Business Taxes

Township Business Taxes

• Business Privilege Tax
• Mercantile Tax
• Local Services Tax
• Occupational Privilege Tax
• Amusement Tax
• Itinerant Merchants
• Appeal Application
• Links

Approximately 17% of the annual Township general fund revenues are derived from business taxes including the Business Privilege Tax, Mercantile Tax, Occupational Privilege Tax and Amusement Tax. All entities and individuals engaged in business or conducting commercial activities are subject to the business tax and licensing requirements.

If you have a business, home occupation or are engaged in other commercial activities within the township, please refer to the following summary information regarding tax returns and licenses.

Resolution #2010-26 (PDF) - Revising and restating Resolution 81-15 regarding the regulations administering the Business Privilege Tax and the Mercantile Tax (dated May 27, 2010).

Business Privilege Tax

• Due date: May 1 of each year
• Tax rate: 1.5 Mills (.0015 of total gross receipts)

The Business Privilege Tax Return Form and Business License Application can be accessed from the Tri-State website.

Important Amendment to Local Tax Enabling Act - Enforcement of Business Privilege Tax:

Effective with the 2014 tax year, Act 511 amendments permit the Township to apply the Business Privilege Tax to any business meeting either of the following two criteria:

1. The taxpayer exercises the privilege of conducting transactions within the Township for all or part of fifteen (15) calendar days within the calendar year; or
2. The taxpayer exercises the privilege of conducting business within the Township through a base of operations in the Township.  The gross receipts subject to this tax will not include any receipts subject to the tax measured by the imposition of the tax referenced in 1, above.

As used in #2, above, “base of operations” means an actual, physical and permanent place of business from which a taxpayer manages, directs and controls its business activities at that location.

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Mercantile Tax

• Due date: May 1st of each year
• Tax rate: For wholesale sales is 1.0 Mills
  (0.001 of total gross receipts)
• Tax rate: For retail sales is 1.5 Mills
  (0.0015 of total gross receipts)

The Mercantile Tax Return Form and Business License Application can be accessed from the Tri-State website.

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Local Services Tax

Effective January 1, 2010, Whitemarsh Township has enacted the Local Services Tax at the rate of $52 annually and has appointed Berkheimer as the Tax Administrator. This tax replaces the Occupational Privilege Tax and the Emergency and Municipal Services Tax (EMST).

Tax payments and forms for 2010 and later must be remitted to Berkheimer.

Effective with the First Quarter of 2010, which begins January 1, 2010, all employers located in Whitemarsh Township will be required to withhold the Local Services Tax from all employees at the rate of $52 annually, except those employees that file an exemption form because they expect their earnings to be less than $12,000 or they are paying to another employer. The Local Services Tax will be a $1.00 weekly payroll deduction for each employee. Employees have the right to complete a Local Services Tax Exemption Certificate.

Please be advised that the same income exemption may not apply to the school district portion of the tax.

Please note the quarterly due dates shown on the forms. Employers shall be required to remit the Local Services Tax thirty days after the end of each quarter.

Self-Employment

If you are self-employed and your business is located in Whitemarsh Township you will be responsible for remitting the $52 LST to Berkheimer. These payments are due quarterly as well.

Veterans

A person who served in any war or armed conflict in which the United States was engaged, received an honorable discharge and as a result of such service was left blind, a paraplegic, a double or quadruple amputee or has a service connected disability declared by the United States Veterans Administration (or its successor) to be a total one hundred percent permanent disability is exempt from the LST. Likewise, any person who serves as a member of a reserve component of the armed forces and is called to active duty during the tax year is exempt from the tax.

All criteria for Disabled Veterans Real Estate Tax Exemption can be found here.

If you have any questions or need additional information, please contact Berkheimer at 610-599-3142 or 866-701-7205. They will be happy to assist you.

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Amusement Tax

A tax is imposed upon the sale of admission or on the privilege of attending or engaging in amusements at the rate of 10% of the sales of admission or established price by any producer of such an event. Every producer of an amusement event shall file an application for an annual or a temporary amusement permit. The annual permit is effective for the calendar year designated and the temporary permit is effective for 10 days.

In addition to permits the producer must file a tax return as follows:

• Amusement Tax Annual: The tax return is due by the 10th of each month following the previous months activities. The rate of tax is 10% of gross collections.
• Amusement Tax Temporary: The tax return with full remittance is due
• upon the conclusion of the event.
• Rate of tax: 10% of gross collections.

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Itinerant Merchants

Itinerant merchant's must file a license application prior to the opening or starting of activity within the Township. The license is valid for a 60 day period. Each merchant or provider of service is liable for the tax as per the following schedule.

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Links

Detailed regulations on Township business taxes can be obtained on line at the following sites:

• Township Tax Ordinances - search for "Taxation"
• Questions regarding the Business Taxes should be directed to the Township's Business Tax Collector
• Tri-State by calling (610) 270-9520 or online at the Tri-State website.

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