Earned Income Tax Goes Into Effect Jan 1 In Easttown Township

EASTTOWN TOWNSHIP, PA — People working in Easttown Township will soon be paying a local earned income tax.

The 0.5 percent tax on earned income and net profits will be effective Jan. 1, 2025.

Those affected by the tax are Easttown residents and non-residents working in the township.

Keystone Collections Group will be the local earned income tax administrator. The group will be responsible for collecting the tax for Easttown.

Employers are required to withhold this payroll tax beginning on Jan. 1, 2025.

Keystone encourages employers to report local payroll taxes online using its Business Portal online here.

"Many Easttown Township residents are already paying the tax in their workplace jurisdiction," Joe Lazzaro, Keystone’s Vice President and General Counsel, said. "The action by Easttown Township helps to keep resident tax revenue in their home community."

Go online here for answers to frequently asked questions, forms, and more information or to contact a Keystone Taxpayer Service agent for assistance.