PRINTER'S NO. 316
No. 283 Session of 1983
INTRODUCED BY LASHINGER, J. L. WRIGHT, REBER, MADIGAN, PRATT AND
CAWLEY, FEBRUARY 16, 1983
REFERRED TO COMMITTEE ON FINANCE, FEBRUARY 16, 1983
AN ACT
1 Amending the act of December 31, 1965 (P.L.1257, No.511),
2 entitled "An act empowering cities of the second class,
3 cities of the second class A, cities of the third class,
4 boroughs, towns, townships of the first class, townships of
5 the second class, school districts of the second class,
6 school districts of the third class and school districts of
7 the fourth class including independent school districts, to
8 levy, assess, collect or to provide for the levying,
9 assessment and collection of certain taxes subject to maximum
10 limitations for general revenue purposes; authorizing the
11 establishment of bureaus and the appointment and compensation
12 of officers, agencies and employes to assess and collect such
13 taxes; providing for joint collection of certain taxes,
14 prescribing certain definitions and other provisions for
15 taxes levied and assessed upon earned income, providing for
16 annual audits and for collection of delinquent taxes, and
17 permitting and requiring penalties to be imposed and
18 enforced, including penalties for disclosure of confidential
19 information, providing an appeal from the ordinance or
20 resolution levying such taxes to the court of quarter
21 sessions and to the Supreme Court and Superior Court,"
22 repealing occupation taxes based on a percentage, millage or
23 flat rate basis; repealing per capita taxes; further
24 providing for credits to and deductions from taxes owed to
25 political subdivisions other than the political subdivision
26 of residence; and making editorial changes and repeals.
27 The General Assembly of the Commonwealth of Pennsylvania
28 hereby enacts as follows:
29 Section 1. The introductory paragraph and clauses (4), (9)
1 and (10) of section 2 of the act of December 31, 1965 (P.L.1257,
2 No.511), known as The Local Tax Enabling Act, the introductory
3 paragraph amended November 26, 1982 (P.L.763, No.217), are
4 amended and clauses are added to read:
5 Section 2. Delegation of Taxing Powers and Restrictions
6 Thereon.--The duly constituted authorities of the following
7 political subdivisions, cities of the second class, cities of
8 the second class A, cities of the third class, boroughs, towns,
9 townships of the first class, townships of the second class,
10 school districts of the second class, school districts of the
11 third class, and school districts of the fourth class, in all
12 cases including independent school districts, may, in their
13 discretion, by ordinance or resolution, for general revenue
14 purposes, levy, assess and collect or provide for the levying,
15 assessment and collection of such taxes as they shall determine
16 on persons, transactions, [occupations,] privileges, subjects
17 and personal property within the limits of such political
18 subdivisions, and upon the transfer of real property, or of any
19 interest in real property, situate within the political
20 subdivision levying and assessing the tax, regardless of where
21 the instruments making the transfers are made, executed or
22 delivered or where the actual settlements on such transfer take
23 place. The taxing authority may provide that the transferee
24 shall remain liable for any unpaid realty transfer taxes imposed
25 by virtue of this act. Each local taxing authority may, by
26 ordinance or resolution, exempt any person whose total income
27 from all sources is less than five thousand dollars ($5,000) per
28 annum from the [per capita or similar head tax, occupation tax
29 and occupational privilege] municipal services tax, or earned
30 income tax, or any portion thereof, and may adopt regulations
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1 for the processing of claims for exemptions. Such local
2 authorities shall not have authority by virtue of this act:
3 * * *
4 (4) To levy, assess and collect a tax on goods and articles
5 manufactured in such political subdivision or on the by-products
6 of manufacture, or on minerals, timber, natural resources and
7 farm products produced in such political subdivision or on the
8 preparation or processing thereof for use or market, or on any
9 privilege, act or transaction related to the business of
10 manufacturing, the production, preparation or processing of
11 minerals, timber and natural resources, or farm products, by
12 manufacturers, by producers and by farmers with respect to the
13 goods, articles and products of their own manufacture,
14 production or growth, or on any privilege, act or transaction
15 relating to the business of processing by-products of
16 manufacture, or on the transportation, loading, unloading or
17 dumping or storage of such goods, articles, products or by-
18 products; except that local authorities may levy, assess and
19 collect taxes on the [occupation, occupational privilege, per
20 capita and] earned income or net profits or for municipal
21 services of natural persons engaged in the above activities
22 whether doing business as individual proprietorship or as
23 members of partnerships or other associations;
24 * * *
25 (9) To levy, assess or collect any tax on individuals for
26 the privilege of engaging in an occupation [(occupational
27 privilege tax)] except that [such] a municipal services tax may
28 be levied, assessed and collected but only by the [political
29 subdivision] city, borough, town or township of the taxpayer's
30 place of employment.
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1 Payment of any [occupational privilege] municipal services
2 tax to any [political subdivision] city, borough, town or
3 township by any person pursuant to an ordinance or resolution
4 passed or adopted under the authority of this act shall be
5 limited to [ten dollars ($10)] twenty-five dollars ($25) on each
6 person for each calendar year.
7 The situs of [such] the municipal services tax shall be the
8 place of employment, but, in the event a person is engaged in
9 more than one occupation, or an occupation which requires his
10 working in more than one political subdivision during the
11 calendar year, the priority of claim to collect such
12 [occupational privilege] municipal services tax shall be in the
13 following order: first, the [political subdivision] city,
14 borough, town or township in which a person maintains his
15 principal office or is principally employed; second, the
16 [political subdivision] city, borough, town or township in which
17 the person resides and works, if such a tax is levied by that
18 [political subdivision] city, borough, town or township; third,
19 the [political subdivision] city, borough, town or township in
20 which a person is employed and which imposes the tax nearest in
21 miles to the person's home. The place of employment shall be
22 determined as of the day the taxpayer first becomes subject to
23 the tax during the calendar year.
24 It is the intent of this provision that no person shall pay
25 more than [ten dollars ($10)] twenty-five dollars ($25) in any
26 calendar year as [an occupational privilege] a municipal
27 services tax irrespective of the number of [political
28 subdivisions] cities, boroughs, towns or townships within which
29 such person may be employed within any given calendar year.
30 In case of dispute, a tax receipt of the taxing authority for
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1 that calendar year declaring that the taxpayer has made prior
2 payment which constitutes prima facie certification of payment
3 to all other [political subdivisions] cities, boroughs, towns or
4 townships.
5 [(10) To levy, assess or collect a tax on admissions to
6 motion picture theatres: Provided, That this limitation (10)
7 shall not apply to cities of the second class.]
8 * * *
9 (12) To levy, assess or collect any tax on occupations using
10 a millage or percentage of any value, a flat rate or any
11 arbitrary value placed on various occupations as a basis for
12 such tax.
13 (13) To levy, assess or collect any per capita or similar
14 head tax.
15 Section 2. Section 8 of the act, amended December 27, 1967
16 (P.L.984, No.404), is amended to read:
17 Section 8. Limitations on Rates of Specific Taxes.--No taxes
18 levied under the provisions of this act shall be levied by any
19 political subdivision on the following subjects exceeding the
20 rates specified in this section:
21 [(1) Per capita, poll or other similar head taxes, ten
22 dollars ($10).]
23 (2) On each dollar of the whole volume of business
24 transacted by wholesale dealers in goods, wares and merchandise,
25 one mill, by retail dealers in goods, wares and merchandise and
26 by proprietors of restaurants or other places where food, drink
27 and refreshments are served, one and one-half mills; except in
28 cities of the second class, where rates shall not exceed one
29 mill on wholesale dealers and two mills on retail dealers and
30 proprietors. No such tax shall be levied on the dollar volume of
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1 business transacted by wholesale and retail dealers derived from
2 the resale of goods, wares and merchandise, taken by any dealer
3 as a trade-in or as part payment for other goods, wares and
4 merchandise, except to the extent that the resale price exceeds
5 the trade-in allowance.
6 (3) On wages, salaries, commissions and other earned income
7 of individuals, one percent for cities, boroughs, towns and
8 townships, and two percent for school districts of the second
9 class, school districts of the third class and school districts
10 of the fourth class including independent school districts,
11 notwithstanding the general provisions of this section relative
12 to rate sharing between political subdivisions.
13 (4) On retail sales involving the transfer of title or
14 possession of tangible personal property, two percent.
15 (5) On the transfer of real property, one percent.
16 (6) On admissions to places of amusement, athletic events
17 and the like, and on motion picture theatres [in cities of the
18 second class], ten percent.
19 [(7) Flat rate occupation taxes not using a millage or
20 percentage as a basis, ten dollars ($10).]
21 (8) [Occupational privilege taxes, ten dollars ($10).]
22 Municipal services tax, twenty-five dollars ($25).
23 Except as otherwise provided in this act, at any time two
24 political subdivisions shall impose any one of the above taxes
25 on the same person, subject, business, transaction or privilege,
26 located within both such political subdivisions, during the same
27 year or part of the same year, under the authority of this act
28 then the tax levied by a political subdivision under the
29 authority of this act shall, during the time such duplication of
30 the tax exists, except as hereinafter otherwise provided, be
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1 one-half of the rate, as above limited, and such one-half rate
2 shall become effective by virtue of the requirements of this act
3 from the day such duplication becomes effective without any
4 action on the part of the political subdivision imposing the tax
5 under the authority of this act. When any one of the above taxes
6 has been levied under the provisions of this act by one
7 political subdivision and a subsequent levy is made either for
8 the first time or is revived after a lapse of time by another
9 political subdivision on the same person, subject, business,
10 transaction or privilege at a rate that would make the combined
11 levies exceed the limit allowed by this subdivision, the tax of
12 the second political subdivision shall not become effective
13 until the end of the fiscal year for which the prior tax was
14 levied, unless:
15 (1) Notice indicating its intention to make such levy is
16 given to the first taxing body by the second taxing body as
17 follows: (i) when the notice is given to a school district it
18 shall be given at least forty-five days prior to the last day
19 fixed by law for the levy of its school taxes; (ii) when given
20 to any other political subdivision it shall be prior to the
21 first day of January immediately preceding, or if a last day for
22 the adoption of the budget is fixed by law, at least forty-five
23 days prior to such last day; or
24 (2) Unless the first taxing body shall indicate by
25 appropriate resolution its desire to waive notice requirements
26 in which case the levy of the second taxing body shall become
27 effective on such date as may be agreed upon by the two taxing
28 bodies.
29 It is the intent and purpose of this provision to limit rates
30 of taxes referred to in this section so that the entire burden
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1 of one tax on a person, subject, business, transaction or
2 privilege shall not exceed the limitations prescribed in this
3 section: Provided, however, That any two political subdivisions
4 which impose any one of the above taxes, on the same person,
5 subject, business, transaction or privilege during the same year
6 or part of the same year may agree among themselves that,
7 instead of limiting their respective rates to one-half of the
8 maximum rate herein provided, they will impose respectively
9 different rates, the total of which shall not exceed the maximum
10 rate as above permitted.
11 [Notwithstanding the provisions of this section, any city of
12 the second class A may enact a tax upon wages, salaries,
13 commissions and other earned income of individuals resident
14 therein, not exceeding one percent, even though a school
15 district levies a similar tax on the same person provided that
16 the aggregate of both taxes does not exceed two percent.]
17 Section 3. Section 9 of the act, amended December 12, 1968
18 (P.L.1203, No.377), is amended to read:
19 Section 9. Register for Earned Income and [Occupational
20 Privilege] Municipal Services Taxes.--It shall be the duty of
21 the Department of Community Affairs to have available an
22 official continuing register supplemented annually of all earned
23 income and [occupational privilege] municipal services taxes
24 levied under authority of this act. The register and its
25 supplements, hereinafter referred to as the register, shall list
26 such jurisdictions levying earned income and/or [occupational
27 privilege] municipal services taxes, the rate of the tax as
28 stated in the tax levying ordinance or resolution, and the
29 effective rate on resident and nonresident taxpayers, if
30 different from the stated rate because of a coterminous levy,
19830H0283B0316 - 8 -
1 the name and address of the officer responsible for
2 administering the collection of the tax and from whom
3 information, forms for reporting and copies of rules and
4 regulations are available. With each jurisdiction listed, all
5 jurisdictions making coterminous levies shall also be noted and
6 their tax rates shown.
7 Information for the register shall be furnished by the
8 secretary of each taxing body to the Department of Community
9 Affairs in such manner and on such forms as the Department of
10 Community Affairs may prescribe. The information must be
11 received by the Department of Community Affairs by certified
12 mail not later than May 31 of each year to show new tax
13 enactments, repeals and changes. Failure to comply with this
14 date for filing may result in the omission of the levy from the
15 register for that year. Failure of the Department of Community
16 Affairs to receive information of taxes continued without change
17 may be construed by the department to mean that the information
18 contained in the previous register remains in force.
19 The Department of Community Affairs shall have the register
20 with such annual supplements as may be required by new tax
21 enactments, repeals or changes available upon request not later
22 than July 1 of each year. The effective period for each register
23 shall be from July 1 of the year in which it is issued to June
24 30 of the following year.
25 Employers shall not be required by any local ordinance to
26 withhold from the wages, salaries, commissions or other
27 compensation of their employes any tax imposed under the
28 provisions of this act, which is not listed in the register, or
29 make reports of wages, salaries, commissions or other
30 compensation in connection with taxes not so listed: Provided,
19830H0283B0316 - 9 -
1 That if the register is not available by July 1, the register of
2 the previous year shall continue temporarily in effect for an
3 additional period not to exceed one year. The provisions of this
4 section shall not affect the liability of any taxpayer for taxes
5 lawfully imposed under this act.
6 Ordinances or resolutions imposing earned income or
7 [occupational privilege] municipal services taxes under
8 authority of this act may contain provisions requiring employers
9 doing business within the jurisdiction of the political
10 subdivision imposing the tax to withhold the tax from the
11 compensation of those of their employes who are subject to the
12 tax: Provided, That no employer shall be held liable for failure
13 to withhold earned income taxes or for the payment of such
14 withheld tax money to a political subdivision other than the
15 political subdivision entitled to receive such money if such
16 failure to withhold or such incorrect transmittal of withheld
17 taxes arises from incorrect information as to the employe's
18 place of residence submitted by the employe: And provided
19 further, That employers shall not be required by any local
20 ordinance to withhold from compensation for any one of their
21 employes for the [occupational privilege] municipal services tax
22 more than one time in any fiscal period: And provided further,
23 That the [occupational privilege] municipal services tax shall
24 be applicable to employment in the period beginning January 1,
25 of the current year and ending December 31 of the current year,
26 except that taxes imposed for the first time shall become
27 effective from the date specified in the ordinance or
28 resolution, and the tax shall continue in force on a calendar
29 year basis.
30 Section 4. Section 14 of the act, amended October 26, 1972
19830H0283B0316 - 10 -
1 (P.L.1043, No.261), is amended to read:
2 Section 14. Payment of Tax to Other Political Subdivisions
3 or States as Credit or Deduction; Withholding Tax.--[Payment of
4 any tax to any political subdivision pursuant to an ordinance or
5 resolution passed or adopted prior to the effective date of this
6 act shall be credited to and allowed as a deduction from the
7 liability of taxpayers for any like tax respectively on
8 salaries, wages, commissions, other compensation or on net
9 profits of businesses, professions or other activities and for
10 any income tax imposed by any other political subdivision of
11 this Commonwealth under the authority of this act.]
12 Payment of any tax on salaries, wages, commissions, other
13 compensation or on net profits of business, professions or other
14 activities to a political subdivision by residents thereof
15 pursuant to an ordinance or resolution passed or adopted under
16 the authority of this act shall be credited to and allowed as a
17 deduction from the liability of such persons for any other like
18 tax respectively on salaries, wages, commissions, other
19 compensation or on net profits of businesses, professions or
20 other activities imposed by any other political subdivision of
21 this Commonwealth under the authority of this act.
22 [Payment] Fifty percent of any tax paid on income to any
23 political subdivision by residents thereof pursuant to an
24 ordinance or resolution passed or adopted under the authority of
25 this act shall, to the extent that such income includes
26 salaries, wages, commissions, other compensation or net profits
27 of businesses, professions or other activities, but in such
28 proportion as hereinafter set forth, be credited to and allowed
29 as a deduction from the liability of such persons for any other
30 tax on salaries, wages, commissions, other compensation or on
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1 net profits of businesses, professions, or other activities
2 imposed by any other political subdivision of this Commonwealth
3 under the authority of [this act.] the act of August 5, 1932
4 (Sp.Sess., P.L.45, No.45), entitled, as amended, "An act
5 empowering cities of the first class to levy, assess and
6 collect, or to provide for the levying, assessment and
7 collection of, certain additional taxes for general revenue
8 purposes; authorizing the establishment of bureaus, and the
9 appointment and compensation of officers and employes to assess
10 and collect such taxes; and permitting penalties to be imposed
11 and enforced."
12 Payment of any tax on income to any state or to any political
13 subdivision thereof by residents thereof, pursuant to any State
14 or local law, may, at the discretion of the Pennsylvania
15 political subdivision imposing such tax, to the extent that such
16 income includes salaries, wages, commissions, or other
17 compensation or net profits of businesses, professions or other
18 activities but in such proportions as hereinafter set forth, be
19 credited to and allowed as a deduction from the liability of
20 such person for any other tax on salaries, wages, commissions,
21 other compensation or net profits of businesses, professions or
22 other activities imposed by any political subdivision of this
23 Commonwealth under the authority of this act, if residents of
24 the political subdivision in Pennsylvania receive credits and
25 deductions of a similar kind to a like degree from the tax on
26 income imposed by the other state or political subdivision
27 thereof.
28 Payment of any tax on income to any State other than
29 Pennsylvania or to any political subdivision located outside the
30 boundaries of this Commonwealth, by residents of a political
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1 subdivision located in Pennsylvania shall, to the extent that
2 such income includes salaries, wages, commissions, or other
3 compensation or net profits of businesses, professions or other
4 activities but in such proportions as hereinafter set forth, be
5 credited to and allowed as a deduction from the liability of
6 such person for any other tax on salaries, wages, commissions,
7 other compensation or net profits of businesses, professions or
8 other activities imposed by any political subdivision of this
9 Commonwealth under the authority of this act.
10 Where a credit or a deduction is allowable in any of the
11 several cases hereinabove provided, it shall be allowed in
12 proportion to the concurrent periods for which taxes are imposed
13 by the other state or respective political subdivisions, but not
14 in excess of the amount previously paid for a concurrent period.
15 No credit or deduction shall be allowed against any tax on
16 earned income imposed under authority of this act to the extent
17 of the amount of credit or deduction taken for the same period
18 by the taxpayer against any income tax imposed by the
19 Commonwealth of Pennsylvania under section 314 of the act of
20 March 4, 1971 (P.L.6, No.2) known as the "Tax Reform Code of
21 1971," on account of taxes imposed on income by other states or
22 by their political subdivisions.
23 In the case of tax paid on income to any state other than
24 Pennsylvania or to any political subdivision located outside the
25 boundaries of the Commonwealth by residents of a political
26 subdivision located in Pennsylvania, the credit provided in this
27 section shall not exceed the proportion of the income tax
28 otherwise due that the amount of the taxpayer's income subject
29 to tax by the other jurisdiction bears to his entire taxable
30 income.
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1 Section 5. Section 17 of the act is amended to read:
2 Section 17. Tax Limitations.--(a) Over-all Limit of Tax
3 Revenues.--The aggregate amount of all taxes imposed by any
4 political subdivision under this section and in effect during
5 any fiscal year shall not exceed an amount equal to the product
6 obtained by multiplying the latest total market valuation of
7 real estate in such political subdivision, as determined by the
8 board for the assessment and revision of taxes or any similar
9 board established by the assessment laws which determines market
10 values of real estate within the political subdivision, by
11 [twelve] eighteen mills. In school districts of the second
12 class, third class and fourth class and in any political
13 subdivision within a county where no market values of real
14 estate have been determined by the board for the assessment and
15 revision of taxes, or any similar board, the aggregate amount of
16 all taxes imposed under this section and in effect during any
17 fiscal year shall not exceed an amount equal to the product
18 obtained by multiplying the latest total market valuation of
19 real estate in such school district, or other political
20 subdivision, as certified by the State Tax Equalization Board,
21 by [twelve] eighteen mills. In school districts of the third and
22 fourth class, taxes imposed on sales involving the transfer of
23 real property shall not be included in computing the aggregate
24 amount of taxes for any fiscal year in which one hundred or more
25 new homes or other major improvements on real estate were
26 constructed in the school district.
27 The aggregate amount of all taxes imposed by any independent
28 school district under this section during any fiscal year shall
29 not exceed an amount equal to the product obtained by
30 multiplying the latest total valuation of real estate in such
19830H0283B0316 - 14 -
1 district by [fifteen] eighteen mills.
2 (b) Reduction of Rates Where Taxes Exceed Limitations; Use
3 of Excess Moneys.--If, during any fiscal year, it shall appear
4 that the aggregate revenues from taxes levied and collected
5 under the authority of this act will materially exceed the
6 limitations imposed by this act, the political subdivision shall
7 forthwith reduce the rate or rates of such tax or taxes to stay
8 within such limitations as nearly as may be. Any one or more
9 persons liable for the payment of taxes levied and collected
10 under the authority of this act shall have the right to complain
11 to the court of common pleas of the county in an action of
12 mandamus to compel compliance with the preceding provision of
13 this subsection. Tax moneys levied and collected in any fiscal
14 year in excess of the limitations imposed by this act shall not
15 be expended during such year, but shall be deposited in a
16 separate account in the treasury of the political subdivision
17 for expenditure in the following fiscal year. The rates of taxes
18 imposed under this act for the following fiscal year shall be so
19 fixed that the revenues thereby produced, together with the
20 excess tax moneys on deposit as aforesaid, shall not exceed the
21 limitations imposed by this act.
22 During the first and each subsequent calendar or fiscal year
23 for which local earned income tax rates are increased, any
24 political subdivision may raise the rate of its earned income
25 tax provided that such political subdivision simultaneously
26 reduces or eliminates another tax or taxes so that the total of
27 all other taxes collected by the taxing district are reduced by
28 at least ninety percent of the estimated increase in collection
29 attributable to the increased earned income tax rate. Any time
30 any tax rate is lowered pursuant to this paragraph such rate
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1 shall not be thereafter raised for a period of two years and
2 shall not again equal the former rate for a period of seven
3 years unless the political subdivision shall have submitted such
4 tax rate for the approval of the electorate in accordance with
5 the procedures provided by law for the approval of the incurring
6 of indebtedness by referendum.
7 Section 6. Section 19 of the act, amended October 4, 1978
8 (P.L.930, No.177), is amended to read:
9 Section 19. Collection of Delinquent [Per Capita,
10 Occupation, Occupational Privilege and] Earned Income and
11 Municipal Services Taxes from Employers, etc.--The tax collector
12 shall demand, receive and collect from all corporations,
13 political subdivisions, associations, companies, firms or
14 individuals, employing persons owing delinquent [per capita, or
15 occupation, occupational privilege and] earned income and
16 municipal services taxes, or whose spouse owes delinquent [per
17 capita, occupation, occupational privilege and] earned income
18 and municipal services taxes, or having in possession unpaid
19 commissions or earnings belonging to any person or persons owing
20 delinquent [per capita, occupation, occupational privilege and]
21 earned income and municipal services taxes, or whose spouse owes
22 delinquent [per capita, occupation, occupational privilege and]
23 earned income and municipal services taxes, upon the
24 presentation of a written notice and demand certifying that the
25 information contained therein is true and correct and containing
26 the name of the taxable or the spouse thereof and the amount of
27 tax due. Upon the presentation of such written notice and
28 demand, it shall be the duty of any such corporation, political
29 subdivision, association, company, firm or individual to deduct
30 from the wages, commissions or earnings of such individual
19830H0283B0316 - 16 -
1 employes, then owing or that shall within sixty days thereafter
2 become due, or from any unpaid commissions or earnings of any
3 such taxable in its or his possession, or that shall within
4 sixty days thereafter come into its or his possession, a sum
5 sufficient to pay the respective amount of the delinquent [per
6 capita, occupation, occupational privilege and] earned income
7 and municipal services taxes and costs, shown upon the written
8 notice or demand, and to pay the same to the tax collector of
9 the taxing district in which such delinquent tax was levied
10 within sixty days after such notice shall have been given. No
11 more than ten percent of the wages, commissions or earnings of
12 the delinquent taxpayer or spouse thereof may be deducted at any
13 one time for delinquent [per capita, occupation, occupational
14 privilege and] earned income and municipal services taxes and
15 costs. Such corporation, political subdivision, association,
16 firm or individual shall be entitled to deduct from the moneys
17 collected from each employe the costs incurred from the extra
18 bookkeeping necessary to record such transactions, not exceeding
19 two percent of the amount of money so collected and paid over to
20 the tax collector. Upon the failure of any such corporation,
21 political subdivision, association, company, firm or individual
22 to deduct the amount of such taxes or to pay the same over to
23 the tax collector, less the cost of bookkeeping involved in such
24 transaction, as herein provided, within the time hereby
25 required, such corporation, political subdivision, association,
26 company, firm or individual shall forfeit and pay the amount of
27 such tax for each such taxable whose taxes are not withheld and
28 paid over, or that are withheld and not paid over together with
29 a penalty of ten percent added thereto, to be recovered by an
30 action of assumpsit in a suit to be instituted by the tax
19830H0283B0316 - 17 -
1 collector, or by the proper authorities of the taxing district,
2 as debts of like amount are now by law recoverable, except that
3 such person shall not have the benefit of any stay of execution
4 or exemption law. The tax collector shall not proceed against a
5 spouse or his employer until he has pursued collection remedies
6 against the delinquent taxpayer and his employer under this
7 section.
8 Section 7. Section 20 of the act is amended to read:
9 Section 20. Collection of Delinquent [Per Capita,
10 Occupation, Occupational Privilege and] Earned Income and
11 Municipal Services Taxes from the Commonwealth.--Upon
12 presentation of a written notice and demand under oath or
13 affirmation, to the State Treasurer or any other fiscal officer
14 of the State, or its boards, authorities, agencies or
15 commissions, it shall be the duty of the treasurer or officer to
16 deduct from the wages then owing, or that shall within sixty
17 days thereafter become due to any employe, a sum sufficient to
18 pay the respective amount of the delinquent [per capita,
19 occupation, occupational privilege and] earned income and
20 municipal services taxes and costs shown on the written notice.
21 The same shall be paid to the tax collector of the taxing
22 district in which said delinquent tax was levied within sixty
23 days after such notice shall have been given.
24 Section 8. During the first year after enactment of this
25 act, the credit added by section 14 of the act shall be
26 applicable only to residents of political subdivisions which
27 previously levied the earned income tax.
28 Section 9. (a) The following acts or parts of acts, their
29 amendments and supplements, are repealed insofar as they relate
30 to the levy, assessment and collection of per capita, residence
19830H0283B0316 - 18 -
1 or occupation taxes:
2 Section 2531 of the act of June 23, 1931 (P.L.932, No.317),
3 reenacted and amended June 28, 1951 (P.L.662, No.164), known as
4 The Third Class City Code.
5 Section 1709 of the act of June 24, 1931 (P.L.1206, No.331),
6 reenacted and amended May 27, 1949 (P.L.1955, No.569), known as
7 The First Class Township Code.
8 Act of June 26, 1931 (P.L.1379, No.348), entitled, as
9 amended, "An act creating in counties of the second A and third
10 class a board for the assessment and revision of taxes;
11 providing for the appointment of the members of such board by
12 the county commissioners; providing for their salaries, payable
13 by the county; abolishing existing boards; defining the powers
14 and duties of such board; regulating the assessment of persons,
15 property, and occupations for county, borough, town, township,
16 school, and poor purposes; authorizing the appointment of
17 subordinate assessors, a solicitor, engineers, and clerks;
18 providing for their compensation, payable by such counties;
19 abolishing the office of ward, borough, and township assessors,
20 so far as the making of assessments and valuations for taxation
21 is concerned; and providing for the acceptance of this act by
22 cities."
23 Section 905 of the act of May 1, 1933 (P.L.103, No.69),
24 reenacted and amended July 10, 1947 (P.L.1481, No.567), known as
25 The Second Class Township Code.
26 Sections 201(b) and 202 and Articles IV and V of the act of
27 May 22, 1933 (P.L.853, No.155), known as The General County
28 Assessment Law.
29 Act of June 21, 1939 (P.L.626, No.294), entitled "An act
30 providing for and regulating the assessment and valuation of all
19830H0283B0316 - 19 -
1 subjects of taxation in counties of the second class; creating
2 and prescribing the powers and duties of a Board of Property
3 Assessment, Appeals and Review; imposing duties on certain
4 county and city officers; abolishing the board for the
5 assessment and revision of taxes in such counties; and
6 prescribing penalties."
7 Sections 201(b) and 202(d) and Articles VI and VII of the act
8 of May 21, 1943 (P.L.571, No.254), known as The Fourth to Eighth
9 Class County Assessment Law.
10 Sections 20, 20.1 and 21 of the act of May 25, 1945
11 (P.L.1050, No.394), known as the Local Tax Collection Law.
12 Sections 675, 676, 677, 679 and 680 of the act of March 10,
13 1949 (P.L.30, No.14), known as the Public School Code of 1949.
14 Act of July 19, 1951 (P.L.1026, No.216), entitled, as
15 amended, "An act authorizing political subdivisions, other than
16 cities of the first and second classes and school districts of
17 the first class and first class A, to appoint and pay the
18 compensation of employes to make an assessment list of all
19 inhabitants or residents thereof over eighteen years of age, for
20 taxation purposes."
21 Section 1970 of the act of July 28, 1953 (P.L.723, No.230),
22 known as the Second Class County Code.
23 Section 1770 of the act of August 9, 1955 (P.L.323, No.130),
24 known as The County Code.
25 Section 1302 of the act of February 1, 1966 (1965 P.L.1656,
26 No.581), known as The Borough Code.
27 (b) All acts and parts of acts are repealed insofar as they
28 are inconsistent with this act.
29 Section 10. This act shall take effect January 1, 1984 for
30 political subdivisions operating on a calendar year basis, and
19830H0283B0316 - 20 -
1 on the first day of the fiscal year beginning in the calendar
2 year 1984 for political subdivisions operating on a fiscal year
3 basis.
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