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PART II GENERAL LEGISLATION: Chapter 152, TAXATION

[HISTORY: Adopted by the Board of Commissioners of the Township of Abington as indicated in article histories. Amendments noted where applicable.]

GENERAL REFERENCES

Real estate registry -- See Ch. 125.

ARTICLE I, Mercantile License Tax [Adopted 11-13-1969 by Ord. No. 1266]

152-1. Definitions.

The following words and phrases as used in this article shall have the meanings ascribed to them in this section, unless the context clearly indicates a different meaning:

COLLECTOR [Repealed 2-12-1987 by Ord. No. 1623]

GROSS VOLUME OF BUSINESS -- Includes both cash and credit transactions and trade-in transactions as provided by law.

LICENSE YEAR -- The twelve-month period beginning the first day of January.

PERSON* -- Any individual, partnership, limited partnership, association or corporation (except such as are wholly exempt from taxation under the Local Tax Enabling Act approved December 31, 1965, P.L. 1257, as amendedEN).

RETAIL DEALER or RETAIL VENDOR* -- Any person who is a dealer in or a vendor of goods, wares and merchandise and who is not a wholesale dealer or vendor or a wholesale and retail dealer or vendor as hereinafter defined.

SECRETARY -- The Secretary of the Township of Abington.

TEMPORARY, SEASONAL OR ITINERANT BUSINESS -- Any business that is conducted at one location for less than sixty consecutive calendar days.

TOWNSHIP -- The Township of Abington.

TREASURER -- The duly elected Treasurer of the Township of Abington. [Added 2-12-1987 by Ord. No. 1623]

WHOLESALE AND RETAIL DEALER or WHOLESALE AND RETAIL VENDOR* -- Any person who sells to dealers in or vendors of goods, wares and merchandise and to other persons.

WHOLESALE DEALER or WHOLESALE VENDOR* -- Any person who sells to dealers in or vendors of goods, wares and merchandise and to no other persons.

* NOTE: These terms shall not include nonprofit corporations or associations organized solely and exclusively for religious, charitable or educational purposes and not conducting any regular or established business competing commercially with any other person subject to the tax herein imposed, nor agencies of the Government of the United States or of the Commonwealth of Pennsylvania, nor any person vending or disposing of articles of such person's own manufacture for shipment or delivery from the place of the manufacture thereof, nor any farmer vending or disposing of such farmer's own produce, nor other transaction exempted by law.

152-2. License. [Amended 12-10-1970 by Ord. No. 1293; 2-12-1987 by Ord. No. 1623]

For 1987 and each license year thereafter, every person desiring to continue to engage in or hereafter to begin to engage in the business of wholesale or retail, or wholesale and retail, vendor or dealer in goods, wares and merchandise, and any person conducting a restaurant or other place where food, drink or refreshments are sold in the township, shall, on or before the 15th day of the license year or prior to commencing business in any such license year, apply for and procure a mercantile license for each place of business in the township, and, if such person has no actual place of business within the township, then one license from the Secretary of the township, who shall issue the same upon payment of a fee of $10, for a wholesale and retail license for one such place of business or, if more than one, for each of such person's places of business in the township for such license year. Each application for a license shall be signed by the applicant, if a natural person, 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. Such licenses shall not be assignable and shall be conspicuously posted at each place of business within the township at all times. In the case of loss, defacement or destruction of any license, the person to whom the license was issued shall apply to the Secretary for a new license, for which a fee of $1 shall be charged.

152-3. Tax.

A. A tax to provide revenue for general township purposes is hereby levied, assessed and imposed upon every person engaging in any of the following occupations or businesses in the township at the rate hereinafter set forth, and such persons shall pay a mercantile license tax for the license year at such rate, subject to the exemptions hereinafter set forth; provided, however, that in no event shall the annual mercantile license tax herein imposed be less than $10 for each of the places of business of every such person:

(1) Wholesale vendor or dealer in goods, wares and merchandise of every kind, at the rate of one mill on each dollar of the gross volume of business transacted by such person during the license year.

(2) Retail vendor or dealer in goods, wares and merchandise of every kind, and all persons engaged in conducting restaurants or other places where food, drink or refreshments are sold, at the rate of 11/2 mills on each dollar of the gross volume of business transacted by such person during the license year. [Amended 12-26-1974 by Ord. No. 1390]

(3) Wholesale and retail vendor or dealer in goods, wares and merchandise of every kind, at the rate of one mill on each dollar of the gross volume of wholesale business transacted and 11/2 mills on each dollar of the gross volume of retail business transacted by such person during the license year. [Amended 12-26-1974 by Ord. No. 1390]

B. The tax provided for in Subsections A(1), (2) and (3) of this section shall not be levied on the dollar volume of business transacted by wholesale and/or retail vendors or dealers derived from the resale of goods, wares and merchandise taken by any vendor or dealer as a 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.

C. Any wholesale dealer or wholesale vendor who conducts business within the township may deduct from the tax due the township such tax as if paid by him on those receipts from sales made into another political subdivision where such sales are subject to a gross receipt tax by that political subdivision. In no event shall said deduction exceed the amount of tax that would have been payable to the township had the receipts subject to deduction been based on sales made within the township. [Added 3-13-1980 by Ord. No. 1505]

D. Exemption. The first $2,500 of gross volume of business for each license year commencing after December 31, 1992, shall be exempt from the mercantile license tax. [Added 8-13-1992 by Ord. No. 1716]

152-4. Computation of estimated tax.

A. Every person subject to the payment of the tax hereby imposed who has commenced business at least a full year prior to January 1 of the license year shall compute the gross volume of business upon the actual gross amount of business transacted by such person during the 12 months preceding such January 1.

B. Every person subject to the payment of the tax hereby imposed who has commenced business less than one full year prior to such January 1 shall compute the gross volume of business by multiplying by 12 the monthly average of the actual gross amount of business transacted by such person during the months while engaged in business prior to such January 1.

C. Every person subject to the payment of the tax hereby imposed who commences business subsequent to such January 1 shall compute the gross volume of business for the license year upon the gross volume of business transacted by such person during the first month of business multiplied by the number of months remaining in the license 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 the gross volume of business upon the actual gross amount of business transacted by such person during the license year.

E. At the end of the license year and on or before April 15 of the following year, every person subject to the tax hereby imposed shall make a return to the Secretary of the township of the actual volume of business transacted by the taxpayer during the period for which the taxpayer is subject to the tax. Such final return shall state the amount of the gross volume of business as set forth in the first return, the amount of tax paid at the time of the filing of the first return and the amount of tax due upon the final computation. [Amended 12-10-1970 by Ord. No. 1293; 2-12-1987 by Ord. No. 1623]

152-5. Returns.

Every return as hereinafter required by this article shall be made upon a form furnished by the Secretary. Every person making such return shall certify the correctness thereof under the penalties of perjury.

152-6. First return. [Amended 2-12-1987 by Ord. No. 1623]

A. Every person subject to the tax imposed by this article who has commenced business at least one full year prior to the beginning of the license year shall, on or before the 15th day of April following, file with the Treasurer 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 volume of business transacted by such person during the preceding year and the amount of tax estimated to be due.

B. Every person subject to the tax imposed by this article who has commenced business less than one full year prior to the beginning of the license year shall, on or before the 15th day of April following, file with the Treasurer 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 volume of business transacted by such person during the preceding year and the amount of tax estimated to be due.

C. Every person subject to the tax imposed by this article who commences business subsequent to the beginning of the license year shall, within 40 days from the date of commencing such business, file with the Treasurer 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 volume of business transacted by such person during the first month of business and the amount of tax estimated to be due.

D. Every person subject to the payment of the tax imposed by this article 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 Treasurer a return setting forth such person's name, business and business address and such other information as may be necessary in arriving at the actual gross amount of business transacted by such person during such period and the amount of the tax due.

152-7. Final return. [Amended 12-10-1970 by Ord. No. 1293; 2-12-1987 by Ord. No. 1623]

On or before April 15 of the year following the license year, every person subject to the tax hereby imposed shall make a final return as required by 152-4E.

152-8. Payment of tax.

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.

B. At the time of filing the final return, if the full amount of the tax due by the taxpayer for the license 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.

152-9. Duties of Treasurer. [Amended 2-12-1987 by Ord. No. 1623]

A. It shall be the duty of the Treasurer to collect and receive the fees, taxes, fines and penalties imposed by this article. It shall also be the duty of the Treasurer 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 Treasurer is not satisfied with the return and payment of tax made by any taxpayer or supposed taxpayer under the provisions of this article, the Treasurer 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 within the Treasurer's possession or that shall come into possession, and for this purpose the Treasurer or the deputy or authorized agent of the Treasurer 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 article have been paid. The Treasurer 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 article into effect, and may, in such officer's discretion, require reasonable deposits to be made by licensees who engage in a business which is temporary, seasonal or itinerant by its nature.

C. If any taxpayer or supposed taxpayer shall neglect or refuse to make any return and payment of tax required by this article, or if, as a result of an investigation by the Treasurer, a return is found to be incorrect, the Treasurer shall estimate the tax due by such person and determine the amount due for taxes, penalties and interest thereon.

D. The burden is hereby imposed upon any person, firm or corporation claiming an exemption from the payment of the tax hereby imposed to prove by clear and convincing evidence the legal right to such exemption to the satisfaction of the Treasurer.

E. If the final return of the taxpayer shows an overpayment of the tax by reason of the fact that the gross volume of business as stated in the estimated computation was more than the actual volume of business for the year or by reason of the fact that the taxpayer did not continue to engage in business throughout the year, the Treasurer 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.

F. 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.

152-10. Method of recovery.

All taxes due and unpaid under this article shall be recoverable by the Township Solicitor as other debts due the township are now by law recoverable.

152-11. Interest and penalty. [Amended 2-12-1987 by Ord. No. 1623]

All taxes due under this article shall bear interest at the rate of 1% per month or fractional part of a month from the day they are due and payable until paid. 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 Treasurer and collected.

152-12. Disposition of receipts.

All taxes, interest and penalties received, collected or recovered under the provisions of this article shall be paid into the treasury of the township for the use and benefit of the township.

152-13. Limitations.

Nothing contained in this article shall be construed to empower the township to levy and collect the taxes hereby imposed on any person or any business or any portion of any business not within the taxing power of the township under the Constitution of the United States and the Constitution and laws of the Commonwealth of Pennsylvania.

152-14. Severability.

The provisions of this article 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 article, or affect or impair its application as to any other part of the said license year, and the requirements as to the license shall operate as of the effective date of this article and the computation of tax and payment thereof shall be applied and adjusted accordingly.

152-15. Violations and penalties.

Any person, as defined in this article, 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 article, shall, upon conviction thereof before a District Justice, be sentenced to pay a fine of not less than $25 nor more than $300 and costs of prosecution for each offense, to be collected as other fines and costs are by law collectible, and in default of payment of said fine and costs, the defendant may be sentenced and committed to the township lockup for a period not exceeding five days or to the Montgomery County jail for a period not exceeding 30 days. The fine imposed by this section shall be in addition to any other penalty imposed by any other section of this article.

152-16. Statutory authority. [Added 3-11-1976 by Ord. No. 1420]

This article has been enacted 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, as amended, 53 P.S. 6901 et seq.

ARTICLE II, Business Privilege Tax [Adopted 12-29-1986 by Ord. No. 1622EN]

152-17. Definitions.

The following terms, words or phrases as used in this article shall have the meanings set forth below unless the context clearly indicates a different meaning:

BUSINESS, TRADE, OCCUPATION and PROFESSION -- Carrying on or exercising, whether for gain or profit or otherwise, within the township any trade, business, including but not limited to financial business as herein defined, profession, vocation, service, construction, communications or commercial activity or rendering services from or attributable to a bona fide office or place of business within the township. Such term shall include, without being limited to service or services rendered by any person as enumerated below:

Accountants

Advertising and public relations agencies

Agents

Apartment and rooming house operators

Architects

Barbershop operators

Beauty shop operators

Bricklaying

Brokers

Cable television operators

Carpentry

Chemists

Chiropractors

Cleaning, pressing and dyeing establishment operators

Commission merchants

Consultants

Contractors or subcontractors engaged in the alteration, building, construction, maintenance or repair of any kind of real or personal property

Dentists

Electrical

Employment agencies

Engineers

Equipment repair

Factors

Funeral directors

Health services

Heat and ventilating

Hotel operators

Insurance brokers and agents

Laundry operators

Lawyers

Lessor's leasing of real and tangible personal property for commercial or residential purposes, except only the leasing of a single personal residence within the township for not more than a one-year term by a person domiciled within the township

Management services of any kind pertaining to any real or personal property situate within the township

Manufacturer's representatives

Motel operators

Nurses

Operators for profit of hospitals and operators for profit of nursing homes, extended-care facilities and homes for the elderly

Operators of places of amusement providing either passive or active recreation

Optometrists

Osteopaths

Parking lot and garage operators

Pharmacists

Physicians

Plastering, drywall or insulation

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

Podiatrists

Promoters

Psychologists

Public accountants

Purveyors of health services

Real estate brokers

Real estate developers

Repairers of electrical, electronic and automotive machinery or equipment or other machinery and equipment and other wares and merchandise

Shoe repair shop operators

Social workers

Surgeons

Tailors

Teachers

Therapists

Travel agents

Upholsterers

Vending machine operators

Ventilating

Veterinarians

Warehouse operators

COLLECTOR -- The License Tax Officer of the Township of Abington or his duly authorized or deputized agents.

FINANCIAL BUSINESS -- Services and transactions rendered by banks, bankers, trust companies, credit and investment banking companies, holding companies, dealers or brokers in bonds, credits, commercial paper, insurance, money, notes, securities and stocks, commodities, options and monetary metals.

GROSS RECEIPTS:

A. All gross receipts of cash, credits or property of any kind or nature received in cash or credit transactions, attributable to the township without regard to whether such receipts are derived from inside or outside the township and regardless of taxpayer's method of accounting, for services rendered by any business, trade, occupation or profession, whether for gain or profit or otherwise, without deductions for the cost of property sold, materials used, labor, services or other cost, interest, discount paid or any other expenses, except as hereinafter excluded.

B. The term "gross receipts" shall not include:

(1) In the case of a financial business, the cost of securities and other property sold, exchanged, paid at maturity or redeemed or money received in payment of advances, credits and loans, not to exceed the principal amount of such advances, credits and loans, and deposits.

(2) In the case of a broker, any portion of the fees or commissions with respect to any transactions paid by him to another broker, underwriter or insurer on account of a purchase or sale of a contract for goods or commodities or an insurance contract initiated by or exercised or cleared in conjunction with such other broker.

(3) In the case of a real estate developer or contractor, the amounts paid to contractors or subcontractors who have registered to do business in the township and to the extent such payees make timely payments of the tax on such gross receipts.

(4) Sales tax due to the Commonwealth of Pennsylvania.

PERSON -- Any individual, partnership, limited partnership, joint venture, association, syndication, corporation or any other entity or taxpayer of any kind engaged in a business, trade, occupation or profession within the limits of the township.

SERVICE -- Any act or instance of helping or benefiting another for consideration.

TAX YEAR -- The twelve-month period beginning the first day of January or, in the case of a person commencing business any day after the first day of January, the first day in the "tax year" in which a person commences a business, trade, occupation or profession in the township, and ending the 31st day of December immediately following in such "tax year."

TEMPORARY, SEASONAL OR ITINERANT BUSINESS -- Any business, trade, occupation or profession that is conducted or carried on within the limits of the township for less than 30 consecutive business days during the tax year.

TOWNSHIP -- The Township of Abington, a first class township.

TREASURER -- The Treasurer of the Township of Abington.

152-18. Registration.

Every person desiring to engage in a business, trade, occupation or profession within the limits of the township on or after the first day of January of the tax year or prior to commencing business in such tax year shall make application for registration for each place of business or office in the township, but if such person has no place of business or office within the township, such person shall file one registration with the Collector before transacting any business within the township. Such registration shall made on a form prescribed by the Treasurer and filed with the Collector, upon payment of a fee of $10. Each application for registration shall be signed by the applicant, if a natural person; and, in the case of an association or a partnership, by a member or partner thereof; and, in the case of a corporation, by an officer thereof. Such certificate of registration 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 Collector for a new certificate, for which a fee of $0.50 shall be charged. Such registration fee shall be payable without regard to liability for payment of the tax imposed by this article.

152-19. Exemptions.

A. All persons required to pay a business privilege tax under the provisions of this article shall be exempted from paying such tax to the extent that gross receipts are derived from the sale of goods, wares and merchandise subject the Mercantile License Tax Ordinance No. 1266,EN as amended from time to time. The Treasurer shall have the authority to promulgate opinions, rulings and regulations or seek the opinion of the township's Solicitor in determining which tax is to apply and the portion of the transaction which is to be subject to such taxes.

B. Agencies of the government of the United States or of the Commonwealth of Pennsylvania, or political subdivisions thereof, or nonprofit corporations or trusts 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 article, provided that such exempt or nonprofit corporation or entity is also exempt from income tax under the Internal Revenue Code of 1954, as amended, or comparable provisions thereof, shall be exempt from tax under this article.

C. The first $2,500 of gross receipts for each tax year commencing after December 31, 1986, shall be exempt from tax.

152-20. Imposition of tax; interest.

A. There is imposed on every person exercising the privilege of carrying on a business, trade, occupation or profession from or within the limits of the township an annual business privilege tax on gross receipts for each tax year beginning January 1, 1987, and each year thereafter at the rate of four mills on such person's gross receipts for such year, payable on or before the 15th day of April in the year immediately following. [Amended 3-12-1987 by Ord. No. 1625]

B. All taxes and estimated taxes due and payable under this article shall bear interest annually at the rate of 11/2% per month or fractional part of a month from the day such tax becomes due and payable until paid, regardless of any extension of time in which to file the return.

C. (Reserved).EN

152-21. Estimated tax.

A. In addition to the annual tax provided in this article, every person shall pay an estimated business privilege tax at the rate of four mills of the annual estimated gross receipts for the current tax year in which engaged in a business, trade, occupation or profession within the limits of the township, which estimated tax shall be computed as hereinafter provided.

B. The following subsections provide for computation of the annual tax on estimated gross receipts, as the case may be:

(1) Every person subject to the payment of the estimated tax hereby imposed who has commenced business at least a full year prior to January 1 of the tax year shall compute estimated gross receipts upon such person's actual gross receipts during the 12 months preceding such January 1.

(2) Every person subject to the payment of the estimated tax hereby imposed who has commenced business less than one full year prior to such January 1 shall compute estimated gross receipts 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.

(3) Every person subject to the payment of the estimated tax hereby imposed who commences business subsequent to such January 1 shall compute gross receipts for the tax year upon such person's gross receipts for the first complete month of business multiplied by the number of months remaining in the tax year.

(4) Every person subject to the payment of the estimated tax hereby imposed who engages in business which is temporary, seasonal or itinerant by its nature shall compute estimated gross receipts upon such person's actual gross receipts during the tax year.

C. Every person subject to the estimated tax hereby imposed shall make a return and pay the estimated tax to the Treasurer based on the estimated gross receipts of the taxpayer on or before April 15 of the current year, in the case of the taxpayer described in preceding Subsection B(1) and (2), and within 60 days of the current year after commencing to engage in business, trade, occupation or profession in the case of taxpayer described in preceding Subsection B(3) and (4). [Amended 3-12-1987 by Ord. No. 1625]

152-22. Returns.

A. Every return and estimated return as required by this article shall be made upon a single combined form furnished by the Treasurer with appropriate instructions to facilitate computation of the tax and copies of federal income tax returns to facilitate collection of this tax if required by the Treasurer. Every person making such returns shall certify to the correctness thereof by signing such return under penalties of perjury.

B. Every person subject to the tax imposed by this article who has commenced business at least one full year prior to the beginning of the tax year shall, on or before the 15th day of the April following, file with the Treasurer a return setting forth such person's name, business and business address and such other information as may be necessary to compute the annual gross receipts of such person during the preceding year and the amount of tax estimated to be due.

C. If any person required to make a return under the provisions of this article, on behalf of any employer, shall neglect or refuse to make any return as herein required, such person shall be personally liable for a penalty in an amount equal to 10% of the tax due. Such failure to file a return as required hereunder shall be a summary offense, and, upon conviction thereof, the person responsible for filing such returns on behalf of a taxpayer shall be liable for such penalty in the same manner as a taxpayer is liable therefor. [Added 3-12-1987 by Ord. No. 1625]

D. Every person subject to the payment of the tax imposed by this article who engages in a business which is temporary, seasonal or itinerant by its nature shall, within seven days from the date of winding up of such business, file with the Treasurer 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 the tax due.

E. The Collector is authorized to grant extensions of time not to exceed 120 days pursuant to written requests received on or before the due date of such returns.

152-23. Payment of tax.

A. At the time required for the filing of any tax return or estimated tax return hereunder, the person required to make the same shall pay the tax and/or estimated tax shown to be due on such return, without regard to any extension of time granted by the Treasurer for the filing of returns.

B. At the time of making the final return, if the full amount of the 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 estimated return on the estimated gross receipts and the amount of tax shown to be finally due on the actual gross receipts for the tax year.

C. The Treasurer is not authorized to grant extensions of time in which to make payment of tax or estimated tax due as provided herein or to waive or abate the interest due thereon.

152-24. Powers and duties of Treasurer; assessment proceedings.

A. It shall be the duty of the Treasurer to collect and receive the taxes, interest, penalties and costs imposed hereunder. It shall also be the duty of the Treasurer to keep an appropriate assessment record for each tax year showing the name and address of taxpayer, the amount of the tax due, the amount received and the date of payment(s).

B. If no return is filed or if the Treasurer is not satisfied with the return and payment of tax required under the provisions of this article, the Treasurer is hereby authorized and empowered to prepare and send, by certified or registered mail, a notice of proposed deficiency to the taxpayer's last known address, based upon the facts contained in the return or upon such information and belief as is available to the Treasurer. For this purpose, the Collector or the deputy or authorized agent of the Treasurer is authorized to request, examine and obtain from any person legible copies of the books, papers, records and federal and state income tax returns of such person reasonably necessary to verify the accuracy of any return required to be made under the provisions hereof. The taxpayer shall have 30 days from the date of such notice of proposed deficiency in which to file a protest thereto.

C. Upon receipt of the taxpayer's protest or if any person shall neglect, fail or refuse to file a protest to the Collector's notice of proposed deficiency, then at any time following the expiration of 30 days subsequent to the date of notice of proposed deficiency, the Treasurer may prepare such returns and assess and levy the tax estimated to be due, plus interest and penalty due as provided herein.

D. If any person fails to sign any return prepared by the Treasurer or required by law at the time prescribed therefor or makes, willfully or otherwise, a false, incorrect or fraudulent return, the Treasurer shall enter the amount of tax, interest and penalty due on the assessment roll and may thereafter collect such sums as provided by law.

E. Any returns so submitted and subscribed as provided herein shall be prima facie good and sufficient for all legal purposes, and the taxpayer shall have the burden of proof in any legal proceeding to rebut, by clear and convincing evidence, the Treasurer's assessment.

F. 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 pursuing the judicial remedies available to the Treasurer.

G. The Treasurer may enter into such agreements, compacts or covenants with authorities of other political subdivisions of the Commonwealth of Pennsylvania for the purpose of achieving uniformity of tax insofar as practicable and with the Secretary of the Treasury of the United States for access to United States tax returns for the purpose of collecting the tax hereby imposed.

152-25. Collection by civil action.

A. In addition to all other remedies provided by law, the Treasurer shall have the power to collect unpaid taxes due under this article from any persons owing such taxes by commencing a civil action after the assessment procedure provided in 152-24.

B. To each judgment obtained for such taxes, interest and penalty as herein provided, there shall be added a civil fine of 10% of the tax, together with costs of the suit and reasonable attorney's fees incurred by the township, as provided in the Local Tax Collection Act, Act of May 25, 1945, P.L. 1050, 21, 72 P.S. 5511.21 et seq.

C. Any person, as defined in this article, 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 article shall, upon a finding thereof, before a District Magistrate, be required to pay a civil fine of not less than $25 nor more than $300 and costs of suit for each offense, to be collected as other fines and costs are by law collectible.

D. All taxes, interest, penalties and fines, costs of suit and reasonable attorney's fees received, collected or recovered by the Treasurer under the provisions hereof shall be paid into the treasury of the township.

152-26. Responsibilities of taxpayer.

A. Any person claiming any exemption from the provisions of this article or denying liability for any tax imposed hereunder shall have the burden of proof.

B. Every person subject to or considered by the Treasurer to be subject to the tax imposed by this article shall make his books, papers, records and federal income tax returns or copies thereof available to the Treasurer at any reasonable time and place requested in writing by the Treasurer or his deputy or authorized agent in order to enable such Treasurer or his deputy or authorized agent to make examination thereof as may be necessary to verify the accuracy of any return or payment of the tax required by this article. However, written request or demand for any records of a taxpayer shall not be deemed a condition precedent for commencement of any judicial proceeding by the Treasurer against a taxpayer.

152-27. Construal of provisions; promulgation of rules and regulations.

A. Nothing contained in this article shall be construed to empower the township to assess, levy and collect the taxes hereby imposed on any person or any business or any portion of any business not within the taxing power of the township under the Constitution of the United States and the Constitution and laws of the Commonwealth of Pennsylvania.

B. The Treasurer is hereby authorized to make rules and regulations consistent with the provisions of this article relating to the interpretation or application of any section thereof or with respect to any matter affecting the administration and enforcement of this article, including provision for the examination, correction of returns and the adjustment or refund of any overpayment of tax within the time provided by law.

152-28. Refunds.

If the taxpayer makes an overpayment of tax under this article and submits a claim for refund in writing to the Treasurer on or before the expiration of two years following the due date for the return specified herein with regard to extensions, the Treasurer shall refund to the taxpayer the amount of such overpayment, which shall be the difference between the amount of tax paid for the year in question and the amount of the tax finally shown to be due. The Treasurer shall have the power to credit such overpayment to any deficiencies of tax, interest, penalties or civil fine due for any other years, under this article, or any other taxes owed to the township by the taxpayer.

152-29. Statutory authorization.

This article has been enacted under the authority of the Local Tax Enabling Act, 53 P.S. 6901 et seq.

152-30. Severability; effect on prior actions.

A. The provisions of this article are severable, and, if any section, sentence, clause, part or provision thereof shall be held illegal, invalid or unconstitutional by any court of competent jurisdiction, such decision of the court shall not affect or impair the remaining sections, sentences, clauses, parts or provisions of this article. It is hereby declared to be the intent of the Board that this article would have been adopted if such illegal, invalid or unconstitutional section, sentence, clause, part or provision had not been included therein.

B. Nothing in this Article II or in Chapter 152 of the Code of the Township of Abington, as hereby amended, shall be construed to affect any suit or proceeding pending in any court, or any claim or rights acquired or liability incurred, or any cause or causes of action existing under said Chapter 152 of the Code of the Township of Abington in effect prior to this amendment, and all provisions of the business privilege tax for years prior to January 1, 1987, shall remain in full force and effect. [Amended 3-12-1987 by Ord. No. 1625]

152-31. Effective date.

This new Article II shall take effect and be in force for all tax years commencing after December 31, 1986.

ARTICLE III, (Reserved)EN

152-32 through 152-47. (Reserved)

ARTICLE IV, Realty Transfer Tax [Adopted 12-11-1986 by Ord. No. 1619EN]

152-48. Adoption of Local Realty Transfer Tax Act by reference to state transfer tax. [Amended 3-12-1987 by Ord. No. 1624]

There is hereby adopted by the township the Abington Township local realty transfer tax by incorporating by reference the provisions constituting Article XI-C, Realty Transfer Tax, Act 77 of July 2, 1986, 72 P.S. 8801-C (hereinafter the "State Act"), as enacted by the General Assembly of the Commonwealth of Pennsylvania, authorizing a local tax on transfers of real property or interests therein within the limits of the Township of Abington, to the extent, at the rate and in the same manner that such transfers are subject to state transfer tax, save only the modifications to such State Act as hereinafter provided.

152-49. Definitions. [Amended 3-12-1987 by Ord. No. 1624]

The terms employed in the State Act set forth in the lower left-hand column shall be deemed to have the meanings for purposes of the Abington Township local realty transfer tax indicated in the corresponding right-hand column:

State Act Abington Township

Commonwealth of The Township of Abington

Pennsylvania

Department of Revenue Treasurer of Abington Township

Statement of value Certificate of value in the form to

be prescribed by the Treasurer of

Abington Township

State tax Local transfer tax

Act 77 of 1986 The Abington Township local realty

transfer tax

152-50. Imposition of tax; interest.

A. Every person who makes, executes, delivers, accepts or presents for recording any document or in whose behalf any document is made, executed, delivered, accepted or presented for recording shall be subject to pay for, and in respect to the transaction or any part thereof, a local transfer tax at the rate of 1% of the value of the real estate situate within the political limits of the township, represented by such document, which tax shall be payable at the earlier of the time the document is presented for recording or within 30 days of acceptance of such document or within 30 days of becoming an acquired company as such term is defined by the State Act.

B. The burden of the tax imposed herein on a person or transfer shall not exceed the limitations prescribed in the Local Tax Enabling Act, 53 P.S. 6901 et seq., so that if any other political subdivision shall impose or hereafter shall impose such transfer tax, then the tax levied by the Township of Abington under the authority of Article IV shall, during the time such duplication of the tax exists, be 1/2 of the rate herein provided, and such 1/2 rate shall become effective without any action on the part of the Board of Commissioners; provided, however, that the Township of Abington and any other political subdivision which imposes such tax on such transfer may agree that, instead of limiting their respective rates to 1/2 of the rate herein provided, each will impose respectively different rates, the total of which shall not exceed the maximum rate permitted under the Local Tax Enabling Act.

C. If for any reason the tax is not paid when due, interest at the rate allowed by law at the time the tax is due shall be added and paid to the Recorder of Deeds, for remittance to the township at the times prescribed by law.

152-51. Modifications in Realty Transfer Tax Act.

Solely for purposes of the Abington Township local realty transfer tax, the State Act is deemed modified as follows:

A. In lieu of purchasing documentary stamps to evidence payment of the Abington Township local realty transfer tax, any person or party responsible for paying such local transfer tax shall execute and deliver a certification of value with respect to the realty transferred on forms prescribed by the Treasurer of the township, in duplicate, to the Recorder of Deeds for Montgomery County, and such person or party shall pay the tax due on the value of such transfer to said Recorder of Deeds as collection agent for the township as provided in 16 P.S. 11011-6(c).

B. The Treasurer of the Township of Abington is hereby charged with enforcement of the provisions of this article consistent with the provisions of this article, the State Act and other applicable provisions of law and shall prescribe, adopt and promulgate such rules and regulations, with the approval of the Secretary of the township, as is necessary to administer the provisions of the Abington Township local realty transfer tax.

C. All civil penalties imposed and interest accrued with respect to the tax due hereunder to the township shall, in addition to the tax, be paid to the Recorder of Deeds for remittance to the township in the same manner as the tax is required by law to be remitted to the township.

D. Whenever necessary to reasonably effectuate and carry out the intent of the Abington Township local realty transfer tax, the terms of the State Act shall be deemed modified and shall be construed and interpreted and in such a manner as if such State Act had been enacted by the Township of Abington.

152-52. Title.

This article shall be known and may be cited as the "Abington Township Local Realty Transfer Tax."

152-53. When effective.

The provisions of this article shall take effect and be in full force and effect immediately after approval by the Board of Commissioners as required by law.

152-54. Severability.

The provisions of this article are severable, and, if any of the provisions of this article are held to be illegal, invalid or unconstitutional by any court of competent jurisdiction, the decisions shall not affect or impair any of the remaining provisions of this article. It is hereby declared to be the intent of the Board of Commissioners that this article would have been adopted if such illegal, invalid or unconstitutional provision had not been included herein.

152-54.1. Interest, redeterminations and refunds. [Added 3-12-1987 by Ord. No. 1624]

A. If, for any reason, the tax is not paid when due, interest at the rate of 11/2% per month or fractional part of a month from the day such tax becomes due and payable shall be added and collected from the person liable therefor.

B. The Treasurer of Abington Township shall have five years from the date that a certificate of value is filed with the Recorder of Deeds in which to redetermine the full and complete value of the interest subject to tax hereunder and to issue a notice to the person or persons liable therefor that such additional tax and interest may be due.

C. Any taxpayer who has filed a certificate of value may, within three years after the filing thereof with the Recorder of Deeds, file with the Treasurer of Abington Township a claim for refund of overpayment of the tax due, and the Treasurer is authorized to pay such claims, if justified, with interest at the rate of 11/2% per month or portion of a month from the date such tax was overpaid. The Treasurer shall have the power to credit any overpayment and interest thereon to any deficiencies owed by the taxpayer with reference to any other taxes owed to the township for any other years or for interest, penalties or civil fines in respect to such deficiencies.

ARTICLE V, Occupational Privilege Tax [Adopted 12-13-1979 by Ord. No. 1498EN]

152-55. Title.

This article shall be known and may be cited as the "Occupational Privilege Tax Ordinance."

152-56. Definitions.

As used in this article, unless the context indicates clearly a different meaning, the following words shall have the meanings set forth below:

COMPENSATION -- Salaries, wages, commissions, tips, bonuses, fees, gross receipts or any other income.

EMPLOYER -- Any person, partnership, limited partnership, unincorporated association, institution, trust, corporation, governmental agency or any other body engaged in business or situated in the township, employing one or more employees engaged in any occupation other than household employees.

OCCUPATION -- Includes any livelihood, job, trade, profession, business or enterprise of any kind, including services, household or other, for which any compensation is received.

OCCUPATIONAL PRIVILEGE TAX COLLECTOR -- The Township Manager of the Township of Abington or his designated representative.

TAX -- The tax imposed by this article.

TAXPAYER -- Any natural person liable for the tax levied by this article.

TOWNSHIP -- The Township of Abington.

152-57. Tax levied.

For general revenue purposes, a tax under the Act of December 31, 1965, P.L. 1257, as, amended, known as the "Local Tax Enabling Act," is hereby levied upon the privilege of engaging in an occupation within the township from the effective date hereof, for the calendar year 1980 and thereafter, in each following calendar year. Each natural person who exercises such privilege within the township during any calendar year shall pay tax in the amount of $10 per year in accordance with the provisions of this article; provided, however, that the tax hereby levied shall not be imposed upon any natural person whose total compensation during the tax year is less than $1,000.

152-58. Collection through employers.

A. Every employer shall, within 30 days after the effective date of this article or within 30 days after first becoming an employer, register with the Occupational Privilege Tax Collector the employer's name, address and such other information as the Occupational Privilege Tax Collector may require to effectuate the provisions of this Act.

B. As to each taxpayer employed within the township on or before March 31 of any tax year, each employer shall deduct the tax from compensation payable to the taxpayer, file a return on a form prescribed by the Occupational Privilege Tax Collector and pay the Occupational Privilege Tax Collector the full amount of all such taxes on or before April 30 of the same tax year. Thereafter, as to each taxpayer for whom no prior deduction has been made, who is employed within the township in any of the three-month periods ending June 30, September 30 and December 31 of the same tax year, each employer shall deduct the tax from the compensation payable to the taxpayer, file a return on a form prescribed by the Occupational Privilege Tax Collector and pay to the Occupational Privilege Tax Collector the full amount of all taxes due on or before July 31 and October 31 of the same tax year and January 31 of the following year, respectively. Employers shall not be required to deduct the tax from any employee if his earnings during the tax year do not exceed $1,000.

C. Any employer who discontinues business or ceases operation before December 31 of any tax year shall, within 15 days after discontinuing business or ceasing operation, file the return, hereinabove required and pay the tax to the Occupational Privilege Tax Collector.

D. The failure of any employer to deduct the tax shall not relieve the employee from the duty to file a return and pay the tax. Any employer who fails to pay such tax to the Occupational Privilege Tax Collector shall be liable for such tax in full, as though the tax had originally been levied against such employer.

E. As to employees who present official receipts evidencing prior payment of the tax either directly or by collection through other employers, the employer shall not deduct the tax but shall maintain employment records concerning such employees.

152-59. Direct payment by taxpayers.

Every taxpayer who is self-employed or whose tax for any other reason is not collected under 152-58 of this article shall file a return on a form prescribed by the Occupational Privilege Tax Collector and shall pay the tax directly to the Occupational Privilege Tax Collector. Each such taxpayer who first becomes subject to the tax on or before March 31 of any tax year shall file the return and pay the tax on or before April 30 of the same tax year, and each such taxpayer who first becomes subject to the tax after March 31 of any tax year shall file the return and pay the tax on or before July 31 of the same tax year, October 31 of the same tax year or January 31 of the following year, whichever of such payment dates first occurs at least 30 days after the taxpayer first becomes subject to the tax.

152-60. Nonresident taxpayers.

Both resident and nonresident taxpayers shall, by virtue of engaging in an occupation within the township, be subject to the tax and the provisions of this article.

152-61. Exemption.

Any person who derives less than $1,000 per year from an occupation shall be exempt from this article and, upon application to the Occupational Privilege Tax Collector, shall be entitled to receive a refund of tax paid by him or on his behalf.

152-62. Powers and duties of Occupational Privilege Tax Collector.

The Occupational Privilege Tax Collector, on behalf of the township, shall collect and receive the taxes, interest, fines and penalties imposed by this article and shall maintain records showing the amounts received, the dates such amounts were received and the name and address of the taxpayer from whom or for whom the tax was received. The Occupational Privilege Tax Collector shall prescribe and issue all forms necessary for the administration of the tax and may adopt and enforce regulations relating to any matter pertaining to the administration of this article, including but not limited to requirements for collection through employers, requirements for deductions, requirements for evidence and records and provisions for the examination and correction of returns. The Occupational Privilege Tax Collector and agents designated by him may examine the records of any employer or supposed employer or of any taxpayer or supposed taxpayer in order to ascertain the tax due or verify the accuracy of any return. Every employer or supposed employer and every taxpayer or supposed taxpayer shall give the Occupational Privilege Tax Collector and any agent designated by him all means, facilities and opportunity for the examinations hereby authorized.

152-63. Collection; payment under protest.

The Occupational Privilege Tax Collector shall collect, by suit or otherwise, all taxes, interest, costs, fines and penalties due under this article and unpaid. If, for any reason, any tax is not paid when due, interest at the rate of 6% per year on the amount of unpaid tax and an additional penalty of 1/2 of 1% of the amount of unpaid tax, for each month or fraction of month during which the tax remains unpaid, shall be added and collected. Whenever suit is brought for the recovery of unpaid tax, the taxpayer or employer shall, in addition, be liable for the costs of collection as well as for interest and penalties. The Occupational Privilege Tax Collector may accept payment under protest of the tax claimed by the township in any case where any person disputes the township's claim for the tax. If a court of competent jurisdiction thereafter decides that there has been overpayment to the Occupational Privilege Tax Collector, the Occupational Privilege Tax Collector shall refund the amount of the overpayment to the person who paid under protest.

152-64. Violations and penalties.

Whoever makes any false or untrue statement on any record required by this article or who refuses inspection of his books, records or accounts in his custody and control, setting forth the number of employees subject to this tax who are or were in his employment, or whoever fails or refuses to file any return required by this article, who fails to collect or withhold or having collected and withheld, fails to pay the tax due, shall, upon conviction before any District Justice, be sentenced to pay a fine to the township of not more than $300 for each offense, recoverable with costs, or imprisonment not exceeding 90 days, if the amount of said fine and costs shall not be paid. It is further provided that the action to enforce the fine and penalty herein provided may be instituted against any person in charge or control of the business of any employer who violates the requirements set forth above.

152-65. Applicability.

The tax shall not apply to any subject of tax or person not within the taxing power of the township under the Constitution of the United States and the laws and Constitution of the Commonwealth of Pennsylvania. If a final decision of a court of competent jurisdiction holds any provision of this article or the application of any provision to any circumstances, to be illegal or unconstitutional, the other provisions of this article, or the application of such provision to other circumstances, shall remain in full force and effect. The intention of the Board of Commissioners is that the provisions of this article shall be severable and that this article would have been adopted if any such illegal or unconstitutional provisions had not been included.

ARTICLE VI, Exemption for Certain Deteriorating Property [Adopted 10-10-1996 by Ord. No. 1768]

152-66. Definitions.

As used in this article, the following words and phrases shall have the meanings set forth below:

DETERIORATING PROPERTY -- Any commercial, industrial, retail or other nonresidential business property owned by an individual, association or corporation and located in areas as hereinafter provided, or any such property which has been the subject of an order by Abington Township requiring the unit to be vacated, condemned or demolished by reason of noncompliance with laws, ordinances or regulations within the Township of Abington.

IMPROVEMENT -- Repair, construction or reconstruction, including alterations or additions, having the effect of rehabilitating a deteriorated property so that it becomes habitable or attains higher standards of safety, health, economic use or amenity, or is brought into compliance with laws, ordinances or regulations governing such standards. Ordinary upkeep and maintenance shall not be deemed an improvement. For purposes of this article, repair or construction of buildings containing a majority of apartment units shall not constitute an improvement eligible for a real estate tax exemption under provisions of this article.

LOCAL TAXING AUTHORITY -- The Abington School District and the Township of Abington.

152-67. Eligible areas.

By this article, the Abington Township Board of Commissioners designates all commercial, industrial, retail or local business properties located within the following areas as deteriorating in accordance with the plan attached as Exhibit A,EN to be eligible to participate in the provisions of this article:

A. The Keswick Planning District.

B. The Mc Kinley Planning District.

C. The North Hills Planning District.

D. The Old York Road Planning District.

E. The Roslyn Planning District.

F. The Town Center Planning District.

152-68. Exemption amounts and criteria.

A. The amount to be exempted shall be limited to additional assessment valuation attributable to the actual costs of improvements to deteriorated property.

B. The exemption shall be limited to the improvement for which an exemption has been requested in the manner set forth below and for which a separate assessment has been made by the Board of Assessment.

152-69. Exemption schedule.

The exemption period shall run for five years and shall commence with the issuance of an occupancy permit or final inspection for the applicable improvement, according to the following schedule:

A. First year: 100%.

B. Second year: 100%.

C. Third year: 75%.

D. Fourth year: 50%.

E. Fifth year: 25%.

F. The exemption from taxes granted under this article shall be upon the property and shall not terminate upon the sale or exchange of the property.

152-70. Conditions for exemption.

A property participating in this tax exemption provision shall be subject to the following conditions of exemption:

A. The tax valuation of the property established by the Board of Assessment prior to this provision shall remain free from assessment appeal for a two-year period preceding the exemption period, during the exemption period and for three years following the abatement period.

B. The tax exemption status does not become applicable until a building permit shall be issued for the qualifying improvement.

C. Building permits issued to qualifying property prior to the adoption of this article shall not be applicable to this provision.

152-71. Notice to taxpayers; application for exemption.

A. There shall be attached to the application forms for building, zoning and occupancy permits the following:

Notice to Taxpayers

Under the provisions of Ordinance No. 1768, you may be entitled to a property tax exemption on your contemplated alteration or new construction. An application for exemption may be secured from the Office of Economic Development and must be filed with same at the time a building or alteration permit is secured.

B. At the time a building or alteration permit is secured for the construction of an improvement for which an exemption is requested, the taxpayer shall apply to the Office of Economic Development for the exemption provided for in this article. Requests for the exemption must be made in writing on application forms as prescribed by the Township of Abington, setting forth the following information:

(1) The date the building permit or alteration permit was issued for said improvements.

(2) The type of improvement.

(3) The summary of the plan of the improvement.

(4) The cost of the improvement.

(5) Any or all such additional information required.

152-72. Procedure for obtaining exemption.

A copy of the request for exemption shall be forwarded by the Office of Economic Development to the Montgomery County Board of Assessment. Upon completion of the improvement or new construction, the taxpayer shall notify the Township Economic Development Office and the Montgomery County Board of Assessment so that the Board of Assessment can establish a separate assessment for the qualifying improvements for the purpose of calculating the amount of assessment eligible for the tax exemption in accordance with the limits established in this article. The County Board of Assessment will then set the amount of assessment eligible for exemption, record the same on its assessment rolls and notify the taxpayer of the assessment eligible for exemption. Appeals from the assessment and the amount eligible for the exemption may be taken by the taxpayer or the Township of Abington as provided by law.

152-73. Termination; continuance.

A. Unless otherwise repealed by the Board of Commissioners of the Township of Abington, this article shall terminate two years after the adoption date.

B. Any property tax exemptions granted under the provisions of this article shall be permitted to continue according to the exemption schedule, even if this article expires or is repealed.

C. This article may be renewed and/or expanded after the termination date, by joint resolutions of the Board of Directors of the Abington School District and the Board of Commissioners of Abington Township, describing the renewal and/or expansion terms.