TAX & LICENSE / STATE TAX SYSTEM

State Income Tax
Pennsylvania imposes a 3.07 percent personal income tax rate, although taxpayers are able to reduce their tax liabilities through allowable deductions, credits, and exclusions. For more information or answers to specific questions, contact:

Pennsylvania Tax Information
888-PATAXES
www.revenue.pa.gov

This toll-free, touch-tone, automated service allows taxpayers to:

*           Check on the progress of personal income tax payment, return, and refund
*           Obtain information on property tax and rent rebate claims
*           Order a form (either faxed or mailed)
*           Obtain answers to the most commonly asked questions for personal and business taxes

Sales & Use Tax
Pennsylvania imposes a 6 percent tax on the retail sale, consumption, and the rental or use of specific items. Major items exempt from sales tax include retail food purchases, most wearing apparel, drugs, textbooks, resale merchandise, and residential heating fuels. Local jurisdictions may increase this rate by approximately 1 percent. Use Tax is due on items that were purchased outside of Pennsylvania without sales tax such as catalog orders for computers, sports equipment, or formal clothing. Use Tax is paid directly to the Department of Revenue.

Inheritance Taxes
Pennsylvania does not impose a tax on property inherited from a spouse. Transfers to direct heirs including grandparents, parents, children, spouses of children, or lineal descendants are taxed at a 6 percent rate. Transfers to siblings and all other persons are taxed at a rate of 15 percent.

Realty Transfer Tax
The state imposes a realty transfer tax of 1 percent of the actual consideration or price of the property represented in the deed. Local municipalities also tax a minimum of 1 percent. When the document has no consideration stated or the transaction is not arm’s-length, the tax rate is 1 percent of the property’s actual monetary worth (assessed value adjusted to market value).

Pennsylvania State Residency
No formal procedure is required to establish legal residence in Pennsylvania. Automobile registration, voter registration, driver’s license, or the appearance of a person’s name on a city or town street list, and rent, utility, telephone or mortgage bills normally provide tangible proof of residence. However, individual public or private agencies or institutions may have their own residency requirements.

Property Taxes
Real estate or property taxes are levied by the local governments including counties, municipalities, and school districts. In most areas of the state, all three groups levy real estate or property taxes at varying rates. Cities, townships, and boroughs are permitted to levy taxes that do not exceed 30 mills on the assessed value of the property without special permission of the courts. For more information, contact your local assessors’ offices.

County Assessors

Adams
717-337-9837
www.adamscounty.us

Bedford
814-623-4842
www.bedfordcountypa.org

Cumberland
717-240-6350
www.ccpa.net

Dauphin
717-780-6101
www.dauphincounty.org

Franklin
717-261-3801
www.franklincountypa.gov

Fulton
717-485-3208
www.co.fulton.pa.us

Huntingdon
814-643-1000
www.huntingdoncounty.net

Juniata
717-436-7740
www.co.juniata.pa.us

Lancaster
717-299-8381
www.co.lancaster.pa.us

Lebanon
717-228-4425
www.lebcounty.org

Perry
717-582-2131
www.perryco.org

York
717-771-9232
https://yorkcountypa.gov