[Adopted 12-28-1972 by Ord. No. 1496]
This Article shall be known and may be cited as the "Mercantile Tax Ordinance."
A. 
The following words and phrases, when used in this article, shall have the meanings ascribed to them unless the context clearly indicates a different meaning:
COLLECTOR
The Township Secretary of the Township of Haverford or his designated representative or a person or corporation engaged for this purpose by contract with the Board of Commissioners.
[Amended 1-14-1991 by Ord. No. 2104]
GROSS VOLUME OF BUSINESS
Includes both cash and credit transactions and trade-in transactions as provided by law.
LICENSE YEAR
The twelve-month period beginning the first day of January and each calendar year thereafter.
[Amended 6-30-1986 by Ord. No. 1960]
PERSON
Any individual, partnership, limited partnership, association or corporation, except such as are wholly exempt from taxation under the Act of Assembly No. 511, as amended.[1]
RETAIL DEALER or RETAIL VENDOR
Any person who is a dealer in or vendor of goods, wares and merchandise who is not a wholesale dealer or vendor or a wholesale and retail dealer or vendor as hereinafter defined.
TEMPORARY, SEASONAL OR ITINERANT BUSINESS
Any business that is conducted at one location for less than 60 consecutive calendar days.
TOWNSHIP
The Township of Haverford.
WHOLESALE AND RETAIL DEALER or WHOLESALE AND RETAIL VENDOR
Any person who sells to dealers in or vendors of goods, wares and merchandise and to other persons.
WHOLESALE DEALER or WHOLESALE VENDOR
Any person who sells to dealers in or vendors of goods, wares and merchandise and to no other persons.
[1]
Editor's Note: See 53 P.S. § 6901 et seq.
B. 
The terms "person" "wholesale dealer" or "wholesale vendor" "retail dealer" or "retail vendor," and "wholesale and retail dealer" or "wholesale and retail vendor" as defined herein shall not include 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; or any person vending or disposing of articles of his own manufacture for shipment or delivery away from place of the manufacture thereof; or any farmer vending or disposing of his own produce or other transaction exempted by law.
[Amended 12-16-1985 by Ord. No. 1943; 6-30-1986 by Ord. No. 1960; 1-14-1991 by Ord. No. 2104]
In each license year, every person desiring to continue to engage in or hereafter to begin to engage in the business of wholesale or retail vendor or dealer in goods, wares and merchandise and any person conducting a restaurant or other place where food, drink or refreshment are sold in the Township shall, on or before the 15th day of April or prior to commencing business in any license year, apply for and procure a mercantile business license for his place of business or, if more than one, for each of his places of business in the Township from the Collector, who shall issue the same upon payment of a fee of $10 for a wholesale or retail license or for a wholesale and retail license for his place of business or, if more than one, for each of his places of business in the Township for such license year. Each application for a license 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. Such licenses shall not be assignable and shall be conspicuously posted at the place of business or each of the places of business of every such person at all times. In the case of loss, defacement or destruction of any license, the person to whom the license was issued shall apply to the Collector for a new license for which a fee of $10 shall be charged.
A. 
A tax to provide revenue for general Township purposes is hereby levied, and imposed upon every person engaging in any of the following occupations or businesses in the Township at the rate hereinafter set forth, and such persons shall pay a mercantile tax for the current year at such rate and subject to the exemptions hereinafter set forth:
[Amended 6-30-1986 by Ord. No. 1960]
(1) 
Wholesale vendors or dealers in goods, wares and merchandise of every kind: at the rate of one mill on each dollar of the gross volume of business transacted by him during the license year.
(2) 
Retail vendors or dealers of goods, wares and merchandise of every kind and all persons engaged in conducting restaurants or other places where food, drink or refreshments are sold: at the rate of one and 1/2 mills on each dollar of the gross volume of business transacted by him during the license year.
(3) 
Wholesale and retail vendors or dealers in goods, wares and merchandise of every kind: at the rate of one mill on each dollar of the gross volume of wholesale business transacted by him and 1 1/2 mills on each dollar of the gross volume of retail business transacted by him during the license year.
B. 
The tax imposed by this section shall not apply to the dollar volume of annual business covering the resale of goods, wares or merchandise taken by a dealer at a trade-in or as part payment for other goods, wares and merchandise, except to the extent that the resale price exceeds the trade-in allowance.[1]
[1]
Editor's Note: Pursuant to Ord. No. 1798, adopted 12-8-1980, original Subsection (e), which immediately followed this subsection, was deleted in its entirety.
The following subsections refer to the computation of the estimated gross volume of business:
A. 
Every person subject to the payment of the tax hereby imposed who has commenced his business at least a full year prior to January 1 shall compute the gross volume of business upon the actual gross amount of business transacted by him during the 12 months preceding January 1.
[Amended 6-30-1986 by Ord. No. 1960]
B. 
Every person subject to the payment of the tax hereby imposed who has commenced his business less than one full year prior to January 1 shall compute the gross volume of business by multiplying by 12 the monthly average of the actual gross amount of business transacted by him during the months he was engaged in business prior to January 1.
[Amended 6-30-1986 by Ord. No. 1960]
C. 
Every person subject to the payment of the tax hereby imposed who commences his business subsequent to January 1 shall compute the gross volume of business for the 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 remaining in the license year.
[Amended 6-30-1986 by Ord. No. 1960]
D. 
Every person subject to the payment of the tax hereby imposed who engages in business, temporary, seasonal or itinerant by its nature, shall compute the gross volume of business upon the actual gross amount of business transacted by him during the license year.
A. 
Every return, as hereinafter required by this section, shall be made upon a form furnished by the Collector. Every person making such return shall furnish all information requested therein and certify the correctness thereof under the penalties of perjury.
B. 
First return.
(1) 
Every person subject to the tax imposed by this article who has commenced his business at least one full year prior to the beginning of the license year shall, on or before the 15th day of April following, file with the Collector a return setting forth his name, his business and business address and such other information as may be necessary to compute the actual gross volume of business transacted by him during the license year and the amount of tax estimated to be due.
[Amended 1-30-1989 by Ord. No. 2041]
(2) 
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 the license year shall, on or before the 15th day of April following, file with the Collector a return setting forth his name, his business, business address and such other information as may be necessary to compute the actual gross volume of business transacted by him during the license year and the amount of tax estimated to be due.
[Amended 1-30-1989 by Ord. No. 2041]
(3) 
Every person subject to the tax imposed by this article who commences business subsequent to the beginning of the license year shall, within 60 days from the date of commencing such business, file a return with the Collector setting forth his name, his business and business address and such information as may be necessary to compute the actual gross volume of business transacted by him during the license year and the amount of tax estimated to be due.
(4) 
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 Collector 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 such period and the amount of the tax due.
C. 
Final tax return.
(1) 
On or before April 15 of each year, 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 amount of the gross volume of business as set forth in the first tax return, the amount of tax paid at the time of filing the first tax return and the amount of tax due upon the final computation.
[Amended 6-30-1986 by Ord. No. 1960; 1-30-1989 by Ord. No. 2041]
(2) 
Any person ceasing to do business during the license year shall, within 14 days from the date of ceasing to do business, file a final return showing the actual gross volume of business conducted during that portion of the license year in which said person was actually in business, and pay the tax due as computed thereon.
A. 
At the time of filing the first tax return, the person making the same shall pay the amount of the tax estimated to be due.
B. 
At the time of the filing of the final tax return, if the full amount of the tax due by the taxpayer for the license year has not been paid, the taxpayer shall pay the remaining balance of the tax, which will be the difference between the amount of the tax paid at the time of making the first return on the estimated computation and the amount of the tax finally shown to be due.
A. 
It shall be the duty of the Collector to collect and receive the fees, taxes, fines and penalties imposed by this article. It shall also be his duty to keep a record showing the amount of the tax received by him and the date of payment.
B. 
If the Collector is not satisfied with the return and payment of tax made by any taxpayer or supposed taxpayer under the provisions of this article, he is hereby authorized and empowered to make a determination of the tax due by such person based upon the facts contained in the return or upon any information within his possession or that shall come into his possession, and for this purpose, the Collector or his authorized agent is authorized to examine the books, papers and records of any such person to verify the accuracy of any return or payment made under the provisions thereof or to ascertain whether the taxes imposed by this article have been paid. The Collector is hereby authorized and directed to make and keep such records, prepare such forms and take such other measures as may be necessary or convenient to carry this article into effect and may, in his discretion, require reasonable deposits to be made by licensees who engage in a business that is temporary, seasonal or itinerant by its nature.
C. 
If any taxpayer or supposed taxpayer shall neglect or refuse to make any return and payment of tax required by this article or if, as a result of an investigation by the Collector, a return is found to be incorrect, the Collector shall estimate the tax due by such person and determine the amount due by him for taxes, penalties and interest thereon.
D. 
The burden is hereby imposed upon any person, firm or corporation claiming an exemption from the payment of the tax hereby imposed to convince the Collector of his legal right to such exemption.
E. 
If the final return of the taxpayer shows an overpayment of the tax by reason of the fact that the gross volume of business as stated in the estimated computation was less than the actual volume of business for the year or by reason of the fact that the taxpayer did not continue to engage in business throughout the year, the Collector shall refund to the taxpayer, without interest, the amount of such overpayment, which shall be the difference between the amount of tax paid upon the filing of the first return and the amount of the tax finally shown to be due.
Any information gained by the Collector or any other Township employee or official from the administration of this tax shall be confidential, except in accordance with proper judicial order or as otherwise provided by law, and divulgence of any information so gained is hereby declared to be a violation of this article.
All taxes due and unpaid under this article shall be recoverable by the Township Solicitor as other debts due the Township are now by law recoverable.
[Added 12-16-1985 by Ord. No. 1943]
A. 
The Finance Director of Haverford Township and his duly appointed agents are authorized to examine the books, papers and records of any taxpayer or supposed taxpayer in order to verify the accuracy of any return; or, if no return was filed, to ascertain the tax due. Every taxpayer or supposed taxpayer is required to give to the Finance Director of Haverford Township or his duly appointed agents the means, facilities and opportunity for such examination or investigation upon reasonable notice. In addition to all other powers, the Finance Director shall have the power, on behalf of the taxing jurisdiction, to examine any person under oath concerning any material set forth on the taxpayers return or, in the event that no return has been filed, to inquire into appropriate records to determine the tax due. Should a taxpayer or supposed taxpayer fail or refuse to comply with a request for production of documents, the Finance Director is hereby empowered to issue an administrative subpoena for the production of such records and to compel the attendance of persons, either as parties, principals, agents or witnesses before him.
B. 
The information obtained by the Finance Director, his agents or any other official agent of a taxing jurisdiction as a result of any returns, investigations, hearings or verifications required or authorized, is confidential and shall not be disclosed to any person except for official use in connection with the verification of the return or the determination of the tax due unless such disclosure is compelled by an order of a court of competent jurisdiction.
The Township shall provide tax regulations for the purpose of clarifying applicability of the mercantile tax.
[Amended 1-30-1989 by Ord. No. 2041; 1-14-1991 by Ord. No. 2104]
All taxes due under this article shall bear interest at the rate of 1 1/2% per month or fractional part of a month from the day they are due and payable until paid. If any taxpayer shall neglect o refuse to make any return or payment as herein required, an additional 10% of the amount of the tax shall be added by the Collector and collected. Where legal action is brought for the recovery of this tax, the taxpayer thereafter shall, in addition, be responsible and liable for collection costs, including attorney fees.
All taxes, interest and penalties received, collected or recovered under the provisions of this article shall be paid into the treasury of the Township of Haverford for the use and benefit of the Township of Haverford.
[Amended 6-13-1988 by Ord. No. 2019; 3-12-2012 by Ord. No. 2660; 12-8-2014 by Ord. No. 2737]
Any person or entity subject to tax who fails to comply with the provisions of this article may be subject to a civil fine, not to exceed $600 per violation, plus costs, including court filing fees and the Township's attorney fees. The fine imposed by this section shall be in addition to any other penalty imposed by this article.