The Borough of Penndel recently passed an ordinance to begin collecting a local earned income tax in 2021. The tax will be assessed to Borough residents regardless of where they work and non-residents working in the Borough at 1% of earned income and net profits. Non-residents who already pay the tax in their home community will not be double taxed. This rate will be effective as of January 1, 2021.
Pennsylvania law requires employers to withhold and report employee EIT. Quarterly payroll withholding and payment is due within 30 days after the close of each calendar quarter to avoid statutory penalty, interest and Act 192 costs.
Keystone Collections Group, the Act 32 tax officer for municipalities and school districts in Bucks County, will be responsible for collecting the tax and distributing the tax funds to Penndel.
Keystone encourages employers to file local payroll taxes online using its Business Portal. Keystone’s e-filing systems are accessible at www.KeystoneCollects.com/page/business. Residents can obtain additional information about the tax payment process by visiting Keystone’s website www.KeystoneCollects.com or by calling 1-866-539-1100.
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