[Adopted 12-16-1980 by Ord. No. 470 (Part 3, Ch. 2, Art. B,
of the 1994 Code of Ordinances)]
[Amended 1-15-1985 by Ord. No. 484; 11-17-1987 by Ord. No. 500]
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 Paxtang.
Any activity carried on or exercised for gain or profit in
the Borough of Paxtang, including but not limited to the sale of merchandise
or other tangible personalty or the performance of services.
The annual filing or registration fee to administer the regulatory
provisions of this article. The payment of the license fee shall not
relieve the holder from payment of the tax imposed by this article.
The period January 1 to December 31, inclusive.
Any individual, partnership, limited partnership, association,
firm or corporation. Whenever used in any clause prescribing or imposing
a penalty, the term "person" as applied to associations shall mean
the partners or members thereof and, as applied to corporations, the
officers thereof.
The Secretary of the Borough of Paxtang.
The Tax Collector of the Borough of Paxtang.
[Amended 5-18-2005 by Ord. No. 596]
The period from January 1 to December 31, inclusive.
A person subject to the payment of the tax imposed by this
article.
[Amended 1-19-1988 by Ord. No. 504]
There is hereby levied for the year 1981, and annually thereafter,
a tax for general revenue purposes on the privilege of doing business
as herein defined by persons in the Borough of Paxtang, as follows:
A.
Rate and basis of tax. The rate of the tax on each and every dollar
of the whole or gross volume of business transacted within the territorial
limits of the Borough of Paxtang shall be one mill. One mill shall
mean $1 per $1,000 of gross volume of business. Each person engaged
in a business that is temporary, seasonal or itinerant by its nature
shall pay at the rate of one mill on each dollar of the whole or gross
volume of business transacted. There shall be no tax if the whole
or gross volume of business transacted is less than $10,000.
B.
Persons, businesses and receipts exempted.
(1)
Persons and businesses. Persons employed for a wage or salary, nonprofit
organizations or associations organized for religious, charitable
or educational purposes, agencies 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.
(3)
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.
(4)
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.
(5)
Production and manufacture. No such tax shall be assessed and collected
on goods, articles and products, or on by-products of manufacture,
or on minerals, timber, natural resources and farm products manufactured,
produced or grown in the Borough of Paxtang, or on the preparation
or processing thereof for use or market, or on any privilege, act
or transaction related to the business of manufacturing, the production,
preparation or processing of minerals, timber and natural resources
or farm products by manufacturers, by producers and by farmers with
respect to the goods, articles and products of their own manufacture,
production or growth, or any privilege, act or transaction relating
to the business of processing by-products of manufacture, or on the
transportation, loading, unloading or dumping or storage of such goods,
articles, products or by-products.
(6)
Incidental use of residential property. No such tax or fee shall
be assessed and collected on rental received by an owner from a building
originally erected as a private dwelling house and occupied as a residence
by such owner during the tax year.
C.
Determination of whole or gross volume of business.
(1)
Whole or gross volume of business upon which the tax under this article
is computed shall include the gross consideration credited or received
for or on account of sales made and/or services rendered, subject
only to the following allowable deductions and exemptions:
(a)
The dollar volume of business transacted by wholesale and retail
dealers derived from the resale of goods, wares and merchandise taken
by any dealer as 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.
(b)
Refunds, credits or allowances given by a taxpayer to a purchaser
on account of defects in goods, wares or merchandise sold, or on account
of goods, wares or merchandise returned.
(c)
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.
(d)
Bad debts, where the deduction is also taken in the same year
for federal income taxation purposes.
(e)
Taxes collected as agent for the United States of America, Commonwealth
of Pennsylvania or the Borough of Paxtang.
(2)
Every person subject to the payment of the tax herein imposed who
engaged in a business temporary, seasonal or itinerant by nature shall
compute the estimated gross amount of business to be transacted by
him for the period said person engaged in such temporary, seasonal
or itinerant business within the Borough of Paxtang by a method to
be determined by the Tax Collector.
D.
Partial exemptions. Where whole or gross 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 provisions of law, the Tax Collector shall establish
rules and regulations and methods of allocation and evaluation so
that only that part of the whole or gross volume of business which
is properly attributable and allowable to doing business in the Borough
shall be taxed hereunder.
E.
Rate when same tax is imposed by two taxing bodies. If any person
is liable for the same tax on the same subject imposed under the Local
Tax Enabling Act of 1965, December 31, P.L. 1257 (53 P.S. § 6924.101
et seq. ), and its amendments, to the Borough and to one or more political
subdivisions of the state, then and in that event the tax shall be
apportioned by such percentage as may be agreed upon by such political
subdivisions, but in no event shall the combined taxes of both subdivisions
exceed the maximum rate of tax as fixed by the said enabling act permitting
the imposition of such taxes.
F.
Records. 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 amount 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.
[Amended 11-15-1983 by Ord. No. 478; 10-17-1989 by Ord. No. 511]
A.
Every person subject to the payment of the tax imposed by this article
shall, on or before the date hereinafter specified, file an annual
return on a form prescribed and furnished by the designated tax collector
and shall, concurrently therewith, pay to the Tax Collector the tax
due upon the actual whole or gross volume of business transacted by
him during the applicable annual period.
|
Annual Period
|
Return and Tax Due
| |
|---|---|---|
|
January 1 through December 31
|
April 15 of the year following the annual period
|
B.
The Tax Collector 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.
C.
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, at the time application is made for the business privilege license, file a return with the Tax Collector setting forth his name, his business, his business address and such information as may be necessary in arriving at the estimated gross amount of business to be transacted by him as calculated in accordance with § 381-8C.
D.
Any person going out of or ceasing to do business shall, within seven
days from the date of ceasing to do business, file a return with the
Tax Collector showing the actual gross volume of business conducted
and done by such person who has ceased doing business, and pay the
tax due as computed thereon at the rate herein provided for at the
time of filing said return.
E.
Payment of tax and penalties for late payment. The business privilege
tax levied pursuant to this article shall be due and payable on the
date on which the taxpayer is required to file a return as set forth
above, and if the same is not paid on said date, 6% shall be added
thereto plus an additional 1% per month or fractional part of a month
until paid.
F.
Receipt. The Tax Collector shall, upon payment to him of the business
privilege tax, give the person paying the same a receipt therefor.
After the effective date of this article, any person desiring
to conduct or to continue to conduct any business subject to the business
privilege tax as herein defined within the Borough of Paxtang shall
file with the Tax Collector an application for a business privilege
license and shall pay a fee for the initial license and for each renewal
thereof as set by the Borough Council.[2] Persons desiring to conduct or continue to conduct any
business not subject to the business privilege tax as herein defined
within the Borough of Paxtang shall file with the Tax Collector an
application for a business privilege license and shall pay a fee for
the initial license and for each renewal thereof as set by the Borough
Council. The license issued shall be conspicuously posted in the place
of business for which such license is issued and shall remain in effect
for the license year or fraction of year for which said license was
issued. In cases where more than one place of business is conducted,
a separate license shall be issued for each place of business. Any
taxpayer who is in default in payment of tax due hereunder shall be
refused a license until such tax is paid in full.
[Amended 12-15-1992 by Ord. No. 535[1]]
Any person who conducts, transacts or engages in any of the
businesses subject to the tax imposed by this article without first
having secured a business privilege license for the year, or any person
who fails to file a tax return as required by this article, or any
person who willfully files a false return, shall be guilty of an offense
and, for every such offense, upon conviction, shall be sentenced to
pay a fine of not more than $600 and costs of prosecution and, in
default of payment of fine and costs, to undergo imprisonment for
not more than 30 days.
Each day on which such person violates this article may be considered
as a separate offense and punishable as such as afore-provided.
A.
The Tax Collector is charged with the duties of collecting and receiving
the license fees, 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 Collector and his duly appointed deputies are hereby empowered
with the approval of the Borough Council of the Borough of Paxtang
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 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 any
rules and/or regulations promulgated pursuant thereto.
C.
In the event the person to be assessed neglects or refuses to make
a return, then in such case the designated Tax Collector shall assess
that person or persons on such an amount of whole or gross volume
of business as the designated Tax Collector deems reasonable and appropriate.
In all cases of assessment, the designated Tax Collector 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 of account as
will enable him to make a true and accurate return in accordance with
the provisions of the 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 designated Tax Collector to verify all transactions. The Tax Collector
is hereby authorized to examine the books, papers and records of any
person or persons subject to or supposed to be subject 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 Collector shall have
the right to appeal to the Court of Common Pleas as in other cases.
Any information gained by the Tax Collector 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.
A.
The Tax Collector or his 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 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 United States and
the laws and Constitution of the Commonwealth.
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 the competent
power or jurisdiction to be in violation of the Constitution of the
United States or of the Commonwealth of Pennsylvania or any other
provisions of the law, the decisions of the court shall not affect
or impair the right to impose the taxes or the validity of the taxes
so imposed upon other persons as herein provided.
C.
The provisions of this article are severable, and if any of its provisions
shall be held illegal, invalid or unconstitutional, the decision of
the court shall not affect or impair any of the remaining provisions
of this article. It is hereby declared to be the intention of the
Borough Council of the Borough of Paxtang that this article would
have been adopted if such illegal, invalid or unconstitutional provisions
had not been included herein.
This article is enacted pursuant to the authority of the Local
Tax Enabling Act, 1965, December 31, P.L. 1257 (53 P.S. § 6924.101
et seq), and its amendments, and shall become effective January 1,
1981, after the passage thereof and the giving of public notice by
advertisement of that fact. This article shall continue in force and
effect from year to year thereafter without further action on the
part of the Borough Council.
