Although the School income tax has been in force for at least the last 30 years, it often is ignored by taxpayers and at times the City
Based upon a few recent calls, the Philadelphia School District is apparently embarking on a revitalized enforcement program for the School Income Tax (Form S-1). The enforcement of this unpopular tax on City Residents tends to reappear after a prolonged period of hibernation. Usually the resurgence coincides with a time when the School District has budget issues. If you are a City resident you should be filing Form S-1 annually. We suggest filing even when the liability is zero so the statute of limitations begins to run. There is no statute running on an unfiled tax form. The S-1 taxes certain investment income such as some classes of interest; dividends; short term capital gains(Less than 6 months ); rents and pass thru income from partnerships and S Corporations.
(.039240 is the tax rate or $392.40 per $10,000 of taxable income)
If you recently relocated into Philadelphia, you should be aware of this additional income tax.