§ 19-2802.  Definitions.
   (1)   Authority. The Pennsylvania Intergovernmental Cooperation Authority established in the Act.
   (2)   Bond. A note, bond, refunding note and bond, interim certificate, debenture and other evidence of indebtedness or obligation which an authority is authorized to issue pursuant to the Act.
   (3)   Business. An enterprise, activity, profession or undertaking of any nature conducted for profit or ordinarily conducted for profit, whether by an individual, copartnership, association, governmental body or unit or agency, or any other entity.
   (4)   Department. The Department of Revenue of the Commonwealth or its agents, tax officers, clerks, collectors and other assistants, including revenue and legal departments of the City of Philadelphia. For purpose of complying with the provisions of this Chapter, the Revenue Department of the City is the authorized agent of the Department of Revenue of the Commonwealth for the collection of taxes imposed hereunder.
   (5)   Employee. Any person who renders services to another for a consideration or its equivalent, under an express or implied contract, and who is under the control and direction of the latter, including temporary, provisional, casual or part-time employment.
   (6)   Employer. An individual, copartnership, association, corporation, governmental body or unit or agency, or any other entity, who or that employs one or more persons on a salary, wage, commission or other compensation basis.
   (7)   Net Profits. The net gain from the operation of a business, profession or enterprise, after provision for all allowable costs and expenses incurred in the conduct thereof, either paid or accrued in accordance with the accounting system used, without deduction of taxes based on income.
   (8)   Obligee of the Authority. Any holder or owner of any bond of the Pennsylvania Intergovernmental Cooperation Authority or any trustee or other fiduciary for any such holder or any provider of a letter of credit, policy of municipal bond insurance or other credit enhancement or liquidity facility for bonds of the authority.
   (9)   Person. Every individual, co-partnership, fiduciary or association.
   (10)   Resident. An individual, co-partnership, association, corporation or any other entity domiciled in the City.
   (11)   Salaries, Wages, Commissions and Other Compensation. All salaries, wages, commissions, bonuses, incentive payments, fees and tips that may accrue or be received by an individual, whether indirectly or through an agent and whether in cash or in property, for services rendered, but excluding:
      (a)   periodical payments for sick or disability benefits and those commonly recognized as old age benefits;
      (b)   retirement pay, or pensions paid to persons retired from service after reaching a specific age or after a stated period of employment;
      (c)   any wages or commissions paid by the United States to any person for active service in the Army, Navy or Air Force of the United States;
      (d)   any bonus or additional compensation paid by the United States, this Commonwealth, or any other state for such service;
      (e)   any statutory per diem compensation paid any witness or juror, or member of the District Election Board;
      (f)   Stock options which do not have a readily ascertainable fair market value, as defined by 26 C.F.R. § 1.83-7(b), on the date the stock option is granted. Stock options which do have a readily ascertainable fair market value on the date the stock option is granted shall be considered as compensation in the amount of such value and received on such date. If an employee is offered the choice of receiving compensation in cash or compensation in stock options, and chooses stock options, then such stock options shall be deemed to have a readily ascertainable fair market value equal to the amount of cash that was offered. Any amount that would otherwise be considered as compensation arising from the exercise, exchange, sale or disposition of stock options, whether or not they had a readily ascertainable fair market value when granted, shall not be taxable under this Chapter; 555
      (g)   Certain tuition benefits, as follows: 556
         (.1)   Qualified tuition reduction benefits;
         (.2)   Tuition benefits that:
            (.a)   Are provided to its employees by a not-for-profit healthcare system and its not-for-profit affiliates that are wholly (one hundred percent (100%)) owned and controlled, directly or indirectly, by a not-for- profit university; and
            (.b)   Would qualify as qualified tuition reduction benefits if such not-for-profit healthcare system and its not-for-profit affiliates were part of such university;
         (.3)   Reimbursements by an employer of an employee's educational expenses relating to education required by the employer to maintain the employee's employment status or compensation level, including any education required by the Commonwealth to retain a professional license or certification relating to the employee's position. The employer must certify any such requirement in such manner as the Department shall determine;
         (.4)   For purposes of this subsection (g), the following definition applies:
            (.a)   Qualified tuition reduction benefits. As defined in Section 117(d) of the Internal Revenue Code (26 U.S.C. § 117(d)), as amended from time to time.
   (12)   Taxpayer. Any person required by this Chapter to file a return or to pay a tax.

 

Notes

555
   Added, Bill No. 000451 (approved September 14, 2000). Section 2 of Bill No. 000451 states: "The provisions of subsection 19-2802(11)(f) of The Philadelphia Code, as added by Section 1 of this Ordinance, exempting certain stock options from tax, shall apply to only to stock options that are granted after the date this Ordinance takes effect, and to stock options that are exercised, exchanged, sold or otherwise disposed of, on or after the date this Ordinance takes effect."
556
   Added, Bill No. 060766 (approved January 23, 2007).