About the Tax
The mercantile tax is a business gross receipts tax levied by Upper Merion Township upon the privilege of doing certain types of business in Upper Merion. Mercantile tax applies to the gross receipts of all businesses and persons engaged in business in Upper Merion Township except those of businesses subject to the business privilege tax or that fall under allowable exclusions.
For purposes of the mercantile tax, business is defined as any activity carried on for gain or profit including, but not limited to, the sale of merchandise either at wholesale or retail. All businesses, trades, and professions where any merchandise is offered to the public are liable for payment of this tax.
Businesses subject to the mercantile tax are required to pay a tax to Upper Merion Township each year equal to 1.5 mills (.0015), or $1.50 for every $1,000 in gross receipts. In addition, each business must pay an annual $25 business license fee. Mercantile tax returns are required to be filed with the Township’s Tax Administrator business tax office by April 15 each year.