How to Know If You Qualify for Philly City Wage Tax Refund. What You Need to Do to Get It

Beginning in January 2021 a lot of people got a lesson in the Philadelphia City Wage Tax and how to get a refund.

Many people who live outside of the city, but work in the city were forced to work from home because of the pandemic. Those employees didn’t have to pay the city wage tax for days not worked in the city, and thus were entitled to a refund.

Cut to 2022 when a lot of people went back to work in the city. But, not everyone and not every day.

Rebecca Lopez Kriss, the Deputy Revenue Commissioner for the City of Philadelphia, talked with NBC10 Responds about changes taxpayers can expect this year when it comes to collecting a wage tax refund.

“I think there is confusion about that. Both on the part of employees and employers,” Lopez Kriss said.

Do You Qualify for City Wage Tax Refund?

Here’s where things get confusing: if you worked a hybrid schedule, sometimes in the city of Philadelphia and sometimes not, you’re not automatically guaranteed eligibility for a city wage tax refund.

The question is: Were you required?

Lopez Kriss explained, “That's a little bit different than my employer says I may work outside, I may from home two, three days a week and I may come in two days.”

How Do You Get the City Wage Tax Refund?

If you’re hoping to collect a City Wage Tax refund, you’ll need documentation from your employer. The letter must include: the period of time that you would have worked from home, and that needs to corroborate with what you document on your refund petition.

According to the city, the best and fastest way to get your refund is online through the Philadelphia Tax Center.  You’ll need your W2 and the letter from your employer specifically about you. Refunds can take anywhere from six to 12 weeks.

The Philadelphia Revenue Department is launching a “Where’s My Refund” tool in March that will allow you to check the status of your refund at any time.