[Adopted 1-10-1980 by Ord. No. 80-02]
This article shall be known and may be cited as the "Business
Privilege Tax Ordinance."
As used in this article, unless the context indicates clearly
a different meaning, the following words and phrases shall have the
meanings set forth below:
Carrying on or exercising, whether for gain or profit or
otherwise, within the Township of West Manchester any trade, business
(including but not limited to financial business as hereinafter defined),
profession, vocation, service, construction, communication or commercial
activity or making sales to persons or rendering services from or
attributable to a West Manchester Township office or place of business.
"Business" shall not include the following: any business which is
subject to the Township of West Manchester mercantile tax on its entire
gross receipts; the business of any political subdivision; any employment
for a wage or salary; and business upon which the power to levy a
tax is withheld by law.
The services and transactions of banks and bankers, trust,
credit and investment companies, where not prohibited by law, holding
companies, dealers and brokers in money, credits, commercial paper,
bonds, notes, securities and stocks, monetary metals, factors and
commission merchants.
Cash, credits, property of any kind or nature, received in or
allocable or attributable to the Township of West Manchester from
any business or by reason of any sale made, including resales of goods,
wares or merchandise taken by a dealer as a trade-in or as part payment
for other goods, wares or merchandise, or services rendered, or commercial
or business transaction had within the Township of West Manchester
without deduction therefrom on account of the cost of property sold,
materials used, labor, service or other cost, interest or discount
paid or any other expense.
"Gross receipts" shall exclude:
The amount of any allowance made for goods, wares or merchandise
taken by a dealer as a trade-in or as part payment for other goods,
wares and merchandise in the usual and ordinary course of his business.
In the case of a financial business, the cost of securities
and other property sold, exchanged, paid at maturity or redeemed,
and moneys or credits received in repayment of advances, credits and
loans, but not to exceed the principal amount of such advances, credits
and loans, and shall also exclude deposits.
In the case of a broker, on commissions paid by him to another
broker on account of a purchase or sales contract initiated, executed
or cleared in conjunction with such other broker.
Receipts by dealers from sales to other dealers in the same
line where the dealer transfers title or possession at the same price
for which he acquired the goods, wares or merchandise, as long as
said dealers are not the parent or subsidiary organization of the
vendor or have no other affiliation or cooperative arrangement with
the vendor.
Receipts or that portion thereof attributable to interstate or foreign commerce or to an office or place of business regularly maintained by the taxpayer, outside the limits of the Township of West Manchester, and not for the purpose of evading payment of this tax and those receipts which the Township of West Manchester is prohibited from taxing by law. Such receipts shall be segregated as set forth in § 125-64C of this article.
"Gross receipts" shall include both cash and credit transactions.
Any natural person, partnership, unincorporated association,
or corporation; provided, however, that the word "person" shall not
include nonprofit corporations organized for religious, charitable
or educational purposes and associations organized for such purposes.
Whenever used in any provision prescribing a fine or penalty, the
word "person," as applied to partnerships, shall mean the partners
thereof and, as applied to corporations and unincorporated associations,
shall mean the officers thereof.
[Amended 3-20-1986 by Ord. No. 86-06]
The receiver of taxes appointed by the Supervisors of West
Manchester Township or other persons designated by the Township of
West Manchester for the collection and enforcement of this tax. The
Tax Collector may be, but need not be, the duly elected Tax Collector
of West Manchester Township.
[Amended 1-12-1989 by Ord. No. 89-03]
The twelve-month period from March 1 to February 28.
Any business which is conducted at one location for less
than 60 consecutive calendar days.
The Township of West Manchester.
[Amended 12-12-1985 by Ord. No. 85-12]
Beginning with the tax year 1986 and annually thereafter, every
person engaging in any business in the Township of West Manchester
shall pay an annual tax at the rate of 1 1/2 mills on each dollar
of volume of the gross annual receipts thereof.
A.
Every person subject to the payment of the tax hereby imposed who
has commenced his business at least 14 full months prior to the beginning
of any tax year shall compute his annual gross receipts upon the actual
receipts received by him during the preceding calendar year.
B.
Every person subject to the payment of the tax hereby imposed who
has commenced or who commences his business less than 14 full months
prior to the beginning of any tax year shall compute his annual gross
receipts for such tax year upon the gross receipts generated by the
business transacted within the Township of West Manchester during
the first month he engages in such business activity multiplied by
12.
C.
Where a receipt 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 provision of law, including the exemptions
within this article, the Tax Collector shall establish rules and regulations
and methods of allocation and evaluation so that only that part of
such receipt which is properly attributable and allocable to the doing
of business in the Township of West Manchester shall be taxed hereunder.
The Tax Collector may make such allocation with due regard to the
nature of the business concerned on the basis of mileage division
of the receipt according to the number of jurisdictions in which it
may be taxed, the ratio of the value of the property or assets of
the taxpayer owned and situated in the Township of West Manchester
to the total property or assets of the taxpayer wherever owned and
situated, or any other method or methods of calculation to effect
a fair and proper allocation.
D.
Every person subject to the payment of the tax hereby imposed who
engages in a business temporary, seasonal or itinerant by its nature
shall compute his annual gross receipts upon the actual gross receipts
received by him during such tax year.
E.
Every person who ceases to carry on a business during any tax year
after having paid the business privilege tax for the entire year shall,
upon making proper application to the Tax Collector, be entitled to
receive a refund of the pro rata amount of the tax paid based upon
the period of time he was not in business during the license year.
In the event that a person who discontinues business during any tax
year does so before payment of his tax becomes due for such tax year,
he shall be permitted to apportion his tax for such tax year and shall
pay an amount to be computed by multiplying his gross receipts for
the preceding full calendar year by a fraction whose numerator shall
be the number of months such person was in business during the tax
year and whose denominator shall be 12.
A.
Every person subject to the tax imposed by this article shall forthwith
register with the Tax Collector and set forth his name, address, business
address and the nature of the business activity in which he is engaged.
B.
Every return shall be made upon a form furnished by the Tax Collector.
Every person making a return shall certify to the correctness thereof.
C.
Every person subject to the tax imposed by this article who has commenced
his business at least 14 full months prior to the beginning of any
tax year shall, on or before the 15th day of April following and annually
thereafter, file with the Tax Collector a return setting forth his
name, his business, business address and such other information as
may be necessary in arriving at the annual gross volume of business
transacted by him during the preceding year and the amount of the
tax due.
D.
Every person subject to the tax imposed by this article who has commenced
his business less than 14 full months prior to the beginning of the
tax year shall, on or before the 15th day of April following, file
with the Tax Collector a return setting forth his name, his residence,
his business, business address and such other information as may be
necessary in arriving at the actual volume of business transacted
by him during the period of operation prior to January 1 of that tax
year, and the amount of tax due.
E.
Every person subject to the tax imposed by this article who commences
business subsequent to the beginning of any tax year for such tax
year shall, within 40 days from the date of commencing such business,
file a return with the Tax Collector setting forth his name, his business,
business address and such other information as may be necessary in
arriving at the actual volume of business transacted by him during
his first month of business and the amount of tax due.
F.
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 Tax Collector setting forth his name, his business,
his business address and such other information as may be necessary
in arriving at the actual gross volume of business during the tax
period and the amount of the tax due.
The person making the return shall, at the time of filing the
return, pay the amount of tax shown as due thereon to the Tax Collector.
A.
It shall be the duty of the Tax Collector to collect and receive
the taxes, fines and penalties imposed by this article. It shall also
be his duty to keep a record showing the amount received by him from
each person paying the tax and the date of such receipts.
B.
The Tax Collector is hereby charged with the administration and enforcement
of the provisions of this article and is hereby empowered to prescribe,
adopt, promulgate and enforce rules and regulations relating to any
matter pertaining to the administration and enforcement of this article,
including provisions for the reexamination 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 to make refunds where necessary.
Any person aggrieved by any decision of the Tax Collector shall have
the right to appeal to court as in other cases provided.
C.
The Tax Collector is hereby authorized to compel the production of
books, papers and records and the attendance of all persons before
him, whether as parties or witnesses, whom he believes to have knowledge
of such receipts.
D.
The Tax Collector is hereby authorized to examine the books, papers
and records of any taxpayer or supposed taxpayer in order to verify
the accuracy of any return made or, if no return was made, to ascertain
the tax due. Every such taxpayer or supposed taxpayer is hereby directed
and required to give to the Tax Collector the means, facilities and
opportunity for such examinations and investigations as are hereby
authorized.
[Amended 8-25-2016 by Ord. No. 16-08]
A.
The Tax
Collector may sue for the recovery of taxes due and unpaid under this
article.
B.
If for
any reason the tax is not paid when due in each year, interest at
the rate of 0.5% of the unpaid tax for each month or fraction thereof
during which the tax remains unpaid, and an additional penalty at
the rate of 0.5% of the unpaid tax for each month or fraction thereof
during which the tax remains unpaid, shall be added and collected.
Where 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 the interest and penalties herein imposed.
[Amended 11-14-1991 by Ord. No. 91-09; 5-9-1996 by Ord. No. 96-14]
Whoever makes any false or untrue statement on his return or
who refuses to permit inspection of the books, records or accounts
of any business in his custody or control when the right to make such
inspection by the Tax Collector is requested and whoever fails or
refuses to file a return required by this article shall, upon being
found liable therefor in a civil enforcement proceeding commenced
by West Manchester Township, pay a fine of not exceeding $600 plus
all court costs, including reasonable attorney's fees, incurred by
West Manchester Township. West Manchester Township police officers,
the appropriate code enforcement officers of West Manchester Township
or other appropriate officer or officers of West Manchester Township
shall have the power to enforce the provisions of this article. The
amount of the fine imposed for the violation of this article shall
be established by the officer who determines that a violation has
occurred. Notice of the violation of this article and the amount of
the fine imposed shall be given by personal delivery or by certified
mail to the person violating this article. If the person violating
this article fails or refuses to pay the fine imposed within the period
specified in the notice of the violation of this article, the Township
shall file a civil enforcement proceeding with the District Magistrate
to enforce the fine imposed.
Nothing contained in this article shall be construed to empower
the Township of West Manchester 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 Township of West Manchester under
the Constitution of the United States and the laws and Constitution
of the Commonwealth of Pennsylvania.
The Tax Collector is hereby authorized to accept payment under
protest of the amount of business privilege tax claimed by the Township
of West Manchester in any case where the taxpayer disputes the validity
or amount of the Township's claim for tax. If it is thereafter judicially
determined by a court of competent jurisdiction that the Township
has been overpaid, the amount of the overpayment shall be refunded
to the taxpayer.
This article is enacted under authority vested in second class
townships of the Commonwealth of Pennsylvania by The Local Tax Enabling
Act, Act of Dec. 31, 1965, P.L 1257, 53 P.S. § 6901, as
amended.