Buying a home in Ross Township is exciting, but your move also changes how your local taxes work. If you earn wages, work remotely, or run your own business, you likely owe local Earned Income Tax and may also see a Local Services Tax on your paychecks. Understanding these basics now helps you avoid surprises later.
This guide breaks down what the Earned Income Tax and Local Services Tax cover, who pays them, how Keystone Collections Group fits in, and the exact steps to take after closing. You will walk away with a practical checklist and answers to common situations that new residents face. Let’s dive in.
EIT and LST basics
Earned Income Tax (EIT)
The Earned Income Tax is a local tax on your earned income. That includes wages, salaries, commissions, and net self-employment income. Municipalities and school districts in Pennsylvania impose this tax to fund local services.
If you live in Ross Township, you generally owe EIT on your earned income. Employers often withhold EIT, but not all do. If yours does not, you must register, make estimated payments if needed, and file an annual local return to reconcile what you owe.
EIT rates vary by municipality and school district. Do not assume a percentage. Always confirm the current Ross Township rate with the tax collector or the township before you file or adjust withholding.
Local Services Tax (LST)
The Local Services Tax is a small, flat tax that helps fund services like police, fire, and emergency response. Pennsylvania law caps LST at an annual maximum of 52 dollars, often collected as 1 dollar per week. Some municipalities set a lower amount or offer exemptions.
LST usually applies to employees who work in a municipality. Many ordinances include low-income exemptions and other exclusions. Confirm whether Ross Township’s LST applies to you and whether you qualify for an exemption based on your situation.
Who owes these taxes
- Residents: If you live in Ross Township, you generally owe EIT on your earned income, even if your employer is located elsewhere. LST may apply depending on where you work and local rules.
- Remote workers: If you live in Ross Township and work from home, you should expect to owe Ross Township EIT. If your employer will not withhold local tax, you must register and pay directly.
- Self-employed and contractors: You owe EIT on your net self-employment income. You are responsible for estimated payments and the annual local return.
- Nonresidents working in Ross Township: Liability can depend on local rules and where you live. Your employer may be required to withhold local tax based on work location for some tax types. Confirm your situation with the tax collector.
Keystone Collections Group
Keystone Collections Group is a local tax collection agency for many Pennsylvania municipalities. They administer taxpayer registrations, employer withholding, billing, payments, and annual returns for the jurisdictions they serve. They also provide online accounts, phone support, instructions for employers, and help with refunds, credits, and notices.
For Ross Township, confirm that Keystone is the appointed collector before you register or remit. You can verify the current collector through Keystone directly or by contacting Ross Township’s municipal office. Once you confirm the collector, you can open your online account, register as a resident, and set up payments.
Your first 10 steps after closing
Follow this quick checklist in the first few weeks after you move:
- Confirm the collector
- Verify that Keystone Collections Group is the official collector for Ross Township. Note their phone number and online portal for your records.
- Register as a resident
- Complete the resident registration form online or by mail so your account is set up correctly and your withholding applies to the right municipality and school district.
- Update your employer
- Give your payroll team your new Ross Township address and request that they withhold Ross Township EIT and, if applicable, LST. Ask for a confirmation and an effective date for the first adjusted paycheck.
- Save closing documents
- Keep your closing disclosure or deed as proof of move-in date and residency. You may need it for proration questions, credits, or audit requests.
- If you work remotely
- Ask your employer whether they will withhold local Pennsylvania taxes for remote employees. If they will not, register your account and plan for estimated payments plus an annual local return.
- Help your employer register if needed
- If your employer agrees to withhold for your residence, provide the collector’s employer registration instructions so withholding starts smoothly.
- If you are self-employed or a contractor
- Register your account and set up quarterly estimated EIT payments based on your expected net income. This helps you avoid underpayment penalties.
- Keep detailed records
- Track gross receipts, expenses, and 1099s. Good documentation supports your net income calculations and simplifies your annual filing.
- Check LST exemptions
- Review Ross Township’s LST rules and exemptions. If you qualify for a low-income or other exemption, submit the required form as early as possible.
- File your annual local return
- File your Resident EIT return with the collector at tax time even if your employer withheld all year. Reconcile withholding, claim credits if you paid tax to another jurisdiction, and request a refund or pay any balance due.
Common scenarios
Employers and withholding
Your EIT is generally owed to your municipality and school district of residence. Many employers will withhold based on your residence once you update your address and they are registered with the collector. Practices vary, so put your request in writing and keep confirmation emails for your records.
Remote work
If you live in Ross Township and work from home for an out-of-state employer, you should expect to owe Ross Township EIT. If your employer will not withhold local taxes, you must handle estimated payments and file the annual local return. If you split time across multiple locations or states, ask the collector how to apportion income.
Self-employed and gig work
Most contractors and business owners do not have local tax withheld from payments. You are responsible for estimating and remitting EIT during the year and filing the annual return. Keep your books current so you can estimate taxes accurately and avoid penalties.
Nonresidents working in Ross Township
If you work in Ross Township but live elsewhere, local rules and employer withholding requirements determine your obligations. Check with the collector to confirm whether local withholding at the work location applies to you and how it interacts with your residence.
Filing and penalties
Annual return and estimates
Individuals typically file an annual resident EIT return and, when needed, quarterly estimates. Employers remit withholding on a schedule set by the collector. If you changed jobs, moved mid-year, or had multiple income sources, use your annual return to reconcile everything.
LST exemptions and credits
Many municipalities offer LST exemptions for low-income earners, students, or others by ordinance. When you pay local taxes in more than one jurisdiction or if your employer withheld to the wrong place, you may be eligible for credits or refunds. The collector can guide you on the documentation they need.
Documentation to keep
Maintain pay stubs, W-2s, 1099s, closing documents, and any emails with your employer or the collector. These records help resolve notices, prove residency dates, and support refund or credit requests.
Verify rates and forms
Before you submit forms or payments, verify current information with the following sources:
- Keystone Collections Group: Registration, employer withholding guides, online account access, payment options, and refund procedures.
- Ross Township municipal office: Local ordinances for EIT and LST, exemption details, and township-specific instructions.
- Allegheny County: County-level guidance and links to municipal tax resources.
- Pennsylvania Department of Revenue or state municipal tax guidance: State rules that govern local tax collection, including the Act 32 framework.
- A local CPA with Pennsylvania municipal tax experience: Helpful for multi-jurisdiction employment, part-year moves, or significant self-employment income.
Copy-ready notes you can send
To your employer: “I moved to Ross Township, Allegheny County, PA. Please update my payroll to withhold Ross Township Earned Income Tax and Local Services Tax starting with the next payroll. Effective [date]. Please confirm when withholding will begin.”
To the collector: “I recently became a resident of Ross Township on [date]. Please advise the steps to register as a resident taxpayer, confirm current EIT and LST rates, and provide instructions for estimated payments and online account setup.”
Get local help for a smoother move
You have a lot on your plate after closing. If you want a clear plan for timing your address updates, utilities, school registrations, and local tax steps, we can help you map it out alongside your move-in schedule. Our team brings local expertise and a finance-minded, client-first approach so you can settle in with confidence.
Ready to make your transition to Ross Township seamless? Connect with The Nate Nieland Group to plan your next steps and stay on track from closing to move-in.
FAQs
What is the Earned Income Tax for Ross Township residents?
- The Earned Income Tax is a local tax on wages, salaries, commissions, and net self-employment income. Residents generally owe it to their municipality and school district of residence.
Does my out-of-state employer have to withhold Ross Township tax if I work remotely?
- Not always. If your employer will not withhold local taxes for remote employees, you must register with the collector, make estimated payments if needed, and file an annual local return.
How much is the Local Services Tax in Ross Township?
- State law caps LST at a maximum of 52 dollars per year, often collected as 1 dollar per week, but the actual amount and exemptions are set locally. Confirm Ross Township’s current amount and rules with the collector.
Do I still need to file a local return if my employer withholds EIT?
- Yes. You typically file an annual resident return to reconcile withholding, report all income sources, claim credits, and settle any balance due or refund.
What if my employer withheld local tax to the wrong place?
- You may qualify for credits or a refund. Contact the collector and be ready to provide pay stubs, W-2s, and your address history to resolve the misapplied withholding.
