Township of North Versailles, PA
Allegheny County
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Table of Contents
Table of Contents
[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)]

§ 270-24
Authority for enactment. 

§ 270-25
Definitions and word usage. 

§ 270-26
Imposition of tax. 

§ 270-27
Returns. 

§ 270-28
License. 

§ 270-29
Posting. 

§ 270-30
Violations and penalties. 

§ 270-31
Duties of Tax Collector. 

§ 270-32
Confidential nature of information. 

§ 270-33
Suit on collection. 

§ 270-24 Authority for enactment.

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),

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.
as hereafter amended, supplemented, modified or reenacted by the General Assembly of Pennsylvania.

§ 270-25 Definitions and word usage.

A. 

As used in this article, the following terms shall have the meanings indicated, unless a different meaning clearly appears from the context:

BUSINESS
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.
CALENDAR YEAR
The period from January 1 to December 31, inclusive.
LICENSE YEAR
The period from January 1 to December 31, inclusive.
PERSON
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.
TAXPAYER
A person subject to the payment of the tax imposed by this article.
TAX YEAR
The period from January 1 to December 31, inclusive.
TEMPORARY, SEASONAL OR ITINERANT BUSINESS
Business conducted at one location for less than _____ () consecutive calendar days.
VENDOR
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.
WHOLESALE DEALER or WHOLESALE VENDOR
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.

§ 270-26 Imposition of tax.

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,

Editor's Note: See 53 P.S. § 6924.101 et seq.
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.

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.

§ 270-27 Returns.

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.

Editor's Note: Amended at time of adoption of Code (see Ch. 1, General Provisions, Art. I).

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.

Editor's Note: Amended at time of adoption of Code (see Ch. 1, General Provisions, Art. I).

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.

Editor's Note: Amended at time of adoption of Code (see Ch. 1, General Provisions, Art. I).

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.

§ 270-28 License.

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.

§ 270-29 Posting.

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.

§ 270-30 Violations and penalties.

Editor's Note: Amended at time of adoption of Code (see Ch. 1, General Provisions, Art. I).

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.

§ 270-31 Duties of Tax Collector.

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.

§ 270-32 Confidential nature of information.

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.

§ 270-33 Suit on collection.

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.