[Adopted 12-30-1975 by Ord. No. 121; amended
in its entirety 10-23-2007 by Ord. No. 499]
A. As used in this article, the following terms shall
have the meanings indicated, except where the context or language
clearly indicates or requires a different meaning:
ADMINISTRATOR
The Manager of the Township of East Norriton under whose
direction this tax shall be enforced.
EMPLOYER
An individual, partnership, association, corporation, governmental
body, agency or other entity employing one or more persons on a salary,
commission or other compensation basis, including a self-employed
person.
INDIVIDUAL
Any person, male or female, who attains or is over the age
of 18 years after the effective date of this article, engaged in any
occupation, trade or profession of any nature, type or kind whatsoever
within the corporate limits of the Township of East Norriton, whether
in the employ of another or self-employed during any Township year.
OCCUPATION
Any trade, profession, business or undertaking of any type,
kind or character, including services, domestic or other, carried
on or performed within the corporate limits of the Township of East
Norriton for which compensation is charged or received, whether by
means of salary, wages, commissions or fees for services rendered.
TAX
The local services tax levied by this article.
TAX RECEIVER
The Director of the Department of Finance of the Township
of East Norriton and/or any Township-designated tax collector.
TOWNSHIP
The Township of East Norriton, Montgomery County, Pennsylvania.
YEAR
The fiscal year beginning January 1 and ending December 31
of each calendar year.
B. Word usage. The words "he," "his" or "him" shall mean
and indicate the singular and plural number as well as male, female
and neuter gender.
For police, fire or emergency services, road
maintenance or real estate tax reduction purposes, a tax is hereby
levied upon the privilege of engaging in an occupation within the
corporate limits of the Township. Each individual who exercises such
privileges for any length of time during any year wherein he has earned
income and/or net profits of $12,000 or more shall pay a tax in the
amount of $52 in accordance with the provisions of this article. This
tax is in addition to all other taxes of any kind or nature levied
by the Township. It shall be the obligation of each such person so
engaged in an occupation to pay or cause to be paid the tax herein
imposed by the due date for the quarter in which he earns the annual
required minimum of $12,000. The adoption of this article shall constitute
notice and demand for payment of this tax.
At least 25% of the funds collected from the
tax shall be used to fund emergency services within East Norriton
Township.
The following persons shall be exempt from the
tax:
A. Any person who 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, 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, one-hundred-percent permanent disability.
B. Any person who serves as a member of a reserve component
of the armed forces and is called to active duty at any time during
the taxable year.
C. Any person with earned income and/or net profits of
less than $12,000. Any person claiming an exemption on this ground
must annually file an exemption certificate with East Norriton Township
and with his employer. If a person who claimed an exemption for a
given calendar year becomes subject to the tax, his employer shall
withhold the tax for the remainder of the calendar year, including
a lump sum payment equal to the amount of tax that was not collected.
The exemption certificate shall be prescribed by the Pennsylvania
Department of Community and Economic Development and will be made
available to all taxpayers and employers. Employers shall ensure that
the exemption certificates are readily available to employees at all
times and shall furnish each new employee with a form certificate
at the time of hire.
Said tax shall be paid to the tax receiver of
the Township.
Hereinafter a penalty of 1/2% per month or fraction
thereof of the amount of the tax, together with interest computed
at 6% per annum until paid, shall be added to the tax and collected.
Each employer within the Township, as well as
those employers situated outside the Township but who engage in business
within the Township, is hereby charged with the duty of collecting
from each of his employees engaged by him and performing for him within
East Norriton Township said tax of $52 per year and making a return
and payment thereof to the tax receiver. Each employee subject to
the tax shall be assessed a pro rata share of the tax for each payroll
period in which the employee is engaged in East Norriton Township.
The pro rata share of the tax assessed on an employee for a payroll
period shall be determined by dividing the $52 rate of the tax by
the number of payroll periods established by the employer for a calendar
year. Each employer is hereby authorized to deduct this tax from each
employee who has not otherwise claimed an exemption from paying the
tax, whether said employee is paid by salary, wages or commission.
Each employer shall be required to remit the tax within 30 days after
the end of each quarter of a calendar year. The employer will provide
the employee with evidence of deduction on a from to be furnished
to the employer by the administrator.
Each employer shall prepare and file a quarterly
return showing the employee payer and a computation of the tax on
forms to be supplied to him by the administrator. It is further provided
that if the employer fails to file said return and pay said tax, whether
or not he makes collection thereof from the salary, wages or commissions
paid by him to said employee, the employer shall be responsible for
the payment of the tax in full without deducting a commission and
as though the tax had originally been levied against him.
Each employer shall use his employment records
as of the first day of February 1976 and January 1 of each succeeding
year through March 31 of each year for determining the number of employees
from whom said tax shall be deducted and paid over to the tax receiver
by April 30 of each year. Supplemental reports and the tax due thereon
shall be made by each employer as follows: by July 31 of each year
covering all employee payments for the period April 1 through June
30, by October 31 of each year covering all employee payments for
the period July 1 through September 30 by January 31 of each year
covering all employee payments for the period of October 1 through
December 31.
Each individual who shall have more than one
occupation within the Township shall be subject to the payment of
this tax on his principal occupation, and his principal employer shall
deduct this tax and deliver to him evidence of deduction on a form
to be furnished to the employer by the administrator, which form shall
be evidence of deduction having been made and, when presented to any
other employer shall be authority for such employer to not deduct
this tax from the employee's wages but to include such employee on
his return by setting forth his name, address and the name and account
number of the employer who deducted this tax.
All self-employed individuals who perform services
of any type or kind or engage in any occupation or profession within
the Township shall be required to comply with this article and pay
the tax to the tax receiver by April 30 of each year, unless he has
otherwise claimed an exemption from the tax.
If a person who claimed an exemption for a given
calendar year from the tax becomes subject to the tax for that calendar
year, the employer shall withhold the tax for the remainder of the
calendar year. The employer shall withhold from the employee, for
the first payroll period after receipt of notification that the employee
is subject to the tax, a lump sum equal to the amount of tax that
was not withheld from the employee due to the exemption claimed, plus
the per-payroll amount due for that first payroll period. The amount
of tax withheld per payroll period for the remaining payroll periods
in that calendar year shall be the same amount withheld from other
employees. In the event employment of the employee is terminated during
that calendar year, the former employee shall be liable for any outstanding
balance due on the tax.
All employers and self-employed individuals
residing or having their places of business outside of the Township
but who perform services of any type or kind or engage in any occupation
or profession within the Township do, by virtue thereof, agree to
be bound by and subject themselves to the provisions, penalties and
regulations promulgated under this article with the same force and
effect as though they were residents of the Township. Further, any
individual engaged in an occupation within the Township and an employee
of a nonresident employer may, for the purpose of this article, be
considered a self-employed person, and in the event that this tax
is not paid, the administrator shall have the option of proceeding
against either the employer or employee for the collection of this
tax as hereinafter provided. Provided, however, no person shall be
subject to the payment of the local services tax to more than one
political subdivision during each payroll period.
The tax receiver shall provide a receipt of
payment of the tax upon request by a taxpayer.
A. It shall be the duty of the tax receiver to accept
and receive payments of this tax and to keep a record thereof, showing
the amount received by him from each employer or self-employed person,
together with the date the tax was received.
B. The administrator is hereby charged with the administration
and enforcement of this article and is hereby charged and empowered
to prescribe, adopt and promulgate rules and regulations relating
to any matter pertaining to the administration and enforcement of
this article, including provisions for the examination of the payroll
records of any employer subject to this article, the examination and
correction of any return made in compliance with this article and
any payment alleged or found to be incorrect or as to which overpayment
is claimed or found to have occurred. Any person aggrieved by any
decision of the administrator shall have the right to appeal to the
Court of Common Pleas of Montgomery County as in other cases provided.
C. The administrator is hereby authorized to examine
the books and payroll records of any employer in order to verify the
accuracy of any return made by an employer or, if no return was made,
to ascertain the tax due. Each employer is hereby directed and required
to give the administrator the means, facilities and opportunity for
such examination.
A. In the event that any tax under this article remains
due or unpaid 30 days after the due date above set forth, the administrator
may sue for the recovery of any such tax due or unpaid under this
article, together with interest and penalty.
B. If for any reason the tax is not paid when due, interest
at the rate of 6% on the amount of said tax, calculated beginning
with the due date of said tax, and a penalty of 1/2% per month or
fraction thereof shall be added to the flat rate of said tax for nonpayment
thereof. Where suit is brought for the recovery of this tax, the individual
liable therefor shall, in addition, be responsible and liable for
the costs of collection.
Whoever makes any false or untrue statement
on any return required by this article or who refuses inspection of
his books, records or accounts in his custody and control setting
forth the number of employees subject to this tax who are in his employment
or whoever fails or refuses to file any return required by this article
or who shall fail to pay the tax due shall, upon conviction before
any District Justice, be sentenced to pay a fine of not more than
$600 for each offense and, in default of payment of said fine and
costs, be imprisoned in Montgomery County Prison for a period not
exceeding 90 days for each offense. It is further provided that the
action to enforce the fine and penalty herein provided may be instituted
against any person in charge of the business of any employer who has
failed or refuses to file a return required by this article.