[Adopted 9-12-2011 by Ord. No. 819]
Editor's Note: This ordinance provided an effective date of 1-1-2012. This ordinance also provided: "The primary purpose of this ordinance is to conform the earned income and net profits tax currently imposed to the Local Tax Enabling Act, as amended and restated by Act 32 of 2008, and to do so within the time frame required by Act 32. Any prior enactment imposing a tax on earned income or net profits of individuals is amended and restated in its entirety to read as stated in this ordinance. Any other prior enactment or part of any prior enactment conflicting with the provisions of this ordinance is rescinded insofar as the conflict exists. To the extent the same as any enactment in force immediately prior to adoption of this ordinance, the provisions of this ordinance are intended as a continuation of such prior enactment and not as a new enactment. If this ordinance is declared invalid, any prior enactment levying a similar tax shall remain in full force and effect and shall not be affected by adoption of this ordinance. If any part of this ordinance is declared invalid, the similar part of any prior enactment levying a similar tax shall remain in effect and shall not be affected by adoption of this ordinance. The provisions of this ordinance shall not affect any act done or liability incurred, nor shall such provisions affect any suit or prosecution pending or to be initiated to enforce any right or penalty or to punish offense under the authority of any enactment in force prior to adoption of this ordinance. Subject to the foregoing provisions if this section, this ordinance shall amend and restate on the effective date any enactment levying a tax on earned income or net profits in force immediately prior to the effective date."
Editor's Note: This ordinance repealed former Art. III, Earned Income Tax, adopted 12-27-1973 by Ord. No. 506 (Ch. 76, Art. III, of the 1971 Code), as amended 12-13-1999 by Ord. No. 686 and 12-16-2003 by Ord. No. 726.
This article shall be known and may be cited as the "Borough of Columbia Earned Income Tax Ordinance."
All terms defined in the Local Tax Enabling Act shall have the meanings set forth therein. The following terms shall have the meanings set forth herein:
- The person or entity appointed as tax officer pursuant to the Local Tax Enabling Act to collect the tax.
- EFFECTIVE DATE
- January 1, 2012.
- This article.
- GOVERNING BODY
- The Council of the Borough of Columbia.
- LOCAL TAX ENABLING ACT
- The Local Tax Enabling Act, as set forth in 53 P.S. § 6901 et seq. while such numbering and provisions remain in effect under Act 32 of 2008, and as set forth in 53 P.S. § 6924,101 et seq. when such numbering and provisions become effective under Act 32, and as amended in the future.
- The tax imposed by this article.
- TAX RETURN
- A form prescribed by the Collector for reporting the amount of tax or other amount owed or required to be withheld, remitted, or reported under this article or the Local Tax Enabling Act.
- TAX YEAR
- The period from January 1 to December 31.
- TAXING AUTHORITY
- The Borough of Columbia.
- The Tax Collection Committee established to govern and oversee the collection of earned income tax within the TCD under the Local Tax Enabling Act.
- Any Tax Collection District to which the Taxing Authority or any part of the Taxing Authority is assigned under the Local Tax Enabling Act.
General purpose resident tax. The Taxing Authority hereby imposes a tax for general revenue purposes at the rate of 0.5% on earned income and net profits of individual residents of the Taxing Authority.
Ongoing tax. The tax shall continue at the above rates during the current tax year and each tax year thereafter, without annual reenactment, until this article is repealed or the rate is changed.
Local Tax Enabling Act applicable. The tax is imposed under authority of the Local Tax Enabling Act, and all provisions thereof that relate to a tax on earned income or net profits are incorporated into this article. Any future amendments to the Local Tax Enabling Act that are required to be applied to a tax on earned income or net profits will automatically become part of this article upon the effective date of such amendment, without the need for formal amendment of this article, to the maximum extent allowed by 1 Pa.C.S.A. § 1937.
Applicable laws, regulations, policies, and procedures. The tax shall be collected and administered in accordance with: (1) all applicable laws and regulations; and (2) regulations, policies and procedures adopted by the TCC or by the Collector. This includes any regulations, policies, and procedures adopted in the future to the maximum extent allowed by 1 Pa.C.S.A. § 1937.
This governing body finds that:
Minors of various age groups have traditionally, and with judicial sanction, been considered as comprising separate classes for many legislative purposes; and
Minors under the age of 16 are generally unemancipated and subject to compulsory school attendance and child labor laws, and therefore have limited earned income and net profits and control of money such that enforcement of reporting and collection of tax hereunder against them would yield inconsequential amounts and be unduly difficult, expensive, and not in the public interest.
For these reasons, individuals under the age of 16 years are exempt from liability for the tax.
Every individual receiving earned income or earning net profits in any tax year shall file tax returns and pay tax in accordance with the Local Tax Enabling Act.
Every employer shall register, withhold, and remit tax, and file tax returns in accordance with the Local Tax Enabling Act.
The tax will be collected from individuals and employers by the Collector.
Individuals and employers are subject to interest, penalties, costs, and fines in accordance with the Local Tax Enabling Act, including costs imposed by the Collector in accordance with the Local Tax Enabling Act.