Changes to Business Income and Receipts Tax
Starting with Tax Year 2014, businesses in Philadelphia will receive a tax break on their Business Income and Receipts Tax (BIRT). Every individual, partnership,association and corporation engaged in a business in a business is required to file an annual BIRT return, whether they made a profit or not.[-]
The new tax break exempts the first $50,000 earned by a business and the net income associated with it. The exemption amount increases to $75,000 for tax year 2015; and $100,000 for Tax Year 2016 and thereafter. The "gross receipts", or the amount of money a business has made in a year, is taxed at a rate of $1.415 per $1,000. The "net income" is taxed at a rate of 6.43% and will be reduced gradually until it reaches 6% in tax year 2023.
Mandatory Electronic Filing and Payment for Use and Occupancy Tax
Effective January 1, 2015, the City of Philadelphia requires all Use and Occupancy Tax returns, both current and past due, to be filed and paid electronically. To file and pay on-line go to https://ework.phila.gov/revenue/
. Payment can also be initiated using our Electronic Funds Transfer
Free Tax Preparation Resources
The City of Philadelphia Department of Revenue has partnered with Campaign for Working Families (www.cwfphilly.org), in collaboration with the Mayor’s Office of Community Empowerment and Opportunity (CEO), to increase the availability of free tax preparation services in Philadelphia.
If you are an organization offering free tax preparation services, please contact Matthew.Fisher@phila.gov to have your site information added to our resource list.Free Tax Preparation Resource List
Refuse Collection Fee
Refuse Collection Fee Exemption Form
The Refuse Collection Fee for the 2015 calendar year is three hundred dollars ($300.00). This fee is assessed on all eligible commercial, multi-unit residential or mixed-use properties and is applied towards the collection of rubbish and recycling materials. Owners of these premises may elect to receive city collection for the annual fee or choose to obtain collection service from a private hauler. Property owners may also qualify for an exemption.
For additional information you can contact the Department of Revenue, Refuse Collection Unit at 215-686-5090 or via e-mail at firstname.lastname@example.org. For on-line payment options, visit https://secure.phila.gov/PaymentCenter/AccountLookup/.
Business Income and Receipts Tax Credit for Contributions to a Community Development Corporation
Philadelphia Code § 19-2604(6) allows a business to receive a tax credit against their Business Income and Receipts Tax (BIRT) liability for a contribution to a Qualifying Organization. Currently the program has four (4) available openings for businesses seeking to partner with and contribute $85,000 per year for ten (10) years to a Qualifying Community Development Corporation. The Department is accepting applications from businesses starting January 13, 2015 @ 9 am on a “first come first served” basis. If there are more applicants than the four (4) available openings, the applicable law and regulations will be used to make the selection. Successful applicants will be required to execute a Contribution Agreement with the City of Philadelphia Department of Revenue.
Original Applications can be found on our website www.phila.gov/revenue under the “Tax Professional Info” link.
Note: There are 4 available slots for Qualifying Community Development Corporations only. The Nonprofit Intermediary slots and Nonprofit Organizations Engaged in Developing and Implementing Healthy Food Initiatives slots are not available at this time.
If your check is returned unpaid for insufficient or uncollected funds, (1) you authorize eCollect, LLC to make a one-time electronic funds transfer from your account to collect a fee of $20; and (2) eCollect, LLC may re-present your check electronically to your depository institution for payment. [-]
Assistance Programs Requirements
The Department of Revenue understand that circumstances can prevent residents from being able to pay their Real Estate and/or Water bills. Help is available through a variety of assistance programs for senior citizens, rental tenants, low-income households, owner-occupied residences and others.[-]