment or
other machinery and equipment and other wares and merchandise.
The services and transactions of trust, credit and investment
companies, holding companies, dealers and brokers in money, credits,
commercial paper, bonds, notes, securities and stocks and monetary
metals, factors and commission merchants.
[Amended 12-16-1999 by Ord. No. 939]
Includes the gross amount of cash, credits or property of
any kind or nature received in both cash and credit transactions allocable
or attributable to the borough on the privilege of doing business
and by reason of any sale made (including resales of goods, wares
or merchandise taken by a dealer as a trade-in or as part payment
for other goods, wares and merchandise), service rendered (including
labor and any materials employed in or becoming part of the service)
or commercial or business transactions in connection with any business,
trade, occupation or profession. "Gross receipts" shall not include:
In the case of any service, the receipts from
the performance or rendering of any service, no part of which was
performed or rendered within the borough.
[Added 12-21-2000 by Ord. No. 949[1]]
In the case of a financial business, the cost
of securities and other property sold, exchanged, paid at maturity
or redeemed and moneys or credits received in repayment of advances,
credits and loans (not to exceed the principal amount of such advances,
credits and loans) and deposits.
In the case of a broker, any portion of the
fees or commissions with respect to any transaction paid by him to
another broker on account of a purchase or sales contract initiated
by or exercised or cleared in conjunction with such other broker.
Includes both the owner of a hotel, motel, office and/or
residential apartment building, parking lot, garage or warehouse and
any person the owner may engage for hire to supervise the operation
of such hotel, motel, apartment building, parking lot, garage or warehouse.
Any individual, partnership, limited partnership, association,
corporation, trust or other legally recognizable entity, except such
as are wholly exempt from taxation under the Act of December 31, 1965,
P.L. 1257, as amended.[2] Persons exempted from taxation under this article shall
include agencies of the government of the United States or of the
Commonwealth of Pennsylvania or political subdivisions thereof and
nonprofit corporations or associations organized solely and exclusively
for religious, educational or charitable purposes and not conducting
any regular or established business competing commercially with any
person subject to the tax imposed by this article.
Any act or instance of helping or benefiting another for
a consideration.
The Tax Administrator shall be the person or firm contracted
with to collect said tax.
The twelve-month period beginning the 31st day of January
1986 and annually thereafter commencing January 1.
Any business, trade, occupation or profession that is conducted
at one location for less than 60 consecutive calendar days.
[Amended 1-21-1993 by Ord. No. 852]
For the tax year beginning February 28, 1993,
and for each tax year thereafter, every person desiring to continue
to engage in or hereafter to begin to engage in a business, trade,
occupation or profession at an actual place of business in the borough
shall, on or before the 28th day of February of 1993 and by January
15 of each succeeding year, prior to commencing business in such tax
year, make application for registration in each place of business
in the borough, and if such person has no actual place of business
within the borough, then by registration with the Tax Administrator.
Such registration shall be made by the completion of an application
furnished by the Tax Administrator and the payment of a fee of $50
for each person conducting a service. Each application for registration
shall be signed by the applicant, if a natural person, and, in the
case of an association or partnership, by a member or partner thereof
and, in the case of a corporation, by an officer thereof or by the
authorized person of any other legal entity. Each applicant shall
receive a certificate of registration from the Tax Administrator which
shall not be assignable. In the case of loss, defacement or destruction
of any certificate, the person to whom the certificate was issued
shall apply to the Tax Administrator for a new certificate, for which
a fee of $10 shall be charged. Such certificate shall be conspicuously
posted at each place of business within the borough at all times.
Every person engaging in a business, trade, occupation or profession in the borough in which there is offered any service or services to the general public or a limited number thereof shall pay an annual business privilege tax for general borough purposes for the year beginning January 31, 1986, and for each tax year thereafter at the rate of 1 1/2 mills on each person's gross receipts. The registration fee of § 267-21 shall be credited against the tax due.
A.
Computation of volume.
(1)
Every person subject to the payment of the tax hereby
imposed who has commenced his business prior to the full calendar
year prior to the tax year shall compute his annual estimated gross
volume of business upon the actual gross amount of business transacted
by him during said immediately preceding calendar year.
(2)
Every person subject to the payment of the tax hereby
imposed who has commenced or who commences his business less than
one full year prior to the beginning of the license year shall compute
his annual gross volume of business for such license year upon the
gross volume of business transacted by him during the first month
in business multiplied by 12.
(3)
Every person subject to the payment of the tax hereby
imposed who commences his business subsequent to the beginning of
the license year shall compute his annual gross volume of business
for such license year upon the gross volume of business transacted
by him during the first month of his engaging in business multiplied
by the number of months he engages in business in such license year.
(4)
Every person subject to the payment of the tax hereby
imposed who engages in a business temporary, seasonal or itinerant
by its nature shall compute his annual gross volume of business upon
the actual gross amount of business transacted by him during the license
year. The aforementioned shall be required to make a deposit in an
amount determined by the Tax Administrator prior to their engaging
in business.
B.
The Tax Administrator is hereby authorized to accept
payment under protest of the amount of business privilege tax claimed
by the borough in any case where the taxpayer disputes the validity
or amount of the borough's claim for tax. If it is thereafter judicially
determined by a court of competent jurisdiction that the borough has
been overpaid, the amount of the overpayment shall be refunded to
the taxpayer. The provisions of this section shall be applicable to
cases in which the facts are similar to those in a case litigated
in a court of competent jurisdiction.
A.
Persons and businesses.
(1)
Persons employed for a wage or salary, nonprofit corporations
or associations organized for religious, charitable or educational
purposes, agencies of the government of the United States or of the
Commonwealth of Pennsylvania and the business of any political subdivision
or of any authority created or organized under and pursuant to any
act of assembly are exempt from the provisions of this article.
(2)
No such tax shall be assessed and collected on a privilege,
transaction, subject or occupation which is subject to a state tax
or license fee and which tax or license fee has been held by the Courts
of Pennsylvania to be the basis for exemption from the imposition
of a business privilege tax by a municipality.
B.
Utilities. No such tax shall be assessed and collected
on the gross receipts from utility service of any person or company
whose rates of service are fixed and regulated by the Pennsylvania
Public Utility Commission or on any public utility service rendered
by any such person or company or on any privilege or transaction involving
the rendering of any such public utility service.
C.
State tax on tangible property. No such tax shall
be assessed and collected on the privilege of employing such tangible
property as is subject to a state tax, except on sales of admission
to places of amusement or on sales or other transfers of title or
possession of property.
D.
No such tax shall be assessed or collected from any
other person exempt by law from the imposition of this tax.
Gross or whole volume of business upon which
the tax hereunder is computed shall include the gross consideration
credited or received for or on account of sales made, rentals and/or
services rendered, subject only to the following allowable deductions
and exemptions:
A.
Any commissions paid by a broker to another broker
on account of a purchase or sales contract initiated, executed or
cleared with such other broker.
B.
Bad debts, where the deduction is also taken in the
same year for federal income taxation purposes.
C.
Taxes collected as agent for the United States of
America, Commonwealth of Pennsylvania or Borough of Media.
Where gross or whole volume of business in its
entirety cannot be subjected to the tax imposed by this article by
reason of the provisions of the Constitution of the United States
or any other provision of law, the Tax Administrator, with the approval
of the borough, shall establish rules and regulations and methods
of allocation and evaluation so that only that part of the gross or
whole volume of business which is properly attributable and allowable
to doing business in the borough shall be taxed hereunder.
If any person is liable for the same tax on
the same subject imposed under the Local Tax Enabling Act, 1965, December
31, 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 political subdivisions, but in no event shall the combined
taxes of both subdivisions exceed a maximum rate of tax as fixed by
said Enabling Act permitting the imposition of such taxes.
[1]
Editor's Note: See 53 P.S. § 6901
et seq.
The taxpayer, to obtain the foregoing enumerated
exclusions and deductions, shall keep books and records of his business
so as to show clearly, accurately and separately the amounts of such
sales and services as are excluded from the tax and the amounts of
such sales and services which he is entitled to deduct from the gross
volume of business as hereinbefore provided.
A.
Every return shall be made upon a form furnished by
the Tax Administrator. Every person making a return shall certify
the correctness thereof by affidavit. Each return shall be documented
by an appropriate schedule to verify its accuracy.
B.
Every person subject to the tax imposed by this article
who commenced his business at least one full year prior to the beginning
of any license year shall, on or before the 15th day of April of each
year, file with the Tax Administrator a return setting forth his name,
his business and business address and such other information as may
be necessary in arriving at the actual gross amount of business transacted
by him during the preceding calendar year and the amount of the tax
due.
C.
Every person subject to the tax imposed by this article
who has commenced his business less than one full year prior to the
beginning of any license year shall, on or before the 15th day of
April of each year, file with the Tax Administrator a return setting
forth his name, his business, business address and such information
as may be necessary in arriving at the actual gross amount of business
transacted by him during the first month of business and the amount
of the tax due.
D.
Every person subject to the tax imposed by this article
who commences business subsequent to the beginning of any license
year shall, within 60 days from date of commencing such business,
file a return with the Tax Administrator setting forth his name, his
business and business address and such information as may be necessary
in arriving at the actual gross amount of business transacted by him
during his first month of business and the amount of the tax due.
E.
Every person subject to the payment of the tax imposed
by this article who engages in a business temporary, seasonal or itinerant
by its nature shall, within seven days from the day he completes such
business, file a return with the Tax Administrator setting forth his
name, his business address and such information as may be necessary
in arriving at the actual gross amount of business transacted by him
during such period and the amount of tax due.
F.
Any person going out of or ceasing to do business
shall, within 14 days from the date of ceasing to do business, file
a return showing the actual gross volume of business conducted and
done by such person during that tax year in which said person ceased
doing business and pay the tax due as computed thereon at the rate
herein provided for at the time of filing said return. If such tax
has been previously paid based upon estimated gross receipts, the
taxpayer shall be entitled to a refund, without interest, of any excess
tax paid for the tax year in which business was terminated.
The Tax Administrator shall, upon payment to
him of the business privilege tax, give the person paying the same
a receipt therefor, or the Tax Administrator, as the case may be.
The business privilege tax levied pursuant to
this article shall be computed on the date on which the taxpayer is
required to file a return as set forth above. The tax so computed
shall be paid in quarterly installments on or before April 30, July
31, October 31 and January 31. If the tax is not paid by the dates
set forth, a penalty of 10% of the tax due shall be added thereto,
plus interest of 1 1/4% of tax due for each month or fractional
part thereof from the day they are due and payable until paid.
[Amended 2-16-1995 by Ord. No. 885]
A.
On or before April 15 of each year, beginning in 1987, every person subject to the tax hereby imposed shall make a final return to the Collector showing the actual volume of business transacted by the taxpayer during the preceding license year. Such final return shall state the amount of gross volume of business as set forth in § 267-29, Returns, the amount of tax paid since filing the first tax return and the amount of tax due upon the final computation. Each final return shall be documented by an appropriate schedule to verify the accuracy thereof. Where suit is brought for the recovery of tax, penalty or interest, the taxpayer shall be liable for an additional amount equal to the costs of collection.
B.
The Tax Administrator, or his authorized agent, shall
be authorized to waive interest, or penalty, or both, in whole or
in part, under the following circumstances only:
(1)
Where litigation of the amount of taxes due is pending
or threatened and waiver of interest, or penalty, or both, on past
amounts owed is proposed as part of an overall settlement of the litigation.
(2)
Where the waiver of interest, or penalty, or both,
is part of an agreement under which the entire principal amount of
the taxes due shall be paid to the borough whether litigation is pending
or threatened or not.
[Amended 11-19-1992 by Ord. No. 846; 8-15-1996 by Ord. No. 907]
A.
Any person who shall conduct, transact or engage in
any of the businesses subject to the tax imposed by this article without
having first secured a business privilege license for the year or
any person who shall fail to file a tax return as required by the
provisions of this article or any person who shall willfully file
a false return shall pay a civil penalty of not more than $600 for
each offense plus costs of collection, including attorney's fees.
B.
Each day on which such person violated the article
will be considered as a separate offense and subject to penalty as
aforeprovided.
A.
The Tax Administrator is charged with the duties of
receiving the taxes, fines and penalties imposed by this article.
It shall 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 Tax Administrator and his duly appointed Deputies
shall recommend to the Councilmen of the Borough of Media rules and
regulations relating to any matter pertaining to the collection, administration
and enforcement of this article, including provisions for the examination
and correction of returns and payments alleged or found to be incorrect
or as to which an overpayment is claimed or found to have occurred,
and be charged with enforcing the provisions of this article and any
rules and/or regulations promulgated pursuant hereto.
C.
In the event that the person to be assessed neglects
or refuses to make a return, then in such case the Tax Administrator
or his duly appointed Deputies shall assess said person or persons
on such an amount of whole or gross volume of business as said Tax
Administrator or his Deputies deem reasonable and appropriate. In
all cases of assessment the Tax Administrator or his duly appointed
Deputies shall give the parties assessed a notice in which shall be
stated the trade, business, occupation or class and the amount of
the business privilege tax imposed or levied.
D.
The taxpayer shall maintain such records and books
or accounts as will enable him to make a true and accurate return
in accordance with the provisions of this article. Such accounts and
records must disclose in detail the gross receipts and other data
pertaining to the taxpayer's gross volume of business and must be
sufficiently complete to enable the Tax Administrator or his Deputies
to verify all transactions. The Tax Administrator or his Deputies
are hereby authorized to examine the books, papers and records of
any person or persons subject to or supposed to the tax imposed by
this article in order to verify the accuracy of the return made or,
if no return was made, ascertain the tax due.
E.
Any person aggrieved by any decision of the Tax Administrator
shall have the right to appeal to the Court of Common Pleas, as in
other cases.
Any information gained by the Tax Administrator
or any other official, agent or employee of the borough as a result
of any returns, investigations, hearings or verifications required
or authorized by this article shall be confidential, except in accordance
with proper judicial order or as otherwise provided by law and not
for any other purpose.
A.
The Tax Administrator or his duly appointed Deputies
shall have the power, in the name of the borough, to institute proceedings
against any and all persons who violate the provisions of this article.
B.
If for any reason the tax is not paid when due and
suit is brought for the recovery of any such tax, the person liable
therefor shall, in addition, be liable for the costs of collection
and the interest and penalties herein imposed.
A.
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 not within
the taxing power of the borough under the Constitution of the Commonwealth
of Pennsylvania.
B.
If the tax or any portion thereof imposed upon any
person under the provisions of this article shall be held by any court
of competent power or jurisdiction to be in violation of the Constitution
of the United States or of the Commonwealth of Pennsylvania or any
other provision of law, the decisions of the court shall not affect
or impair the right to impose the taxes or the validity of the taxes
or the validity of the taxes so imposed upon other persons as herein
provided.
[Amended 1-21-1993 by Ord. No. 852]
This article is enacted pursuant to the authority
of the Local Tax Enabling Act, 1965, December 31, P.L. 1257, as amended,
and as provided by the Local Tax Reform Act, 1988, December 13, P.L.
1121, No. 145. It shall become effective on the earliest date permitted
by the Acts and shall continue thereafter unless amended or repealed.
In the alternative, Ordinance No. 779 is reenacted pursuant to the
authority of the Local Tax Enabling Act, 1965, December 31, P.L. 1257,
as amended and as provided by the Local Tax Reform Act, 1988, December
13, P.L. 1121, No. 145, effective on the earliest date permitted by
the Acts, and shall continue thereafter unless amended or repealed.
In the event that for any reason the amendments as contained herein
shall be found to be or declared invalid or illegal, then the provisions
of Ordinance No. 778 shall remain in effect as if this amendment had
never occurred.
