Purpose of the Act

• According to the text of the act, it was created to enable public agencies throughout the state to levy and collect taxes without prior approval from the state government. Agencies permitted to perform this function include governments of second- and third-class cities, towns, and boroughs, third- and fourth-class independent school districts and first- and second-class townships. The act does not permit all agencies to levy all taxes but rather places restrictions on which agency may levy which tax for what purpose, and how it must be done regarding tax legislation and officials.
  
  

Sections 1 to 12

• Sections 1 to 12 comprise 15 pages of the act. These sections begin with the short title of the legislation -- Local Tax Enabling Act -- and continue to explain the delegation and restriction of taxing powers, permissible rates and amounts of taxes levied by approved agencies, the collection of taxes, tax recapture and auditing processes. Other areas covered by Sections 1 to 12 include special taxes like payroll and city parking tax and judicial procedures such as appeals by taxpayers.
  
  

Sections 13 to 23

• Sections 13 to 23 of the act comprise 14 pages, more than half of them consumed by Section 13, which is 7 1/2 pages long. Entitled Earned Income Taxes, Section 13 contains subsections concerning definitions of common taxation terminology; the imposition, declaration and payment of income tax, methods of tax collection; the parameters of earned income; the powers and duties of the income tax officers; and fines, penalties and interest levied against unpaid income tax. Sections 14 to 23 concern personal property tax, tax limitations, delinquent tax collection, clarifications regarding laws enacted before the act, legal representation in tax cases, the payment of tax to political subdivisions not previously addressed, repealed portions of the text and emergency and municipal service taxes.
  
  

Appendix

• The appendix of the act, added in 2004, is entitled Supplementary Provisions of Amendatory Statutes and lists amendments made to the original text on or after that date. Each of these six amendments is listed in full in this appendix. Also listed along with each amendment are provisions of related laws affected by the implementation of the amendment. Amendments listed were made to sections 6, 6.1, 8, 11 and 12.