[Adopted 12-19-1966 by Ord. No. 607; amended in its entirety 11-16-1987 by Ord. No.
857 (Ch. 24, Part 4, of the 1987 Code of Ordinances)]
This article is enacted under authority of the Local Tax Enabling
Act, P.L. 1257, No. 511, December 31, 1965, 53 P.S. § 6901
et seq. (1982),[1] as hereafter amended, supplemented, modified or reenacted
by the General Assembly of Pennsylvania.
[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.
A.
BUSINESS
CALENDAR YEAR
LICENSE YEAR
PERSON
TAXPAYER
TAX YEAR
TEMPORARY, SEASONAL OR ITINERANT BUSINESS
VENDOR
WHOLESALE DEALER or WHOLESALE VENDOR
As used in this article, the following terms shall have the meanings
indicated, unless a different meaning clearly appears from the context:
Any activity carried on or exercised for gain or profit in
the Township of North Versailles, including, but not limited to, the
sale of merchandise or other tangible personalty or the performance
of services and the rental of personalty and/or realty.
The period from January 1 to December 31, inclusive.
The period from January 1 to December 31, inclusive.
Any individual, partnership, limited partnership, association,
firm or corporation. Whenever used in any clause prescribing a penalty,
the term "person" as applied to partnerships shall mean the partners
thereof, and as applied to corporations and associations, shall mean
the officers thereof, and if there are no officers, the shareholders
thereof.
A person subject to the payment of the tax imposed by this
article.
The period from January 1 to December 31, inclusive.
Business conducted at one location for less than _____ ()
consecutive calendar days.
Person who, from a store, warehouse, lot or other established
place of business in the Township, sells merchandise or other tangible
personalty previously purchased by him, such property being in the
same state and condition as when purchased by or for such vendor,
or, if manufactured by him, being sold from a store or warehouse apart
from the manufactory.
Any person who sells to dealers in or vendors of goods, wares
and merchandise with respect to such goods and to no other persons.
B.
As used in this article, the masculine shall include the feminine
and neuter.
There is hereby imposed for the first tax year and annually
thereafter a mercantile tax for general revenue purposes on the privilege
of doing business as herein defined in the Township of North Versailles
as follows:
A.
Rate and basis. 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 Township shall be one mill, which mills shall mean $1
per $1,000 gross volume of business; except that the rate of the tax
on each and every dollar of the whole or gross volume of business
transacted by wholesale dealers or wholesale vendors within the territorial
limits of the Township shall be one mill. All nonwholesale business
of wholesale dealers or wholesale vendors shall be taxed at the general
rate of 1 1/2 mills.
B.
Computation of volume of business.
(1)
Every person subject to payment of the tax hereby imposed who has
commenced his business prior to the full calendar year prior to the
tax year shall compute his estimated annual gross volume of business
upon the actual gross amount of business transacted by him during
said immediately preceding calendar year. For the first tax year only,
such computation shall be based upon the actual gross amount of business
transacted from December 19, 1966, through December 31 of the immediately
preceding calendar year.
(2)
Every person subject to payment of the tax hereby imposed who has
commenced or who commences his business before the beginning of the
tax year but after the beginning of the full calendar year prior to
the tax year shall compute his estimated annual gross volume of business
upon the gross volume of business transacted by him during the prior
calendar year, taking the monthly average during said period and multiplying
the same by 12. In the event that he shall be in business fewer than
90 days in the prior calendar year, he shall be permitted to use sufficient
days in the calendar year in which the tax year begins to equal 90
successive days after commencement of business, to take a monthly
average thereon, and to multiply the average by 12. For the first
tax year only, such computation shall be based upon the monthly average
multiplied by 10.
(3)
Every person subject to payment of the tax hereby imposed who has
commenced or commences his business subsequent to the beginning of
the tax year and prior to the effective date of this article shall
compute his estimated gross volume of business for such tax year upon
the gross volume of business transacted by him during the period from
the commencement of his business to the end of the year, taking the
monthly average during the first three months of business and multiplying
the same by the number of months from the commencement of business
to the end of the tax year. For the first tax year only, such computation
shall be based on the monthly average multiplied by 10. In the event
that such persons shall be in business fewer than 90 days in the tax
year, he shall be permitted to use sufficient days in the next succeeding
calendar year to equal 90 successive days after commencement of business
to take a monthly average thereon, and to multiply the average by
the number of months from the commencement of his business to the
end of the tax year.
(4)
Every person subject to payment of the tax hereby imposed who engages
in 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 engages in such temporary, seasonal or itinerant
business by a method to be determined by the Tax Collector.
(5)
The Tax Collector is hereby authorized to accept payment under protest
of the amount of mercantile tax claimed by the Township of North Versailles
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. Any action instituted for such judicial determination
shall be instituted within two years of the last day of the period
for which the tax is disputed or claim made.
C.
Persons, business and receipts exempted.
(1)
Persons and businesses. Persons employed for a wage or salary, nonprofit
corporation or association organized for religious, charitable or
educational purposes, agencies of the government 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 or license
fee and which tax or license fee has been held by the Courts of Pennsylvania
to be the basis for exemption from the imposition of a business privilege
tax by a municipality.
(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 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 Township, or on the preparation or processing
thereof for use or market, or on any privilege, act or transaction
relating 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.
D.
Determination of gross or whole volume of business. Gross or whole
volume of business upon which the tax hereunder is computed shall
include the gross consideration credited or received for or on account
of sales made, rentals and/or services rendered, subject only to the
following allowable deductions and exemptions:
(1)
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.
(2)
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.
(3)
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.
(4)
Bad debts, where the deduction is also taken in the same year for
federal income taxation purposes.
(5)
Taxes collected as agent for the United States of America, Commonwealth
of Pennsylvania, County of Allegheny or the Township of North Versailles.
E.
Partial exemptions. Where gross or whole 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 provision by law, the Tax Collector with the approval
of the Board of Commissioners of the Township shall establish rules
and regulations and methods of allocation and evaluation so that only
that part of the gross or whole volume of business which is properly
attributable and allowable to doing business in the Township shall
be taxed hereunder.
F.
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,[1] to the Township and 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
a maximum rate of tax as fixed by the said Enabling Act permitting
the imposition of such taxes.
[1]
Editor's Note: See 53 P.S. § 6924.101 et seq.
G.
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.
A.
Every return shall be made upon a form furnished by the Tax Collector.
Every person making a return shall certify the correctness thereof
by affidavit.
B.
Every person subject to the tax imposed by this article who commenced
his business on or before January 1 of the full calendar year previous
to the beginning of any tax year shall on or before the 15th day of
February for the first tax year and on or before the first day of
June of all subsequent tax years file with the Tax Collector a return
setting forth his name, business, business address, and such other
information as may be necessary in arriving at the actual gross amount
of business transacted by him during the preceding calendar year,
and the amount of the tax due.[1]
C.
Every person subject to the tax imposed by this article who has commenced
his business before the beginning of any tax year but after January
1 of the full calendar year previous to the beginning of the tax year
shall on or before the 15th day of February for the first tax year
and on or before the first day of June of all subsequent tax years
file with the Tax Collector a return setting forth his name, business,
business address, and other information as may be necessary in arriving
at the estimated gross amount of business transacted by him as calculated
under § 270-27B(2) hereof and the amount of tax due.[2]
D.
Every person subject to the tax imposed by this article who has commenced or commences his business subsequent to the beginning of the tax year shall, on or before the 15th day of February for the first tax year and on or before the first day of June of all subsequent tax years, file with the Tax Collector a return setting forth his name, business, business address, and other information as may be necessary in arriving at the estimated gross amount of business transacted by him as calculated under § 270-26B(3) hereof and the amount of tax due, provided that 100 days have elapsed from the commencement of the business to February 15 of the first tax year, and to June 1 of all subsequent tax years. If a taxpayer has not been in business for 100 days as of February 15, or June 1 of all subsequent tax years, his return shall be filed within 100 days of the commencement of his business.[3]
E.
Every person subject to 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, business, business address and other information as may be necessary in arriving at the estimated gross amount of business to be transacted by him as calculated in accordance with § 270-26B(4).
F.
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 showing
the actual gross volume of business conducted and done by such person
during that tax year in which said person ceased doing business, and
pay the tax due as computed thereon at the rate herein provided for
at the time of filing said return. If such tax has been previously
paid based upon estimated gross receipts, the taxpayer shall be entitled
to a refund, without interest, of any excess tax paid for the tax
year in which business was terminated.
G.
Payment of tax and penalties for late payment. The tax imposed by
this article for the first tax year which shall include the period
from effective date of this article through December 31, shall be
due and payable as follows: For the second and subsequent years this
tax is imposed, the tax shall be due and payable on the date on which
the taxpayer is required to file a return. In the event the amount
due and payable is not paid on the date required as set forth above,
5% shall be added thereto, plus an additional 1% per month or fractional
part of a month until paid.
H.
Receipt. The Tax Collector shall, upon payment to him of the tax
hereby imposed, 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, as herein defined,
within the Township shall file with the Tax Collector an application
for a mercantile license and shall pay a fee of $5 for the initial
license and $5 for each annual renewal thereof.
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 the tax due hereunder shall
be refused a license until such tax is paid in full.
Any person who shall conduct, transact or engage in any of the
businesses subject to the tax imposed by this article, without having
first secured a mercantile license for the year, or any person who
shall fail to file a tax return as required by the provisions of this
article, or any person who shall wilfully file a false return shall,
upon conviction thereof, be sentenced to pay a fine not more than
$600, and/or to imprisonment for a term not to exceed 30 days. Every
day that a violation of this article continues shall constitute a
separate offense.
A.
The Tax Collector is charged with the duties of collecting and receiving
taxes, fines, and penalties imposed by this article. It shall be his
duty to keep a record showing the amount received by him, from whom
received, and the date of such receipt.
B.
The Tax Collector and his duly appointed agents are hereby empowered
with the approval of the Board of Commissioners of the Township 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 overpayments
claimed or found to have occurred, and charged with enforcing the
provisions of this article and any rules and/or regulations promulgated
pursuant hereto.
C.
In the event the person to be assessed neglects or refuses to make
a return, then in such case the Tax Collector or his duly appointed
agents shall assess said person or persons on such an amount of whole
or gross volume of business as the said Tax Collector or his agents
deem reasonable and appropriate. In all cases of assessment, the Tax
Collector or his duly appointed agents shall give the parties assessed
a notice in which shall be stated the trade, business, occupation
or class, and the amount of the mercantile tax imposed.
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
this 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
Tax Collector or his agents to verify all transactions. The Tax Collector
or his agents are 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.
Any information gained by the Tax Collector or any other official,
agent or employee of the Township 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 duly appointed agents shall have the power
in the name of the Township of North Versailles to institute proceedings
against 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.
