[Adopted 1-8-1980 by Ord. No. 1024]
This ordinance shall be known and may be cited as the "Springfield Business Privilege Tax Ordinance."
The following words and phrases as used in this ordinance shall have the meanings ascribed to them in this section, unless the context clearly indicates a different meaning. The masculine includes the feminine, the singular includes the plural and the plural includes the singular.
BUSINESS, TRADES, OCCUPATIONS AND PROFESSIONS
All businesses, trades, occupations and professions in which there is offered any service or services to the general public or a limited number thereof, including but not limited to financial business and those enterprises engaged in by hotel operators, motel operators, office and/or residential apartment building operators, parking lot and garage operators, warehouse operators, lessors of tangible personal property, physicians and surgeons, osteopaths, podiatrists, chiropractors, veterinarians, optometrists, pharmacists, lawyers, dentists, engineers, architects, chemists, certified public accountants, public accountants, funeral directors, promoters, agents, brokers, manufacturer's representatives, advertising and public relations agencies, real estate brokers, insurance brokers and agents, cable television operators, operator of places of amusement providing either passive or active recreation, vending machine operators, barbershop operators and beauty shop operators, cleaning, pressing and dyeing establishment operators, laundry operators, shoe repair shop operators, tailors, upholsterers, electrical, plastering, bricklaying, carpentry, heat, ventilating, plumbing and painting contractors engaged in the class of heavy building or other construction of any kind or in the alteration, maintenance or repair thereof, repairers of electrical, electronic and automotive machinery and equipment or other machinery and equipment and other wares and merchandise.
FINANCIAL BUSINESS
The services and transactions of banks and bankers, trust, credit and investment companies, holding companies, dealers and brokers in money, credits, commercial paper, bonds, notes, securities and stocks and monetary metals, factors and commission merchants.
GROSS RECEIPTS
Includes the gross amount of cash, credits or property of any kind or nature received in both cash and credit transactions allocable or attributable to the Township 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 and merchandise), service rendered (including labor and any materials employed in or becoming part of the service) or commercial or business transactions in connection with any business, trade, occupation or profession. "Gross receipts" shall not include:
A. 
(Reserved)[1]
B. 
In the case of any service, the receipts from that part of the performance or rendering of any service which occurred outside the Township.
[Amended 2-9-1988 by Ord. No. 1179]
C. 
(Reserved)[2]
D. 
In the case of a financial business, the cost of securities and other property sold, exchanged, paid at maturity or redeemed and monies or credits received in repayment of advances, credits and loans (not to exceed the principal amount of such advances, credits and loans) and deposits.
E. 
In the case of a broker, any portion of the fees or commissions with respect to any transaction paid by him to another broker on account of a purchase or sale contract initiated by or exercised or cleared in conjunction with such other broker.
F. 
Sales from dealer to other dealers in same line.
[Repealed 1-29-1981 by Ord. No. 1042]
OPERATOR
Includes both the owner of a hotel, motel, office and/or residential apartment building, parking lot, garage or warehouse and any person the owner may engage for hire to supervise the operation of such hotel, motel, apartment building, parking lot, garage or warehouse.
PERSON
Any individual, partnership, limited partnership, association, corporation, trust or other legally recognizable entity, except such as are wholly exempt from taxation under the Act of December 31, 1965, P.L. 1257,[3] as amended. Persons exempted from taxation under this ordinance shall include agencies of the Government of the United States or of the Commonwealth of Pennsylvania or political subdivisions thereof, and nonprofit corporations or associations organized solely and exclusively for religious, educational or charitable purposes and not conducting any regular or established business competing commercially with any person subject to the tax imposed by this ordinance.
SECRETARY
The Township Secretary of the Township of Springfield or a designee named by the Township through its Board of Commissioners.
SERVICE
Any act or instance of helping or benefiting another for a consideration.
TAX YEAR
The twelve-month period beginning the first day of January.
TEMPORARY, SEASONAL OR ITINERANT BUSINESS, TRADE, OCCUPATION OR PROFESSION
Any business, trade, occupation or profession that is conducted at one location for less than 60 consecutive calendar days.
TOWNSHIP
The Township of Springfield.
[1]
Editor's Note: Former Subsection A, which dealt with goods delivered outside of Township, was repealed 1-29-1981 by Ord. No. 1042.
[2]
Editor's Note: Former Subsection C, which dealt with allowances for trade-ins, was repealed 1-29-1981 by Ord. No. 1042.
[3]
Editor's Note: See 53 P.S. § 6901 et seq.
[Amended 1-29-1981 by Ord. No. 1042; 9-8-2015 by Ord. No. 1560]
The annual license for every person desiring to engage in or to begin to engage in a business, trade, occupation or profession at an actual place of business in the Township shall, on or before the 15th day of January of the tax year or prior to commencing business in such tax year, make application for registration in each place of business in the Township, and if such person bas no actual place of business within the Township, then by registration with the Secretary. Such registration shall be made by the completion of an application furnished by the Secretary and the payment of a fee as indicated in Chapter 40, Fee Schedule, shall be charged for each person conducting a service. Each application for registration shall be signed by the applicant, 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 or by the authorized person of any other legal entity. Each applicant shall receive a certificate of registration from the Secretary which shall not be assignable. In the case of loss, defacement or destruction of any certificate, the person to whom the certificate was issued shall apply to the Secretary for a new certificate, for which a fee as indicated in Chapter 40, Fee Schedule, shall be charged. Such certificate shall be conspicuously posted at each place of business within the Township at all times.
[Amended 1-29-1981 by Ord. No. 1042[1]]
Every person engaging in a business, trade, occupation or profession in the Township in which there is offered any service or services to the general public or a limited number thereof shall pay an annual business privilege tax for general Township purposes for the year beginning January 1, 1981, and for each tax year thereafter at the rate of three mills on each person's gross receipts.
[1]
Editor's Note: This ordinance also provided that revenues collected thereunder shall be appropriated equally between any administrative department, the Buildings and Grounds Maintenance Department and the Police Department.
[1]
Editor's Note: Former § 129-57, Exemption, was repealed 1-29-1981 by Ord. No. 1042.
Computation of estimated and actual gross receipts shall be made in the following manner:
A. 
The estimated gross receipts for any tax year of any person, subject to the payment of the tax hereby imposed, who has commenced business at least a full year prior to January 1 of that tax year shall be the actual gross receipts of that person during the 12 months preceding such January 1.
B. 
The estimated gross receipts for any tax year of any person subject to the payment of the tax hereby imposed who has commenced business less than one full year prior to January 1 of that tax year shall be computed by multiplying by 12 the monthly average of such person's actual gross receipts during the months while engaged in business prior to such January 1.
C. 
The estimated gross receipts for any tax year of any person subject to the payment of the tax hereby imposed who commences business subsequent to January 1 of that tax year shall be computed for that tax year by multiplying such person's actual gross receipts for the first month of business by the number of months remaining in the tax year.
D. 
Every person subject to the payment of the tax hereby imposed who engages in business which is temporary, seasonal or itinerant by its nature shall compute gross receipts upon such person's actual gross receipts during the tax year.
A. 
Every return as hereinafter required by this section shall be made upon a form furnished by the Secretary and in accordance with such regulations as may hereafter be issued by the Township pursuant to § 129-61H hereof. Every person making such return shall certify the correctness thereof under the penalties of perjury.
B. 
Every person subject to the tax imposed by this ordinance who has commenced business at least one full year prior to the beginning of the tax year shall, on or before the 31st day of May following, file with the Township a return setting forth such person's name, business and business address and such information as may be necessary to compute the actual gross receipts of such person during the preceding year and the amount of tax estimated to be due.
[Amended 2-14-1984 by Ord. No. 1087]
C. 
Every person subject to the tax imposed by this ordinance who has commenced business less than one full year prior to the beginning of the tax year shall, on or before the 31st day of May following, file with the Township a return setting forth such person's name, business and business address and such other information as may be necessary to compute the actual gross receipts of such person during the preceding year and the amount of tax estimated to be due.
[Amended 2-14-1984 by Ord. No. 1087]
D. 
Every person subject to the tax imposed by this ordinance who commences business subsequent to the beginning of the tax year shall, within 40 days from the date of commencing such business, file with the Township a return setting forth such person's name, business and business address and such other information as may be necessary to compute the actual gross receipts of such person during the first month of business and the amount of tax estimated to be due.
E. 
Every person subject to the payment of the tax imposed by this ordinance who engages in a business which is temporary, seasonal or itinerant by its nature shall, within seven days from the date of completion of such business, file with the Township a return setting forth such person's name, business and business address and such information as may be necessary in arriving at the actual gross receipts of such person during such period and the amount of tax due.
F. 
At the end of the tax year and on or before May 31 of the following year, every person subject to the tax hereby imposed shall make a final return to the Township of the actual gross receipts of the taxpayer during the period for which the taxpayer is subject to the tax. Such final return shall state the amount of the gross receipts as set forth in the first return, the amount of tax paid at the time of filing the first return and the amount of tax due upon the final computation.
[Amended 2-14-1984 by Ord. No. 1087]
A. 
At the time of filing the first return, the person making the same shall pay the amount of the tax estimated to be due, as determined pursuant to §§ 129-56, 129-58 and 129-59 of this ordinance.
B. 
At the time of filing the final return, if the full amount of tax due by the taxpayer for the tax year has not been paid, the taxpayer shall pay the remaining balance of the tax, which shall 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.
C. 
Any person subject to the payment of a business privilege tax under the provision of this ordinance and who is also subject to and has paid the Springfield Township occupational privilege tax during any tax year may deduct the amount of such occupational privilege tax payment from the amount of tax due and owing for that tax year under the provisions of this ordinance.
D. 
(Reserved)
E. 
In all cases where a person subject to the tax shall have no permanent place of business within the Township or engages in business which is temporary, seasonal or itinerant by its nature, that person shall be obligated to pay the Township the amount of tax on the estimated gross receipts thereof prior to engaging in a taxable business, trade, occupation or profession within the Township.
[Added 4-12-1984 by Ord. No. 1091]
A. 
It shall be the duty of the Secretary to collect and receive the taxes, fines and penalties imposed by this ordinance. It shall also be the duty of the Secretary to keep a record showing the amount of the tax received and the date of payment. A receipt shall be given to the person paying the tax.
B. 
If the Secretary is not satisfied with the return and payment of tax made by any taxpayer or supposed taxpayer under the provisions of this ordinance, the Secretary 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 that shall come into the Secretary's possession, and for this purpose the Secretary or the deputy or authorized agent of the Secretary 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 hereof or to ascertain whether the taxes imposed by this ordinance have been paid.
C. 
The Secretary 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 ordinance into effect, and may, in his discretion, require reasonable deposits to be made by persons who engage in a business which is temporary, seasonal or itinerant by its nature.
D. 
If any taxpayer or supposed taxpayer shall neglect or refuse to make any return and payment of tax required by this ordinance, or if, as a result of an investigation by the Secretary, a return is found to be incorrect, the Secretary shall have the power to estimate the tax due by such person and determine the amount due for taxes, penalties and interest thereon.
E. 
The burden is hereby imposed upon any person claiming an exemption from the payment of the tax hereby imposed to prove by clear and convincing evidence his legal right to such exemption.
F. 
If the final return of the taxpayer shows an overpayment of the tax by reason of the fact that the gross receipts as stated in the estimated computation were more than the actual gross receipts of the taxpayer for the year or by reason of the fact that the taxpayer did not continue to engage in business throughout the year, the Secretary shall refund to the taxpayer 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.
G. 
Any information contained on the returns of a taxpayer and any information obtained as a result of the examination of the books and records of the taxpayer shall be confidential except for official purposes and except for purposes of judicial order.
H. 
The Secretary is hereby authorized to make rules and regulations consistent with the provisions of this ordinance relating to the interpretation or application of any section of this ordinance or to any matter affecting the administration and enforcement of this ordinance, including provision for the reexamination and correction of returns and the adjustment or refund of any overpayment of tax.
[Amended 7-10-1990 by Ord. No. 1230]
All taxes due and unpaid under this ordinance shall be recoverable by the Township Solicitor as other debts due the Township are now or may hereafter be by law recoverable. Where suit is brought for the recovery of any such tax, interest and penalties, the person liable therefor shall, in addition, be liable for the legal costs of collection and/or attorney's fees incurred by Springfield Township.
[Amended 2-14-1984 by Ord. No. 1087]
All taxes under this ordinance shall bear interest at a rate of either 1% per month or fractional part of a month from the day they are due and payable until paid or the rate on an annual basis based on 100% of the adjusted prime rate charged by private sector banks as shall be quoted to large businesses as the same shall be determined by the Board of Governors of the Federal Reserve System during April of the year that the tax is due and payable, and whichever rate is higher shall be added to the tax due and owing. If any taxpayer shall neglect or refuse to make any return or payment as herein required, an additional 10% of the amount of the tax shall be added by the Secretary and collected.
All taxes, interest and penalties received, collected or recovered under the provisions of this ordinance shall be paid into the Treasury of the Township for the use and benefit of the Township.
A. 
Nothing contained in this ordinance shall be construed to empower the Township to levy and collect the taxes hereby imposed on any person or any business, trade, occupation or profession or any portion of any business, trade, occupation or profession not within the taxing power of the Township under the Constitution of the United States and the Constitution and laws of the Commonwealth of Pennsylvania.
B. 
It is not the intention of the Board of Commissioners in adopting this ordinance to impose, nor should any portion of this ordinance be construed to mean that the Board of Commissioners has imposed by adopting this ordinance, a room tax on hotels or motels in the Township of Springfield, or any other tax which is an invalid duplication of any tax imposed by the Commonwealth of Pennsylvania. Rather, all taxes imposed by this ordinance are taxes on the privilege of conducting businesses, trades, occupations and professions, including the business of operating a hotel or motel.
C. 
It is the intent of the Board of Commissioners to impose a tax on the privilege of conducting the business of operating an office and/or residential apartment building, and the renting of space to tenants of such buildings shall be deemed to be the minimum sufficient activity to constitute the conduct of a business under the terms of this ordinance, and such minimum activity shall not be deemed to be merely preserving the asset of the property.
The provisions of this ordinance are severable, and if any of its provisions or exemptions shall be held to be illegal, invalid or unconstitutional, or invalid or unconstitutional as to any part of the period designated herein as the license year, the decisions of any court shall not affect or impair any of the remaining provisions of this ordinance or affect or impair its application as to any other part of said license year. It is hereby declared to be the intent of the Board of Commissioners that this ordinance would have been adopted if such illegal, invalid or unconstitutional provision or exemption had not been included herein.
Any person, as defined in this ordinance, or any officer, agent, servant or employee thereof who shall fail, neglect or refuse to comply with any of the terms or provisions of this ordinance shall, upon conviction thereof before a District Justice, be sentenced to pay a fine or penalty of $300 and costs of prosecution for each offense, to be collected as like fines or penalties and costs are now by law collectible. The fine or penalty imposed by this section shall be in addition to any other penalty imposed by this ordinance.
Nothing in this ordinance shall be construed to affect any suit or proceeding pending in any court, or any rights acquired or liability incurred, or any cause or causes of action acquired or existing prior to its adoption, nor shall any just or legal right or remedy of any character be lost, impaired or affected by this ordinance.
A. 
This ordinance shall take effect and be in force from and after its approval as required by law.
B. 
In the event that this ordinance takes effect after the beginning of a tax year, the tax imposed by § 129-56 hereof shall be imposed on the gross receipts for that portion of the tax year commencing with the effective date of this ordinance, and the estimated gross receipts determined under §§ 129-58A, B and C of this ordinance shall be apportioned accordingly.
This ordinance has been adopted under the authority of the Local Tax Enabling Act of the General Assembly of the Commonwealth of Pennsylvania, approved December 31, 1965, P.L. 1257,[1] as amended.
[1]
Editor's Note: See 53 P.S. § 6901 et seq.