CITY OF PHILADELPHIA LAUNCHES FIRST TAX AMNESTY PROGRAM IN OVER TWO DECADES
Wednesday, May 19, 2010
PHILADELPHIA PA-For the first time since 1986, the City of Philadelphia is offering individuals and businesses delinquent in paying city taxes an opportunity to settle up on what they owe. While not a “free pass,” those who participate in, and qualify for, the Philadelphia Tax Amnesty program will have all of their tax penalties waived, as well as pay only half the interest owed. However, time is of the essence, as the Philadelphia Tax Amnesty period is only available for fifty-four days, May 3, 2010 – June 25, 2010.
According to Philadelphia Business Journal, The program, which is projected to bring in a net $25 million to $30 million, is so far meeting expectations, the city Department of Revenue said. Now two weeks in, Philadelphia’s tax amnesty program has taken in $2.3 million in gross collections.
The City is implementing an aggressive strategy to embrace as many individuals and businesses as
possible with the opportunities of the Tax Amnesty program, as well as motivate them to take immediate action. Included in the outreach will be displays of numerous real and “virtual” Philadelphia Tax Amnesty count-down clocks, including one at City Hall, to remind people of the urgency and help assure they take action before it’s too late.
Commissioner Keith Richardson highlighted the following key points of the Philadelphia Tax Amnesty Program:
- What it is: A limited-time program that allows individuals and businesses who owe Philadelphia back-taxes to come forward and clear up their debts.
- Duration: 54 days, beginning on May 3, 2010, and ending on June 25, 2010 at 11:59PM
- Eligibility:Anyone who lives, works, owns property, or does business in the City of Philadelphia and owes outstanding taxes to the City is eligible to participate
- Ineligibility: Anyone who is a subject of a criminal investigation, defendant in a criminal complaint related to City of Philadelphia taxes, or who has participated in a prior Philadelphia Tax Amnesty program is not eligible to participate
- Years covered: Tax liabilities to the City of Philadelphia incurred from February 1, 1986 to June 30, 2009Tax liabilities to the City of Philadelphia incurred from February 1, 1986 to June 30, 2009
Those who do not participate and settle up back taxes before the end of the amnesty period will have their tax debts turned over to lawyers or a third party collection agency for further action, may be charged new penalties, including fines of up to $5,000, and may be subject to lawsuits and other actions allowed by law, including the seizure and sale of property.
Further details on Philadelphia Tax Amnesty, including what taxes are included and excluded from the program, are available by calling 1-877-645-4108 or online at PhillyTaxAmnesty.com. Participants in the program are also encouraged to visit the program Walk-in Site between the hours of 8:00 AM and 5:00 PM, Monday-Friday, located in Center City Philadelphia, at 1315 Walnut Street, Suite 1300, where they can complete the Philadelphia Tax Amnesty application, make payments, call the Hotline, and get assistance in filing tax returns.
