Philadelphia, PA Local Taxes & Fees: Parking Tax (2026)
Key Facts
- Current rate
- 22.5% of charge
- Effective
- July 1, 2021 onward
- Who collects
- Parking facility operator
- Also applies to
- Valet parking transactions
- Enforcing office
- Dept. of Revenue
Summary
Philadelphia taxes every paid parking transaction at 22.5% of the charge, collected by the lot or garage operator and remitted to the City.
There is hereby imposed upon every person parking or storing a motor vehicle in or on any parking facility in the City, and upon every person who leaves a motor vehicle with a valet for parking in the City, ... on July 1, 2021 and thereafter, a tax of twenty-two and one-half percent (22.5%) of the amount charged for the transaction ... which tax shall be collected by the operator from the person parking or storing the vehicle, and shall be paid over to the City as provided herein.
Official source re-checked September 7, 2026: no newer edition of the code had been published (publisher’s edition: 2026 Code: Electronic version of The Philadelphia Code and Home Rule Charter is current through August 19, 2026).
Full Breakdown
Under Philadelphia Code § 19-1202(1)(b), anyone who parks or stores a vehicle for a fee at a parking facility -- or hands a car to a valet -- owes a 22.5% tax on the amount charged, effective July 1, 2021 and thereafter (the rate has stepped up and down since 1985, hitting 25% in 2020-21 before settling at 22.5%). The Department of Revenue oversees collection; operators front the tax to the person parking and remit it to the City, with valet operators eligible for a credit against tax already paid to the underlying lot. Every operator must also file periodic returns under § 19-1203 reporting gross receipts, total cars parked, and tax due.
Violations & Fines
Operators who fail to collect or remit the tax remain personally liable for the full amount charged (§ 19-1202(3)); collected funds are held in trust for the City, and misapplying them exposes recipients to liability under § 19-1202(2). Chapter 19-1200 violations can also trigger license or permit revocation, suspension, or cancellation (§ 19-1206).
Frequently Asked Questions
Does Philadelphia's parking tax apply to valet parking?
Who actually pays the 22.5% parking tax?
Sources & Official References
Other rules in Philadelphia
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