Local Tax Information

Real Estate Tax

Property taxes include township taxes, county taxes and school taxes. Two separate bills will be issued for property taxes each year.

One bill is for school taxes and is based on a tax rate determined by the Lower Moreland Board of School Directors who are local residents elected to oversee the local school district. The school tax makes up approximately 80% of your property taxes.

A second tax bill includes Lower Moreland Township Taxes, Montgomery County Taxes and the annual fee for removal of trash, recycling and yard waste. Montgomery County taxes are set by elected County Commissioners. Lower Moreland Township taxes are set by elected Lower Moreland Commissioners who are also residents of the Township.

The trash fee is negotiated on behalf of all residential property owners in order to achieve a lower overall cost to residents. A private company is selected based on a low bid and new bids are solicited approximately every three years.

Earned Income Tax
An Earned Income Tax (EIT) is levied in Lower Moreland. This tax applies to residents of the Township and also to others who don't reside but rather work in the Township. One half of one percent (0.5%) of earned income goes towards Township uses and one half of one percent (0.5%) goes to the School District. It is a requirement that all employers located in Lower Moreland Township deduct this tax from the employees’ wages and remit to Berkheimer Tax Administrator. All residents are subject to the tax.

Many employers deduct this tax from employees' paychecks. In that case, all you do is file an annual return by April 15th of each year. If you are self-employed or work for an employer who does not deduct this tax, or deducts only a portion of it, you are obligated to file quarterly returns on forms provided by Berkheimer Tax Administrator.

Local Services Tax
Lower Moreland Township levies a Local Services Tax (LST) to fund a portion of the cost of police, fire, emergency services, and road construction and maintenance. Berkheimer Tax Administrator, a private collection service, acts as the tax officer and is responsible for processing all tax returns, collecting taxes due and providing assistance to taxpayers. 

All residents and nonresidents alike who are employed in Lower Moreland Township are required to pay an annual LST tax of $52. The Township requires all employers within its boundaries to deduct the $52 LST from each eligible employee. The $52 withholding must be prorated over the entire year - a $1 per pay withholding for employees paid weekly, $2 per pay for employees paid bi-weekly, etc. The employers must remit monies collected to Berkheimer along with quarterly reporting forms that are provided to employers in January.

Employees are exempt from paying the LST in any calendar year in which they earn less than $12,000. Employees who have more than one employer are not required to pay more than $52 in any calendar year. Employees must request an exemption by filing an ‘exemption request form’ with their employers.