Philadelphia Updates

Philadelphia Realty Transfer Tax rate increase is effective July 1, 2018

Effective July 1, 2018, the Realty Transfer Tax rate is increased to 4.278% of the sale price or assessed value of the property, plus any assumed debt. The Realty Transfer Tax This rate includes 3.278% to go to the City of Philadelphia and 1% that goes to the Commonwealth of Pennsylvania.

Get details and regulations for the Philadelphia Realty Transfer Tax rate

Scheduled reductions to BIRT continue for Tax Year 2018

Following a legislated schedule for reductions, the rate of the net income portion of the Business Income and Receipts Tax is reduced to 6.30% for Tax Year 2018. The gross receipts portion of the tax remains .1415%.

The full schedule is below:

Fiscal Year Gross Receipts Tax Rate Net Income Tax Rate
2017 0.1415% 6.35%
2018 0.1415% 6.30%
2019 0.1415% 6.25%
2020 0.1415% 6.20%
2021 0.1415% 6.15%
2022 0.1415% 6.10%
2023 and thereafter 0.1415% 6.00%

Real Estate Rates remain at current levels; Homestead Exemption raised to $40,000

Real Estate Tax rates remain the same, however effective for Tax Year 2019 the Homestead Exemption is now $40,000. The typical Philadelphia homeowner will save about $550 on their Real Estate Taxes.