Philadelphia stacks a wage tax, gross receipts tax, and net income tax on top of state and federal. Business owners face one of the heaviest local tax environments in America.
PA flat 3.07% income tax. Moderate state burden but Philadelphia adds significant local taxes.
Philadelphia wage tax (~3.75% residents, ~3.44% non-residents) and Business Income & Receipts Tax (BIRT): 1.415 mills on gross receipts + 5.99% on net income. One of the heaviest local tax cities in the US.
A Philadelphia healthcare practice with $2.1M in revenue was paying full BIRT on gross receipts with no optimization. After restructuring the business entity, optimizing BIRT exclusions, and implementing a defined benefit plan, annual savings reached $74,000.
Minimize Philadelphia Business Income & Receipts Tax through exclusions, deductions, and entity structure optimization.
Learn more →Optimize your business structure across LLCs, S-Corps, and holding companies to minimize tax exposure and maximize protection.
Learn more →Reclassify building components to 5, 7, or 15-year property for accelerated depreciation and massive first-year deductions.
Learn more →Go beyond a basic 401(k). Cash balance plans, defined benefit plans, and hybrid structures multiply your tax-advantaged savings.
Learn more →Bypass the $10,000 SALT deduction cap with a Pass-Through Entity Tax election, recovering state taxes as a business deduction.
Learn more →We serve Philadelphia business owners remotely with the same depth as a local firm. Our Tax Intelligence Framework starts with a comprehensive review of your financials, entity structure, and current tax position. We then build a custom strategy and implement it.
We work alongside your existing CPA, not replacing them. Learn more about our tax strategy service or read about how we work alongside your CPA.
Book a free review and we'll identify exactly how much you're overpaying and the strategies to fix it.
Tell us about your business and we'll identify every savings opportunity available to you.