Tax Update – Changes for Philadelphia Taxpayers

Philadelphia launches new Philadelphia Tax Center website.

Philadelphia’s new website can be used by Philadelphia taxpayers beginning November 2021. The site is the best way to pay, file, and amend business taxes for 2015 and later. If needed, you can continue filing tax returns using the old eFile/ePay website for several months after November 2021; however, eventually you will be required to use the new Philadelphia Tax Center website to file your tax returns. You must pay all taxes through the new website, even if filing your return on the old site. Effective October 27, 2021, taxpayers can no longer use the ACH Debit EZ-pay system for many Philadelphia taxes, including the Business Income and Receipts Tax (BIRT).

Taxpayers can start using the Philadelphia Tax Center now to:

  • File and pay most city business taxes online
  • Communicate with the Department of Revenue
  • Access new self-service options

What’s changing

The Philadelphia Tax Center will require taxpayers to file and pay a few taxes a little differently. This includes the retirement of previously used websites, some new filing frequencies, and other differences.

Philadelphia Tax Identification Number (PHTIN): This is the new name given to account numbers in the Philadelphia Tax Center. The new PHTINs are 10 digits long and generated by the system. They are not based on your Social Security Number or Federal Employer ID. Taxpayers with existing account numbers will just add three zeros to the beginning of their existing tax account number to get to their new PHTIN. New and existing taxpayers WILL have to register to receive their new PHTIN. See the “What you need to do” section later in this article for instructions.

New Wage Tax filing frequency: Previously, Wage Tax filers submitted a reconciliation form once a year. They could complete an online or a paper return.

From now on, businesses must file quarterly returns and use the Philadelphia Tax Center to do so, providing weekly schedules. The first filing date in the new schedule is May 2, 2022. Paper returns are no longer available. Also, this tax must now be paid electronically on the Philadelphia Tax Center. Philadelphia is no longer accepting Wage Tax payments on their old website, or by ACH Debit (over the phone).

Businesses should continue to make Wage Tax payments with the same frequency as before.

What you need to do

Several services in the Philadelphia Tax Center do not require an account. Taxpayers can start using them right away. But to take advantage of most new services, you will need to log in with a username and password.

If you have an existing account: Anyone with an existing city tax account must create a username and password to use the Philadelphia Tax Center to file returns and manage the account(s). The full process requires Philadelphia to send you a physical letter in the mail after registration.

For the steps to create a username and password click here.

It will take at least one week between when you first create a username and password and when you can file a return for the first time. If it is your payment due date and you are waiting for an access letter to arrive in the mail, pay your tax electronically in the Philadelphia Tax Center as a guest. To do so, select one of the options under the “Payments” section of the homepage.

If you are a new taxpayer: If you do not have an existing city tax account, click here for the steps to create one.

The information in this Update includes changes affecting Philadelphia taxpayers. If you have questions on this information or how it may impact you, please contact Charles Marston, Richard Pacella, Danelle Stewart, or Tyler Feith, or call us at 724-934-0344.

Posted 11/26/21

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