An Ordinance providing for the assessment, levying and collection of a tax for general revenue purposes upon salaries, wages, commissions, compensation, and earned income earned after July 1, 1966, by residents of the Borough of Bolivar, and of salaries, wages, commissions, compensation and earned income after July 1, 1966, by non residents of the Borough of Bolivar for work done or services performed or rendered in the Borough of Bolivar, and on the net profits earned after July 1, 1966, of businesses, professions, or other activities conducted by such residents, and on net profits earned after July 1, 1966, on business, professions or other activities conducted in the Borough of Bolivar by non-residents, requiring the filing of returns and the giving of information by the employers and those subject to the tax: providing for the information, the administration, collection and enforcement of the said tax, and imposing penalties for non-compliance.

Be it enacted and ordained, and it is hereby enacted and ordained by the borough council of Bolivar Borough, in Council assembled and in pursuance of and by virtue of the authority granted the Boroughs in the commonwealth of Pennsylvania, by an Act of Assembly approved December 31, 1965, known as "The Local Tax Enabling Act" (Act No 511 of 1965", and the supplements and amendments thereto;

Section 1. Unless otherwise specifically stated, the following terms shall have, for the purpose of this Ordinance, the meaning herein set forth;

a. The term "Association" shall mean a partnership, limited partnership, or any other unincorporated group of two or more persons.

b. The term "business" shall mean an enterprise, activity, profession or any other activity of an unincorporated nature conducted for profit, or ordinarily conducted for profit, whether by a person, partnership, association or any other entity.

c. The term "Corporation" shall mean a corporation or joint stock association organized under the laws of the United States, the Commonwealth of Pennsylvania, or any other State, Territory, Foreign Country or Dependency.

d. The term "current year" shall mean the calendar year for which the tax is levied.

e. The term "domicile" shall mean the place where one lives and has his permanent home, and to which he has the intention of returning whenever he 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 man has voluntarily fixed the habitation of himself and his 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 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.

f. The term " earned income" shall mean salaries, wages, commissions, bonuses, incentive payments, fees, tips and other compensation received by a person or his personal representative for services rendered, whether directly or through an agent, and whether in cash or in property, not including however, wages or compensation paid to persons on active military service, periodic payments for sickness and disability other than regular wages received during a period of sickness, disability or retirement or payments arising under workmen's compensation acts, occupational disease acts and similar legislation, or payments commonly recognized as old age benefits, retirement pay or pensions paid to persons retired from service after reaching a specific age or after a stated period of employment or payments commonly known as public assistance, or unemployment compensation payments made by any governmental agency or payments to reimburse expenses or payments made by employers or labor unions for wage and salary supplemental programs, including but not limited to, programs covering hospitalization, sickness, disability, or death, supplemental unemployment, benefits, strike benefits, social security and retirement.

g. The term "Income tax officer or officer" shall mean a person, public employee or private agency designated by governing body to collect and administer the tax on earned income and net profits, which term is synonymous with "Collector".

h. The term "employer" shall mean a person, partnership, association, corporation, institution, governmental body or unit or agency, or any other entity employing one or more persons for a salary, wage commission or other compensation.

i. The term " net profits" shall mean the net income from the operation of a business, profession, or other activity, except corporations, after provision for all costs and expenses incurred in the conduct thereof, determined either on a cash or accrual basis in accordance with the accounting system used in such business, profession, or other activity, but without deduction of taxes based on income.

j. The term " nonresident" shall mean a person, partnership, association or other entity domiciled outside the taxing district.

k. The term "person or individual" shall mean a natural person.

l. The term " preceding year" shall mean the calendar year before the current year.

m. The term " resident" shall mean a person, partnership, association or other entity domiciled in the taxing district.

n. The term " succeeding year" shall mean the calendar year following the current year.

o. The term " taxpayer" shall mean a person, partnership, association, or any other entity, required hereunder to file a return of earned income or net profits, or to pay a tax thereon.

Section II. Imposition of Tax. An annual tax for general revenue purposes of five-tenths of one per centum (5/10%) is hereby imposed on (a) salaries, wages, commissions, compensation and earned income after the 1st day of July 1966, by residents of the Borough of Bolivar and on (b) salaries, wages, commissions, compensation and earned income after the 1st day of July 1966, by non-residents of the Borough of Bolivar for work done or services performed or rendered in the Borough of Bolivar, and on (c) the net profits earned after the 1st day of July 1966, of businesses, professions, or other activities conducted by such residents, and on (d) net profits earned after the 1st day of July 1966, of businesses, professions, and other activities conducted in the Borough of Bolivar by non-residents.

The tax levied under (a) and (b) as set forth above shall relate to and be imposed upon salaries, wages, commissions, compensation and earn income paid by an employer or on his behalf to any person who is employed by or renders services to him. The tax levied under (c) and (d) as set forth above shall relate to and be imposed upon the net profits of any business, profession, or enterprise carried on by any person or owner or proprietor either individually or in association with some other person or persons.

Such taxes shall be levied with respect to the salaries, wages, commissions, compensation and earned income, or net profit earned during the period from July 1 1966 to December 31 1966, for which the tax is levied, and shall continue without need of re-enactment by virtue of the authority granted by Act No. 511 of 1965.

Section III. The Collector for the tax imposed herein shall be the person designated by the Borough Council of the Borough of Bolivar. He shall collect and receive all such taxes, shall furnish a receipt for their payment, and shall keep a record showing the amount received by him from each taxpayer under this Ordinance, and the date of each receipt. The finance Committee of the Borough Council, together with the Borough Solicitor, is empowered to prescribe rules and regulations relating to any matter or thing pertaining to the administration and enforcement of the provisions of this Ordinance. Such rules and regulations shall be inscribed by the Borough Secretary in a book kept for that purpose and open to the inspection of the public.

Section IV. Returns and Payment of Tax. Each person whose earnings or profits are subject to the tax imposed by this Ordinance, except those persons whose total tax is deducted at the source by the employer, shall on or before September 15, 1966, make and file with the Borough of Bolivar, an estimate of his or her net income on a form furnished by or obtainable from the Borough of Bolivar, setting forth the estimated amount of salaries, wages, commissions, compensation and other earned income, or net profits expected to be earned by him during the year, and subject to the said tax imposed hereby; together with such other pertinent information as the Borough of Bolivar may require. In each succeeding year in which this, the tax imposed herein, is operative, each person whose earnings or profits are subject to the tax imposed by this Ordinance, except those persons whose total tax is deducted at the source by the employer, shall, on or before April 15 of that current year, make and file with the Borough of Bolivar an estimate of his or her net income on a form furnished by or obtainable from the Borough of Bolivar, setting forth the estimated amount of salaries, wages, commissions, compensation and other earned income, or net profits expected to be earned by him during the year, and subject to the said tax imposed hereby, together with such other pertinent information as the Borough of Bolivar may require.

Each return shall also show the estimated amount of the tax imposed by this Ordinance on such estimated earnings and profits. The person making the said return shall at the time of filing thereof pay to the person designated by the Borough Council of the Borough of Bolivar as the Collector for the tax imposed herein the estimated amount of tax shown as due thereon, provided however, that the taxpayer shall have the right to pay the estimated tax, or the balance of the estimated tax as shown on the return, in two installments, the first installment thereof on or before September `5, 1966, and the other installment thereof on or before December 31, 1966. For each succeeding year, the taxpayer shall have the right to pay the estimated tax, or the balance of the estimated tax as shown on the return, in four quarterly installments, the first on or before April 15, of the current year at the time of the filing of his declaration of estimated net profit or earned income for that year, and the other installments thereof on or before June 15 of that current year, September 15, of that current year and January 15 of the succeeding year respectively.

On or before April 15, 1967, the taxpayer shall file a complete return of his net income, and pay the balance of the tax or make a demand for a refund of an overpayment thereof as the case may be. For each succeeding year, in which this tax is in effect, on or before April 15 of the succeeding year for which the tax is imposed, the taxpayer shall file a complete return of his net income, and pay the balance of the tax or make a demand for a refund of an overpayment thereof as the case may be. Any taxpayer filing said estimate of r1966 or any succeeding year of net income may use as his estimate his preceding year's net income, provided further, that where any portion of the tax due shall have been deducted at the source and shall have been paid to the Borough of Bolivar by the person making the said deduction, credit for the amount so paid shall be deducted from the amount shown to be due and only the balance, if any, shall be due and payable at the time of the filing of the said return or as hereinabove provided. Provided, further that the Borough of Bolivar is authorized to provide by regulation that the return of an employer or employers showing the amount of tax deducted by him or them from the salaries, wages, commissions, compensation or earned income of an employee, and paid by him or them to the Borough of Bolivar, shall be accepted as the return required by an employee whose sole income subject to the tax under this Ordinance is such salaries, wages, commissions, compensation or earned income.

Any taxpayer who first anticipates any net profit for any year succeeding 1966 in which this tax is in operation, and which said net profit is realized after April 15 of the current year for said tax, the taxpayer shall make and file his declaration of net estimated earned income or net profit on or before June 15 of that current year, September 15 of that current year, or December 31 of that current year, whichever of these dates net follows the date on which the taxpayer first anticipates such net profit, or earned income, and pay to the officer in equal installments the tax due thereon, on or before the quarterly payment dates which remain after the filling of the declaration.

Every taxpayer who discontinues business prior to December 31, of the current year for which this tax is imposed, shall, within thirty (30) days after the discontinuance of business, file his final return as hereinabove required and pay the tax due.

Section V. Collection at the Source. Every employer having an office, factory, workshop, branch, warehouse or other place of business within the Borough of Bolivar, who employs one or more persons, other than domestic servants, for a salary, wage, commission or other compensation, who has not previously registered, shall within fifteen (15) days after becoming an employer, register with the Collector designated by the Borough Council of the Borough of Bolivar his name and address and such other information the Collector shall require.

Every employer having an office, factory, workshop, branch, warehouse or other place of business within the Borough of Bolivar, who employs one or more persons on a salary, wage, commission, or other compensation basis, shall deduct at the time of payment thereof the tax of one-half or one per centum (5/10%) of salaries, wages, commissions or other compensation due by the said employer to the said employee, and shall on or before October 31, 1966 and January 31, 1967, file a return any pay to the Collector the amount of taxes deducted during the preceding three-month period ending September 30 and December 31 respectively. for each succeeding year in which this tax is imposed, said employer shall, on or before April 30 of that current year, July 31 of that current year, October 31 of that current year, and January 31 of the succeeding year, file a return and pay to the Collector the amount of taxes deducted during the preceding three month period ending March 31 of that current year, June 30 of that current hear, September 30 of that current year, and December 31 of that current year, respectively. Such return unless otherwise agreed upon between the officer and employer shall show the name and social security number of each employee, the earned income of such employee during such preceding three-month period, the tax deducted there from, the name of the Borough of Bolivar as the political subdivision imposing the tax upon such employee, the total earned income of all such employees during such preceding three-month period, and the total tax deducted there from and paid with the return.

Any employer who for two of the preceding four quarterly periods has failed to deduct the proper tax, or any part thereof, or who has failed to pay over the proper amount of tax to the Collector, may be required by the Collector to file his return and pay the monthly return. In such cases, payments of tax shall be made to the Collector on or before the last day of the month succeeding the month for which the tax was withheld, provided, however, that the failure or omission by any employer, either residing within or outside of the Borough of Bolivar, to make such return and/or to pay such tax shall not relieve the employee from the payment of such tax, and the compliance with such regulations with respect to making returns and payments thereof as may be fixed in this Ordinance as established by the borough of Bolivar.

On or before February 28, of the succeeding year, every employer shall file with the Collector:

1. An annual return showing the total amount of earned income paid, the total amount of tax deducted, and the total amount of tax paid to the collector for the period beginning January 1, of the current year, and ending December 31, of the current year.

2. A return withholding statement for each employee employed during all or any part of the period beginning January 1, of that current year for which the tax is imposed, and ending December 31 of that current year, setting forth that employee's name, address, social security number, the amount of earned income paid to the employee during said period, the amount of tax deducted, the political subdivisions imposing the tax upon such employee, the amount of tax paid to the Collector. Every employer shall furnish two copies of the individual return to the employee for whom it is filed.

3. Except as otherwise provided in Section 9 of Act 511 of 1965, every employer who willfully or negligently fails or omits to make the deductions required by this section shall be liable for payment of the taxes which he was required to withhold to the extent that such taxes have not been recovered from the employee.

Section VI. Duties of the Collector. It shall be the duty of the Collector designated by the Borough Council of the Borough of Bolivar, for the collection of the tax herein imposed, to collect and receive the tax imposed by this Ordinance. it is also the duty of the Collector, designated by the Borough Council of the Borough of Bolivar, in addition to keeping the records now required by law or Ordinances, to keep a record showing the amount received by him for each taxpayer and the ate of such receipt.

Section VII. Enforcement : Rules and Regulations:

Inquisitorial Powers of the Borough of Bolivar and the Officers thereof:

a. The Collector, designated by the Borough Council of the Borough of Bolivar for the tax herein imposed, is hereby charged with the enforcement of the provisions of this Ordinance, and the rules and regulations made as prescribed herein, and is hereby empowered to promulgate and enforce rules and regulations relating to any matter or thing pertaining to the administration and enforcement of the provisions of this Ordinance, including provision for the re-examination and correction of returns and payments alleged or found to be incorrect or as to which an overpayment is claimed or found to have occurred.

b. The Collector, designated by the Borough Council of the Borough of Bolivar for the tax herein imposed, is hereby authorized to examine the books, papers and records of any employer or alleged employer, or of any taxpayer or supposed taxpayer, in order to verify the accuracy of any return made, and if no return was made, to ascertain the tax imposed by this Ordinance. Every such employer or alleged employer, or taxpayer or supposed taxpayer, is hereby directed to give up to the Collector, designated by the Borough Council of the Borough of Bolivar for the tax herein imposed, the means, facilities and opportunity for such examination and investigation as is hereby authorized, and to examine any person under oath concerning any income which was or should have been returned for taxation, and to this end may compel the production of books, papers, and records as the attendance of all persons before him, whether as parties or witnesses, whom he believes to have knowledge of such income.

c. Any information gained by the collector, designated by the Borough Council of the Borough of Bolivar for the tax herein imposed, as a result of any returns, investigations, hearings, or verifications required or authorized by this Ordinance, shall be confidential, and shall not be divulged or revealed, except in accordance with proper judicial order or as otherwise provided by law, or regulations made in accordance with this Ordinance, and any person or agent divulging such information shall be subject to a fine or penalty of not more than Five Hundred ($500.00) dollars and costs for each offense, and in default of payment of said fine and costs to be imprisoned for a period not exceeding thirty (30) days.

Section VIII. Interest and Penalties. All taxes imposed by this Ordinance remaining unpaid after they become due shall bear interest in addition to the amount of the unpaid tax at the rate of six per centum (6%) per years, and the persons upon whom said taxes are imposed shall be further liable to a penalty of one-half of one per centum (1/2%) of the amount of the unpaid tax for each month or fraction of a month for the first six months or nonpayment.

Section IX. Collection of Unpaid Taxes. All taxes imposed by this Ordinance, together with all interest and penalties, shall be recoverable by the Borough Solicitor as other debts of like amounts are recoverable by Boroughs as authorized and set forth in the laws of the Commonwealth of Pennsylvania.

Section X. Violations and Penalties. Any person convicted before the Mayor of the Borough of Bolivar, or any Justice of the Peace, for a violation of any of the provisions or requirements of this Ordinance, or who shall fail, neglect, or refuse to make any return required by this Ordinance, or any taxpayer who shall fail, neglect or refuse to pay the tax, penalties and interest imposed by this Ordinance, or any person who shall refuse to permit the Collector, designated by the Borough of Council of the Borough of Bolivar for the tax herein imposed, to examine his books, records and papers, or who shall knowingly make any incomplete, false or fraudulent return, or who shall attempt to do anything whatever to avoid the full disclosure of the amount of his earnings or profits to avoid the payment o the whole or any part of the tax, shall be subject to a fine or penalty not exceeding Five Hundred ($500.00) dollars and costs for each such offense, or to undergo imprisonment for not more than thirty (30) days for the nonpayment of such fine or penalty.

Such fine or penalty shall be in addition to any other penalty imposed by any other section of this Ordinance.

The failure of any employer or any taxpayer to receive or procure a return form shall not excuse him from making a return.

Section XI. Applicability. This Ordinance shall not apply to any person or property as to whom or which it is beyond the legal power of the Council to impose the tax or duties herein provided for,

Section XII. Construction. If any sentence, clause or part of this Ordinance is, for any reason, found to be unconstitutional, illegal, or invalid, such unconstitutionality, illegality, invalidity shall not affect or impair any of the remaining provisions, sentences, clauses or sections or parts of this Ordinance. It is hereby declared as the intent of the Borough Council of the Borough of Bolivar, that this Ordinance would have been adopted had such unconstitutional, illegal, invalid sentence, clause, section or part thereto not been included herein.

Section XIII. That all Ordinance or Resolutions, or parts thereof inconsistent herewith, be and the same are hereby repealed.

Section XIV. This Ordinance shall become effective thirty (30) days after the final passage.

Enacted and ordained in Council this 2nd day of January A.D. 1968

Peter. J. Bonavero

Council President

Attest:

Erma McCartney

Secretary

Approved this 2nd day of January A.D. 1968

Frank B. Gibson

Burgess

Original Ordinance in ordinance book page 163