| William H. Magill on Fri, 20 Jun 2003 11:58:09 -0400 |
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On Thursday, June 19, 2003, at 11:47 AM, Kevin Brosius wrote: I find it a little comforting that building construction and civil (highway/bridge construction) engineers have some oversight, based on a test that covers engineering fundamentals and practices. You feel that the PE certification is a waste?
The PE certification is a Civil Engineering certification based on 1950s concepts. It's primary "useful" requirement today, is knowledge of the current building codes. The licensing situation is best summed up with joke... "What do you call the person who graduates last in their class at Medical School? ... Doctor." I know quite a few PEs including ones in my family, however they rarely have anywhere near the knowledge (practical and or otherwise) of the Architects whose plans they must approve. The "story" is that these licenses "protect" the public from "unqualified" practitioners. The Philadelphia Wage Tax is NOT an Occupation Tax. It is a tax on wages. An Occupation tax is a tax based on your job. If you are beautician, you pay one tax, if you are a bricklayer, you pay another, etc. It is also called an "Occupation Privilege Tax." A wage tax is based on the wages you earn, independent of the occupation. You have to pay the Occupation tax before you are permitted to earn wages. Generally speaking, if you live and work in the same community, you pay one or the other. However, if you live in one location and work in another, you are normally liable for both. Penn State describes them as follows: "The occupation tax has roots in England during the seventeenth and eighteenth centuries. At that time, many occupations were created by grant or title and could be sold or transferred between individuals. Occupations thus often were a form of property which could be bought and sold, much like real estate. It is not surprising then that the occupation tax is very similar to the real property tax. The tax is levied on the value of residents' occupations, as determined by the county tax assessors office. The occupation of school bus driver may have an assessed value of $25, for example, while that of a lawyer may be $290. Assessed values are not based upon income, so all members of the same occupation will pay the same amount of occupation tax even if their income differs dramatically. The local jurisdiction levies a tax rate on these occupational assessments. The occupation tax is collected from residents, without regard to where they actually practice their occupation. The occupation tax can also be levied as a flat rate tax. Every person who works pays the same amount, regardless of their occupation. The maximum levy as a flat rate is $10 per person, while there is no limit if the occupation tax is levied as a tax rate.
The occupational privilege tax is a tax on the privilege of working in the jurisdiction. All persons employed in the jurisdiction levying this tax must pay, regardless of whether they are legal residents of the jurisdiction. The maximum levy is $10. . . . 5. Earned Income Tax The earned income tax is a kind of income tax levied only on residents' earned income (such as wages, salaries, or other reimbursements for work). Unearned income, such as interest, dividends, pensions, and social security are exempt from the tax. Unlike the federal or state income taxes, the earned income tax allows no exemptions or standard deductions. A jurisdiction can collect earned income tax from non-residents who work in the jurisdication but do not pay an earned income tax in their "home" jurisdiction. The maximum levy is 1 percent of earned income. If both the municipality and school district levy the earned income tax, both must share the 1 percent. " [Note that the Philadelphia Wage Tax has separate enabling Legislation from the State Government in Harrisburg which defines its limits, which are more than 1%. ... bet you thought that Philadelphia levied the tax all by its self... Pennsylvania's tax laws ARE worse than you can imagine.] Radnor Township describes their version: "The Occupational Privilege Tax (OPT) is levied by the Radnor Township Board of Commissioners for the privilege of engaging in an occupation within the Township. All residents and nonresidents alike who are employed in Radnor Township are required to pay an annual OPT of $10.00." T.T.F.N. William H. Magill # Beige G3 - Rev A motherboard - 768 Meg # Flat-panel iMac (2.1) 800MHz - Super Drive - 768 Meg # PWS433a [Alpha 21164 Rev 7.2 (EV56)- 64 Meg]- Tru64 5.1a magill@mcgillsociety.org magill@acm.org magill@mac.com _________________________________________________________________________ Philadelphia Linux Users Group -- http://www.phillylinux.org Announcements - http://lists.netisland.net/mailman/listinfo/plug-announce General Discussion -- http://lists.netisland.net/mailman/listinfo/plug
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