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Amending Section 19-1508 of The Philadelphia Code, entitled “Refunds and Forgiveness for Poverty Income,” to revise the tax rate, under certain terms and conditions.
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THE COUNCIL OF THE CITY OF PHILADELPHIA HEREBY ORDAINS:
SECTION 1. Section 19-1508 of The Philadelphia Code is hereby amended to read as follows:
§ 19-1508. Refunds and Forgiveness for Poverty Income.
(1) Low Income Residents.
(a) Beginning with the calendar year January 1, 2015 through December 31, 2015, and for each calendar year [thereafter,] through December 31, 2019, the rate of tax imposed on Low Income Residents under § 19-1502(1)(a) and (2)(a) shall be one half of one percent (0.5%) less than the rate of tax imposed upon Residents during such periods.
(b) Beginning January 1, 2020, the rate of tax imposed on Low Income Residents under § 19-1502(1)(a) (tax on salaries, wages, etc.) shall be as follows:
(.1) From January 1, 2020, through June 30, 2020: 1.8712%.
(.2) For the fiscal year July 1, 2020, through June 30, 2021, and thereafter: zero.
(c) Beginning January 1, 2020, the rate of tax imposed on Low Income Residents under § 19-1502(2)(a) (tax on net profits) shall be as follows:
(.1) For the calendar year January 1, 2020, through December 31, 2020, and thereafter: zero.
(2) Low Income Non-Residents.
(a) Beginning with the calendar year January 1, 2015 through December 31, 2015, and for each calendar year [thereafter,] through December 31, 2019, the rate of tax imposed on Low Income Non-Residents under § 19-1502(1)(b) and (2)(b) shall be one half of one percent (0.5%) less than the rate of tax imposed upon Non-Residents during such periods.
(b) Beginning January 1, 2020, the rate of tax imposed on Low Income Non-Residents under § 19-1502(1)(b) (tax on salaries, wages, etc.) shall be as follows:
(.1) From January 1, 2020, through June 30, 2020: 2.9481%.
(.2) For the fiscal year July 1, 2020, through June 30, 2021, and thereafter: 1.50%; provided that, this rate shall be reduced to zero when the tax imposed pursuant to Chapter 19-2800 (“Pennsylvania Intergovernmental Cooperation Authority Tax on Wages and Net Profits”) expires.
(c) Beginning January 1, 2020, the rate of tax imposed on Low Income Non-Residents under § 19-1502(2)(b) (tax on net profits) shall be as follows:
(.1) For the calendar year January 1, 2020, through December 31, 2020, and thereafter: 1.50%; provided that, this rate shall be reduced to zero when the tax imposed pursuant to Chapter 19-2800 (“Pennsylvania Intergovernmental Cooperation Authority Tax on Wages and Net Profits”) expires.
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Explanation:
[Brackets] indicate matter deleted.
Italics indicate new matter added.
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