Statewide picture
What Pennsylvania actually charges in local income tax
Pennsylvania has 2,564 taxing municipalities across 67 counties, and the local earned income tax is the part of payroll that surprises out-of-state employers. Here is the whole distribution, from the official DCED register captured 2026-07-03.
69.4%
charge exactly 1% resident EIT (1,779 municipalities)
78.9%
are served by just two collectors: Berkheimer Tax Administrator and Keystone Collections Group
73
levy no resident EIT at all — which is not the same as nothing to withhold
The rate is almost always 1%
Act 32 caps most municipalities at a combined 1% split with the school district, so the distribution is not a spread — it is a spike with a tail. Budgeting “about 1%” is right far more often than it is wrong, but the tail is where the money is: the top rate in the register is 3.75%.
| Resident EIT | Municipalities | Share |
|---|---|---|
| 1% | 1,779 | 69.4% |
| 1.5% | 109 | 4.3% |
| 1.7% | 77 | 3% |
| 0% | 73 | 2.8% |
| 1.6% | 57 | 2.2% |
| 1.25% | 43 | 1.7% |
| 1.65% | 41 | 1.6% |
| 1.75% | 32 | 1.2% |
The highest local rates in the state
| Municipality | County | Resident EIT | Collector |
|---|---|---|---|
| Chester City | Delaware | 3.75% | Keystone Collections Group |
| Philadelphia City | Philadelphia | 3.74% | CITY OF PHILADELPHIA |
| Reading City | Berks | 3.6% | Berks Earned Income Tax Bureau |
| Scranton City | Lackawanna | 3.4% | Berkheimer Tax Administrator |
| Newville Borough | Cumberland | 3.15% | Cumberland County Tax Bureau |
| Wilkes Barre City | Luzerne | 3% | Berkheimer Tax Administrator |
| Mount Oliver Borough | Allegheny | 3% | Jordan Tax Service |
| Pittsburgh City | Allegheny | 1.5%–3% | Jordan Tax Service |
| Warren City | Warren | 2.8% | Berkheimer Tax Administrator |
| Pittston City | Luzerne | 2.7% | Berkheimer Tax Administrator |
The LST is a flat dollar amount, not a rate
The local services tax is charged per employee per year, withheld in instalments, and it is easy to miss because it is not a percentage. The dominant amount is $52 (1,287 municipalities).
| LST | Municipalities | Share |
|---|---|---|
| $52 | 1,287 | 50.2% |
| $0 | 672 | 26.2% |
| $10 | 498 | 19.4% |
| $5 | 53 | 2.1% |
| $30 | 12 | 0.5% |
| $25 | 5 | 0.2% |
Where this bites out-of-state employers
- You remit to a collector, not to the town. There are 14 of them. See which one covers your employee's municipality.
- The PSD code is address-level, not municipality-level. 61 municipalities span more than one school district, so two neighbours on the same street can owe different totals. Look up a PSD code.
- A 0% resident rate is not “nothing to withhold”. The non-resident rate and the LST survive it.
- A home office is a worksite. Pennsylvania treats the residence of a home-based employee as a PA worksite for withholding.
Figures on this page are computed from the register itself, not typed by hand, so they move when the source does. Confirm the address-level PSD in DCED's lookup before running payroll. Browse by county and municipality or by collector (14).
Take this table as a spreadsheet — 2,564 rows
All 2,564 Pennsylvania municipalities as a CSV, with the source and capture date inside the file. Enter a work email and it downloads right now — no waiting on an email.
Orientation only, not tax or legal advice. Confirm rates and codes with the agency before running payroll.
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