Section 6173 - Imposition of tax on gross receipts of video programming providers(a) Authority.--The General Assembly authorizes the duly constituted authorities of each municipality of the Commonwealth to impose and collect a video programming tax on and from, respectively, any person who sells video programming to subscribers who are located within this Commonwealth by any means of transmission, other than wireless or direct-to-home satellite transmission, or who provides such subscribers with access to video programming by any means of transmission, other than wireless or direct-to-home satellite transmission, and who is not otherwise subject to federally authorized or permitted local fees or taxes on the gross receipts received from the provision of cable television service or video programming services to customers in the municipality. This tax shall be imposed on persons engaging in any commercial activity in this Commonwealth, or employing capital in this Commonwealth, or owning, leasing or utilizing property in this Commonwealth, or maintaining an office in this Commonwealth, or having employees in this Commonwealth for all or any part of any calendar year, to the full extent permitted by the Constitution of the United States. The tax imposed by any municipality may be imposed only on the gross receipts of such persons from sales of video programming or sales of access to video programming directly to subscribers who are located within the particular municipality.(b) Tax rate.--The tax rate under this act shall be the franchise fee rate lawfully imposed by the local cable ordinance of the municipality or, if no local cable ordinance exists, the rate set in the agreement between the local cable television operator and the municipality. In no event shall the rate imposed under this act exceed 5%.(c) Calculation of tax.--The tax authorized in this act shall be determined by multiplying the tax rate as set forth in either subsection (b) or (g), as applicable, by the gross receipts of video programmers from sales of video programming or of persons from sales of access to video programming, of common carriers from sales of access to video programming, by any means of transmission, other than wireless or direct-to-home satellite transmission, directly to subscribers who are located in that municipality.(d) Election.--Any person subject to tax under this act may elect at any time to pass through to subscribers as a separate itemized line charge on the subscriber's bill the tax imposed under this act.(e) Ordinance.--Any municipality imposing a tax under this act may do so by adopting an ordinance stating its purpose and making reference to this act and providing that the ordinance shall be effective on the first day of a month at least 60 days after its adoption.(f) Penalty.--A penalty of an amount equal to 10% of the taxes due, including all delinquent taxes due under this act, shall be added to the tax levied under this act for failure to pay the tax by the quarterly due dates set forth in this section.(g) Alternate rate.--If no cable television operator provides cable service within the limits of a particular municipality, the tax to be collected from persons subject to tax under this act shall be an amount not to exceed 5%. In the event that a cable operator shall thereafter provide cable service within the limits of the municipality, the tax rate set under this act shall be adjusted under subsection (b).(h) Due dates.--The tax imposed under this act shall be paid to the taxing municipality by each person quarterly on or before April 30, July 31, October 31 and January 31 and shall be calculated based on the gross receipts of each person during the three months prior to the month of payment. Any payment of tax shall be considered as timely made if the payment received by the municipality is postmarked by the United States Postal Service on or prior to the final day on which payment is to be received.1995, July 6, P.L. 264, No. 37, § 3, effective in 60 days.