Title
Amending Title 2 of The Philadelphia Code, entitled City-County Consolidation, Chapter 2-300, entitled Property Assessment, Section 2-305, entitled Office of Property Assessment; Chief Assessment Officer; Powers and Duties, by setting the deadline to apply for the exemption authorized by this Section to be June 1, 2015, for Tax Year 2016; all under certain terms and conditions.
Body
WHEREAS, Bill No. 130123, amending Section 2-305 of The Philadelphia Code, entitled Office of Property Assessment; Chief Assessment Officer; Powers and Duties, by providing for standards for tax exemptions and for documentation requirements, all under certain terms and conditions, was passed by City Council on June 13, 2013, and signed by the Mayor on June 25th, 2013; and
WHEREAS, The Office of Property Assessment sent out notices dated January 21, 2015, but not sent out until February 13, 2015, to exempt entities notifying them of the need for certification and document requirements for exemption from real estate taxes and establishing March 31, 2015, as the deadline for such application submissions for Tax Year 2016; and
WHEREAS, The required documentation is burdensome: a copy of the organization's Articles of Incorporation; a copy of the organization's Internal Revenue Service letter of determination for 501-c (3) recognition; a copy of the organization's Charter and By-Laws, including all amendments; a copy of the most recent Income and Expense Statement; a copy of the organization's current Statement of Assets and Liabilities; a copy of the organization's most recently filed Internal Revenue Service Form 990; a statement of all fund-raising activities conducted by the organization; a copy of lease(s) entered into by the organization for space at the subject property; and a copy of the recorded deed for the subject property; and
WHEREAS, Failure to comply with the documentation requirements will slow processing; and
WHEREAS, Failure to meet the March 31, 2015, deadline will have extremely serious financial consequences for exempt entities by causing the subject properties to lose any exemption and become fully taxable for Tax Year 2016 and future years going forward; and
WHEREAS, Many exempt organizations are having difficulty meeting the deadline; and
WHEREAS, The extension of the administratively-established deadline of March 31, 2015, by the legislative establishment of a deadline of June 1, 2015, would provide needed relief to many exempt organizations; and
WHEREAS, The City should do what it can to relieve the administrative burdens placed upon those exempt organizations by the short timeframe for compliance; now, therefore
THE COUNCIL OF THE CITY OF PHILADELPHIA HEREBY ORDAINS:
SECTION 1. Title 2 of The Philadelphia Code is hereby amended to read as follows:
CHAPTER 2-300. PROPERTY ASSESSMENT.
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§ 2-305. Office of Property Assessment; Chief Assessment Officer; Powers and Duties.
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(2) Except as Council may ordain from time to time, the Chief Assessment Officer shall:
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(l) Consider and determine applications for tax abatement and tax exemption.
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(.3) An exempt entity shall annually file with the Office of Property Assessment a sworn statement, in form satisfactory to the Chief Assessment Officer and accompanied by such documentation as may be necessary, certifying:
(A) Its continued status as a purely public charity.
(B) With respect to all property for which exemption is claimed, the uses to which the property is put and how those uses further the purpose or purposes which entitle the entity to the exemption.
(C) The portion of exempt property used for such purposes.
(.4) The deadline for the submission of the sworn statement and accompanying documentation required by Subsection (.3) of this Section for Tax Year 2016 is June 1, 2015.
(.5) [(.4)] Any claim of additional property or additional portion of property subject to exemption shall require an additional application to the Chief Assessment Officer.
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SECTION 2. This Ordinance shall take effect immediately.
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Explanation:
[Brackets] indicate matter deleted.
Italics indicate new matter added.
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