READ AND PASSED

This enacted ordinance changes how Philadelphia’s Business Income and Receipts Tax determines which business receipts are taxable when a company operates, delivers services, or licenses intangible property inside and outside the city. Businesses must separate receipts based on where the activity or use occurs; if receipts cannot be separated, the Revenue Department would establish allocation rules. The changes would apply for the tax year after the Pennsylvania General Assembly authorizes them.

Amending Section 19-2600 of The Philadelphia Code, entitled "Business Income and Receipts Taxes," with respect to allocation and apportionment of income and receipts inside and outside of the City, all under certain terms and conditions.