All words and phrases shall have the meanings as set forth in Act 32, as amended. For the purpose of this subchapter, the following definitions shall apply unless the context clearly indicates or requires a different meaning.
BUSINESS. An enterprise, activity, profession or any other undertaking of an unincorporated nature conducted for profit or ordinarily conducted for profit, whether by a person, partnership, association or any other entity.
BUSINESS ENTITY. A sole proprietorship, corporation, joint-stock association or company, partnership, limited partnership, limited liability company, association, business trust, syndicate or other commercial or professional activity organized under the laws of this Commonwealth or any other jurisdiction.
CORPORATION. A corporation or joint-stock association organized under the laws of the United States, the Commonwealth or any other state, territory, foreign country or dependency. This term shall include an entity which is classified as a CORPORATION for federal income tax purposes.
CURRENT YEAR. The calendar year for which the tax is levied.
DEPARTMENT. The Pennsylvania Department of Community and Economic Development or successor agency charged with any duties under the Act, as may be amended and supplemented.
DOMICILE. The place where one lives and has his or her permanent home and to which he or she has the intention of returning whenever he or she is absent. Actual residence is not necessarily DOMICILE, for DOMICILE is the fixed place of abode which, in the intention of the taxpayer, is permanent rather than transitory. DOMICILE is the place in which a person has voluntarily fixed the habitation of himself or herself and his or her family, not for a mere special or limited purpose, but with the present intention of making a permanent home, until some event occurs to induce him or her to adopt some other permanent home. In the case of businesses or associations, the DOMICILE is that place considered as the center of business affairs and the place where its functions are discharged.
EARNED INCOME. The compensation as required to be reported to or as determined by the Pennsylvania Department of Revenue under 72 P.S. § 7303 of the Act of March 4, 1971 (P.L. 6, No. 2), known as the Tax Reform Code of 1971, and rules and regulations promulgated under that section. For purposes of EARNED INCOME, employee business expenses are allowable deductions as determined under 72 P.S. §§ 7301 to 7361 of the Tax Reform Code of 1971. The term does not include offsets for business losses. The amount of any housing allowance provided to a member of the clergy shall not be taxable as EARNED INCOME.
EARNED INCOME AND NET PROFITS TAX. The tax levied herein by municipality on earned income and net profits. Also referred to as TAX herein.
EMPLOYER. A person, business entity or other entity employing one or more persons for a salary, wage, commission or other compensation. The term includes the Commonwealth, a political subdivision and an instrumentality or public authority of either. For purposes of penalties hereunder, this term includes a corporate officer.
MUNICIPALITY. A city of the second class, city of the second class A, city of the third class, borough, town, township of the first class or township of the second class. For purposes of this subchapter, such term shall mean North York Borough, York County, Pennsylvania.
NET PROFITS.
(1) The net income from the operation of a business, except corporations as required to be reported to or as determined by the Department of Revenue under 72 P.S. §§ 7301 to 7303 of the Act of March 4, 1971 (P.L. 6, No. 2), known as the Tax Reform Code of 1971, and rules and regulations in promulgated under such section.
(2) The term does not include income:
(a) Which is not paid for services provided; and
(b) Which is in the nature of earnings from an investment.
(3) Further, the term shall not include:
(a) Any gain on the sale of farm machinery;
(b) Any gain on the sale of livestock held 12 months or more for draft, breeding or dairy purposes; and
(c) Any gain on the sale of other capital assets of the farm.
NONRESIDENT. A person, partnership, association or other entity domiciled outside of the municipality.
PERSON or INDIVIDUAL. A natural person.
PRECEDING YEAR. The calendar year before the current year.
RESIDENT. A person, partnership, association or other entity domiciled in the municipality.
SUCCEEDING YEAR. The calendar year following the current year.
TAX BUREAU. A public nonprofit entity established by a TCC for the administration and collection of earned income and net profits tax.
TAX COLLECTION COMMITTEE (HEREIN REFERRED TO AS “TCC”). The committee established to govern each tax collection district for the purpose of income tax collection. This term shall include a joint tax collection committee.
TAX COLLECTION DISTRICT (HEREIN REFERRED TO AS “TCD”). The York Tax Collection District as established under the Act.
TAX OFFICER. A political subdivision, public employee, tax bureau, county, excluding a county of the first class, or private agency which administers and collects earned income and net profits for one or more tax collection districts. Unless otherwise specifically provided, for purposes of the obligations of an employer, the term shall mean the TAX OFFICER or tax collector for the tax collection district within which the employer is located, or if an employer maintains workplaces in more than one tax collection district, the TAX OFFICER for each such tax collection district with respect to employees principally employed therein.
TAXPAYER. A person or business required hereunder to file a return of earned income or net profits or to pay a tax thereon.
(Ord. 2012-1, passed 1-9-2012; Ord. 2019-01, passed 2-12-2019)