The Berkheimer per capita tax is a flat local tax of up to $15 a year that every adult resident of a participating Pennsylvania taxing district owes, no matter whether they work, own property, or earn any income. Berkheimer Tax Innovations is the private firm that bills and collects the tax on behalf of many Pennsylvania municipalities and school districts, which is why the notice comes from Berkheimer instead of your township or district directly.
Who Owes It
The tax is tied to residency. If you live in a taxing district that levies a per capita tax, you owe it. Employment, property ownership, and income do not factor in. The Pennsylvania School Code sets the age threshold at 18 for school district per capita taxes, and most municipalities use the same standard for their own levy.1Berkheimer. Per Capita and Occupation Assessment Taxes A handful of local ordinances define “adult” differently, but 18 is the norm.
Each adult is billed individually. Two adults in one household receive two separate bills. Retirement, unemployment, and disability do not automatically excuse the tax, though you may qualify for an exemption depending on your district’s rules.
How the $15 Breaks Down
A per capita tax bill is actually the sum of up to two separate levies. Under the Local Tax Enabling Act (Act 511), a municipality and a school district can each impose a per capita tax, but their combined Act 511 total cannot exceed $10. When both levy it, they split that $10.2Berkheimer. Per Capita and Occupation Assessment Taxes FAQ School districts can then add another $5 per capita tax under the Pennsylvania School Code (Act 679), which is what brings the maximum to $15.1Berkheimer. Per Capita and Occupation Assessment Taxes
Not every district levies both parts. Some charge only the Act 511 portion, some only the School Code portion, some the full $15. Your bill reflects whatever your local taxing authorities have adopted by ordinance or resolution.
Per Capita vs. Occupation Assessment on the Same Bill
Berkheimer often prints the per capita tax and the occupation assessment tax on the same notice, and people mistake them for a single charge. They are two different taxes. The per capita tax is a flat fee based only on where you live. The occupation assessment tax is based on your employment and can be either a flat amount or a rate that varies by occupation category.1Berkheimer. Per Capita and Occupation Assessment Taxes If you are retired or unemployed, you still owe the per capita tax but may not owe an occupation assessment. Read the line items separately, because you might qualify for relief on one and not the other.
When You Can Get Out of Paying
Pennsylvania law lets local taxing authorities exempt certain residents from the per capita tax, but the exemptions are optional at the local level. The most common one is income-based: under Act 511, a municipality or school district may exempt anyone whose total income from all sources is under $12,000 a year.3Pennsylvania General Assembly. Local Tax Enabling Act The word that matters is “may.” If your district hasn’t adopted the exemption by ordinance or resolution, the income threshold doesn’t help you.
Active-duty military personnel stationed outside Pennsylvania are generally exempt. Pennsylvania does not tax military pay earned on active duty outside the state, and the principle carries over to local per capita assessments in most districts.4Commonwealth of Pennsylvania. Military Pay for PA Personal Income Tax Purposes
Other common grounds for exoneration:
- The person named on the bill has died, and a surviving family member submits documentation.
- You received duplicate bills for the same tax year under different account numbers.
- You have a permanent disability, in districts that offer this exemption.2Berkheimer. Per Capita and Occupation Assessment Taxes FAQ
None of these apply automatically. You have to apply and back up the claim with documentation. Ignoring a bill you believe you shouldn’t owe will not stop penalties or collection.
How to File for Exoneration
Berkheimer has an online exoneration application. It asks for your name, mailing address, the account number and bill number from your tax notice, the tax year, and the reason for the request. Supporting documents upload directly through the form.5Berkheimer. Application For Per Capita and/or Occupation Exoneration
Check first whether your specific locality requires its own exoneration form; Berkheimer’s website has a lookup tool. For an income-based exemption, attach a federal or state return showing income below the threshold your district adopted. Military members should attach active-duty orders showing they were stationed outside Pennsylvania during the tax period. Student exemptions, where available, usually require a current enrollment letter or transcript. Submitting the form is a legal attestation that the information is true, so the documentation needs to match the claim.
How to Pay
Berkheimer processes per capita payments through a portal it calls HAB-MISC. Go to the Berkheimer site, open the payment section, choose the HAB-MISC portal, and enter the account number from your bill to pull up the balance.6Berkheimer. Pay my bill Save the digital receipt.
To pay by mail, send a check with the detachable payment stub from your bill to the processing address printed on the notice. The stub is what gets your payment credited to the right account. A returned check carries a fee of at least $29.2Berkheimer. Per Capita and Occupation Assessment Taxes FAQ
What Happens If You Don’t Pay
If the bill goes unpaid for 120 days from the billing date, Berkheimer adds a penalty of up to 10% of the face amount.2Berkheimer. Per Capita and Occupation Assessment Taxes FAQ On a $15 tax that’s $1.50, so the penalty itself isn’t the problem. What follows is.
Under Pennsylvania’s Local Tax Collection Law, the tax collector can send a written notice to your employer demanding that wages be withheld to cover the unpaid per capita tax plus costs. The employer must deduct enough from your pay to satisfy the debt and remit it within 60 days.7Pennsylvania General Assembly. Local Tax Collection Law No court order is required. That is how a $15 tax turns into a payroll issue at work.
If You Moved or Were Billed by Mistake
If you moved out of the district before the bill was issued, you should not owe the tax. Return the bill to Berkheimer with proof of your new address, such as a driver’s license, a utility bill, or a tax notice from your current residence. You can also submit the address change through Berkheimer’s online portal.2Berkheimer. Per Capita and Occupation Assessment Taxes FAQ
If you already paid a per capita tax you didn’t owe, Pennsylvania law generally allows you to petition for a refund within three years of the payment date.8Pennsylvania Department of Revenue. Time Limitations on the Filing of Petitions for Refund Three years sounds like a lot, but a $10 or $15 charge is easy to forget about until the window has closed. If you spot an error, act on it right away.