Pennsylvania Act 1963-338 — ALLOW FIRST CLASS CITIES TO IMPOSE ADDITIONAL SCHOOL TAXES

Act text

ALLOW FIRST CLASS CITIES TO IMPOSE ADDITIONAL SCHOOL TAXES
                  Act of Aug. 9, 1963, P.L. 640, No. 338              Cl. 11
                                  AN ACT

     Empowering cities of the first class, coterminous with school
        districts of the first class, to authorize the boards of
        public education of such school districts to impose certain
        additional taxes for school district purposes, and providing
        for the levy, assessment and collection of such taxes.

        The General Assembly of the Commonwealth of Pennsylvania
     hereby enacts as follows:

        Section 1.  (a)  The council of any city of the first class,
     coterminous with a school district of the first class may, by
     ordinance, authorize the board of public education of such
     school district to impose taxes for the purposes of such school
     district on any persons, transactions, occupations, privileges,
     subjects, and real and personal property which may now or
     hereafter be taxable by such city for general revenue purposes,
     except that no such ordinance shall authorize the imposition of
     a tax on the wages, salary or net income of any person not a
     resident of such school district.
        (b)  The council of any city of the first class, coterminous
     with a school district of the first class may, in addition, by
     ordinance authorize the board of public education of such school
     district to impose a tax on the income of all kinds from the
     ownership, lease, sale or other disposition of tangible and
     intangible real and personal property of persons who are
     residents of the school district, whether or not such income may
     presently be subject to tax by the city for general revenue
     purposes under the act of August 5, 1932 (P.L.45), as amended:
     Provided, That as to income received by residents after January
     1, 1968, a tax on such income from property shall not be imposed
     at an annual rate higher than the then current annual rate of
     tax imposed or authorized by the council of the city upon the
     wages or net profits of such residents.
        There shall be excluded from any tax under this act
     authorized by the city council of any city of the first class
     and levied by any school district of the first class:
        (1)  All interest on public loans issued by this Commonwealth
     or the United States, and public loans and obligations of any
     county, city, borough, town, township, school district, and
     incorporated district of this Commonwealth, and bonds and
     obligations of bodies corporate and politic of this Commonwealth
     known as municipal authorities;
        (2)  Interest and dividends received or credited on savings
     deposits and savings certificates issued by any private bank,
     building and loan association, savings and loan association,
     credit union, savings bank, bank, bank and trust company or
     trust company. For purposes of this paragraph a savings
     certificate means an instrument designated as a savings
     certificate or a savings bond and which either according to the
     rules of the issuer in effect at the time the instrument is
     issued or when this act is approved, whichever is later, can
     only be originally issued to an individual or a nonprofit
     organization, or is non-negotiable; and
        (3)  Gains realized upon the sale, exchange or other
     disposition of tangible or intangible personal property or of
     real estate: Provided, That the property which produced such
     gains has been owned by the resident for a period of more than
     six months prior to the date of sale, exchange or other
     disposition.
        (1 amended Nov. 16, 1967, P.L.500, No.244)
        Section 2.  The ordinance authorizing the tax shall fix the
     rate thereof, and provide for the levy, assessment and
     collection of the same. Such taxes shall be levied, assessed and
     collected in accordance with all provisions, restrictions,
     limitations, rights of notice and appeal as are applicable to
     like taxes imposed for city purposes.
        Section 3.  Nothing in this act shall be deemed to diminish,
     limit or qualify any power now or hereafter existing to impose,
     assess, levy or collect any tax or taxes in the manner or by the
     agency provided by law.
        Section 3.1.  The board of public education is authorized to
     adopt regulations for the administration of any tax or taxes
     which are authorized by city council to be levied under the
     authority of this act. Such regulations shall include provisions
     for the collection of the tax, bringing suit for unpaid taxes
     and issuing execution.
        (3.1 added Nov. 16, 1967, P.L.500, No.244)
        Section 3.2.  If any sentence, clause, section or part of
     this act is for any reason found to be unconstitutional, illegal
     or invalid, such unconstitutionality, illegality or invalidity
     shall not affect or impair any of the remaining provisions,
     sentences, clauses, sections or parts of this act. It is hereby
     declared as the intent of the General Assembly that this act
     would have been adopted had such unconstitutional, illegal or
     invalid sentence, clause, section or part thereof not been
     included herein.
        (3.2 added Nov. 16, 1967, P.L.500, No.244)
        Section 3.3.  Nothing contained in this act shall be
     construed to empower any school district of the first class
     pursuant to the authority conferred upon it by the city council
     to levy and collect any taxes not within the taxing power of the
     school district under the Constitution and statutes of this
     Commonwealth and the Constitution and statutes of the United
     States.
        (3.3 added Nov. 16, 1967, P.L.500, No.244)
        Section 4.  This act shall take effect immediately.