Key things to remember ahead of Tax Day

There are only a few days left to file and pay your Philadelphia income and business taxes without interest and penalties. For businesses filing the Business Income and Receipt Tax (BIRT) for the first time this year, we know this is a big change.

Good news: We've been preparing for this moment for months and continue working to ensure you're ready. Here's a quick recap of this year's biggest tax policy changes so you don't miss anything:

Mandatory filing

Philadelphia now requires all businesses to file BIRT returns, regardless of sales or activity. Businesses making less than $100,000 in gross receipts are no longer exempt from filing the BIRT.

You have until April 15 to file your BIRT return and pay any liabilities owed. File a BIRT-EZ if all your sales were in Philadelphia. You must also file the Net Profit Tax (NPT) if your business is not incorporated.

There is one exception to having to file on April 15. Philadelphia will grant you an automatic extension to file if the IRS has granted you an extension, you don't need to file an extra form. However, an extension of time to file your return does not grant you any extension of time to pay your taxes. Payments made after the original due date are subject to interest and penalty charges.

Estimated payments

Didn't have to file a BIRT return in 2022, 2023, and 2024? You can defer paying estimated taxes until 2027! We consider first-time BIRT filers as "new businesses." You only need to file and pay for your 2025 activity by April 15. This relief measure is one way the City is easing the transition to filing the BIRT.

Make sure you:

• File and pay by April 15. You may get an extension to file, but you must pay all liabilities by April 15. Extra charges will apply to payments made after the deadline.
• File and pay online. The Philadelphia Tax Center has everything you need and is available 24/7. Paying taxes online doesn't require a username and password, but filing returns does. When you're logged in, go to your profile, scroll down to the summary subtab, and find your tax accounts. Choose "File, view, or amend returns" and follow the instructions.
• Take advantage of our extended phone hours. Got questions or need help with your returns? Call us until 7:30PM. Just dial (215) 686-6600. Find out more about our extended call center hours in this blog post.
• Document your losses - you can use them to offset future taxable net income. It will lower your tax bill. Learn how to document your losses online in this blog.
• File a BIRT return even if you didn't do business in 2025 but have an active Philadelphia tax account. You'll get a non-filer notice if you don't file and may be referred to a collection agency for not filing.
• File your business taxes even if you owe $0. It's the best way to let the City know you owe nothing. If you're not sure you'll be doing business in the future, it is easy to close your account and re-open it when you need to.
• File your taxes even if you closed your business last year. By filing your business taxes for that final year, you'll avoid getting a non-filer notice. Once your final return is filed, you can close your entity's account on the Philadelphia Tax Center or use the Change Form if you no longer do business in the city. You can always reopen it if you need to.