[Adopted 3-6-1968 by Ord. No. 263, effective 5-1-1968; amended in
its entirety 12-11-2007 by Ord. No. 2007-04,[1] approved 12-11-2007]
[1]
Editor's Note: This ordinance also stated that it shall
be effective 1-1-2008.
This article is enacted under the authority of the Act of General
Assembly of the Commonwealth of Pennsylvania of June 21, 2007, No.
7, which further amended the Act of General Assembly of the Commonwealth
of Pennsylvania of December 31, 1965, No. 511, known as the "Local
Tax Enabling Act."[1]
[1]
Editor's Note: Pursuant to P.L. 197, No. 32, enacted
7-2-2008, sections of the Local Tax Enabling Act formerly codified
in 53 P.S. § 6901 et seq. have been revised and renumbered. See
now 53 P.S. § 6924.101 et seq.
The following words and phrases, when used in this article,
shall have the meanings ascribed to them in this section, except where
the context or language clearly indicates or requires a different
meaning:
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.
Includes the singular and plural number as well as male,
female and neuter gender.
Any person, male or female, who, after the first day of May
1968, engages in any occupation, trade or profession of any nature,
type or kind whatsoever within the corporate limits of the Borough
of West Conshohocken, whether in the employ of another or self-employed.
The person or entity designated by the Borough Council for
the collection of the tax levied by this article.
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 Borough of West
Conshohocken for which compensation is charged or received, whether
by means of salary, wages, commissions or fees for services rendered.
The local services tax in the amount of $52 levied by this
article on each individual engaged in any occupation, as hereinbefore
defined, within the corporate limits of the Borough of West Conshohocken.
From the effective date of this article and annually thereafter,
the Borough of West Conshohocken hereby levies and imposes a local
services tax on each person engaged in an occupation, as herein defined,
within its corporate limits. This tax is in addition to all other
taxes of any kind or nature heretofore levied by the Borough of West
Conshohocken. 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.
The adoption of this article shall constitute notice and demand for
payment of the tax.
The amount of the local services tax shall be $52, to be paid
by each individual so engaged in an occupation as herein defined.
At least 25% of the funds collected from the tax shall be used
to fund emergency services within the Borough.
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 the Borough and with his or her employer.
If a person who claimed a 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.
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.
Each employer within the Borough, as well as those employers
situated outside the Borough but who engage in business within the
Borough, is hereby charged with the duty of collecting from each of
his employees engaged by him and performing for him within the Borough
said tax of $52 per year and making a return and payment thereof to
the Local Services 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 the Borough. The pro rata share
of the tax assessed on an employee for a payroll period shall be determined
by dividing the rate of the tax of $52 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 in his employ
after the employee has earned the required minimum of $12,000, 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 form to be furnished to the employer
by the administrator.
[Amended 2-12-2008 by Ord. No. 2008-01, approved 2-12-2008]
Each employer shall prepare and file a return showing a computation
of the tax on forms to be supplied to him by the Local Services Tax
Receiver. 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,
in accordance with the terms of the Local Tax Enabling Act, the employer
shall be responsible for the payment of the tax in full as though
the tax had originally been levied against the employer.
Each employer shall use his employment records as of January
1 through March 31 of each year in determining the number of employees
from whom said local services tax shall be deducted. The deduction
shall be made on or before March 31 of each year and the forms filed
and payment made to the Local Services Tax Receiver on or before April
30 of each year. Each employer who engages the services of any individual
in an occupation to be performed in the Borough of West Conshohocken
on or after January 1 of each year shall require said employee to
furnish to him proof of payment of the tax showing that the local
services tax has therefor been paid. In the event that such employee
has not previously paid his local services tax, the employer shall
deduct same within 30 days after the employee is hired and make supplemental
reports and payments of such deduction for each quarter of the year
on or before July 31, October 31 and January 31 of each year. If the
employer does not engage any new employees during any quarter of the
year, he shall file the required report so stating.
Each individual who shall have more than one occupation within
the Borough of West Conshohocken 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 Local Services Tax Receiver,
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 Borough
shall be required to comply with this article and pay the tax to the
Tax Receiver by April 30 of each year, unless he or she has otherwise
claimed an exemption from the tax.
All employers and self-employed individuals residing or having
their places of business outside of the Borough but who perform services
of any type or kind or engage in any occupation or profession within
the Borough 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 Borough. Further, any individual engaged in an occupation
within the Borough 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.
A.
It shall be the duty of the Local Services 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 Local Services Tax Receiver 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 and 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 Local Services Tax Receiver shall have the right to
appeal to the Court of Common Pleas of Montgomery County as in other
cases provided.
C.
The Local Services Tax Receiver 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 Local Services Tax Receiver 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 Local Services Tax
Receiver 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 5%, 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.
A.
No person shall make any false or untrue statement on any return
required by this article, nor refuse 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, nor fail
or refuse to file any return required by this article, nor fail to
pay the tax due.
B.
Any person violating the provisions of this article shall, upon conviction
thereof before a District Justice having jurisdiction, be guilty of
a summary offense and shall be punishable for each offense by a fine
of not more than $300 or by imprisonment for not more than 90 days,
or both; provided further that each day's continuance of the
violation shall constitute a separate prosecutable offense.
C.
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.
A.
Nothing contained in this article shall be construed to empower the
Borough of West Conshohocken to levy and collect the tax hereby imposed
on any occupation not within the taxing power of the said Borough
under the Constitution of the United States and the Constitution and
laws of the Commonwealth of Pennsylvania.
B.
If the tax hereby 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 Constitution or
laws of the Commonwealth of Pennsylvania as to any individual, 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, on other
persons or individuals as herein provided.
