Philadelphia Wage Tax Decrease

Starting July 1, 2023 Philadelphia decreased the Wage Tax Rate.



• The new Wage Tax rate for residents of Philadelphia is 3.75% (.0375).

• The Wage Tax rate for non-residents remains unchanged for those who are subject to the Philadelphia City Wage Tax at 3.44% (.0344).

Any paycheck that is issued with a pay date after June 30, 2023, must have Philadelphia City Wage Tax withheld at the new rate for residents.

If you have further questions regarding this you can speak to an accountant at Hark and Associates, PC by calling 610-889-2590. Philadelphia is also offering assistance regarding questions: Reach out to revenue@phila.gov or call (215) 686-6600.