Business Profile
Collections Agencies
Keystone Collections GroupHeadquarters
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Complaints
This profile includes complaints for Keystone Collections Group's headquarters and its corporate-owned locations. To view all corporate locations, see
Customer Complaints Summary
- 223 total complaints in the last 3 years.
- 65 complaints closed in the last 12 months.
If you've experienced an issue
Submit a ComplaintThe complaint text that is displayed might not represent all complaints filed with BBB. Some consumers may elect to not publish the details of their complaints, some complaints may not meet BBB's standards for publication, or BBB may display a portion of complaints when a high volume is received for a particular business.
Initial Complaint
Date:02/28/2024
Type:Billing IssuesStatus:AnsweredMore info
Complaint statuses
- Resolved:
- The complainant verified the issue was resolved to their satisfaction.
- Unresolved:
- The business responded to the dispute but failed to make a good faith effort to resolve it.
- Answered:
- The business addressed the issues within the complaint, but the consumer either a) did not accept the response, OR b) did not notify BBB as to their satisfaction.
- Unanswered:
- The business failed to respond to the dispute.
- Unpursuable:
- BBB is unable to locate the business.
This started on or around 10/12/2023 I receive in the mail a letter stating that I owe taxes on Woodland Hills school District of $ 1,211.53 , I called and spoke to someone from Keystone and told them that I move out of Braddock 1/3/2017 and send them a document of the walkthrough of the original document of my last day living at Holland avenue , also inform them that I had a P.O BOX do to me been homeless . servicial weeks later I received in the mail another form for the same thing. I sent it certified mail. I thought that would be the end but now I received another form and also called Keystone company to let them know about my situation , 1. I moved out of Braddock in 2017 , 2. that I was homeless with only a P.O BOX 3. I also was told that I couldn't just use a P.O BOX that I can also use my old address in which I did a paid taxes for a area that I wasn't living in again do to me being homeless and trying to get myself out of debt so I can move to a nice area no one care that I already paid taxes for Woodland school district so how do I owe for taxes that was paid for , I think Woodland school district may owe me some money . I was very honest about my situation and still paid taxes for a place that I did not live any more but the guy who did my taxes stated it was okay. So on 2/28/2024 at 8:10 am I called and spoke to a lady Dana from Keystone Collections I inform her about the same thing my situation homeless and the P.O BOX ect and was told by her that I couldn't live in or at a P.O BOX basically I was told to make up a address in which I can not and she states that the company have my W-2 form in which I don't know how she got them i NEVER sent them any of my W-2 form so if that true on my w-2 forms would have two address on it my P.O BOX and my old do to I had to have my old address for my employment because my PO BOX wasn't accepted from my employer 2. on my w-2 forms would also have local school district and codes for which I paid forBusiness Response
Date: 03/12/2024
Dear *** ******:
Thank
you for contacting Keystone Collections Group (“Keystone”) regarding this
complaint ID number. In her complaint, the complainant advised that Keystone
sent a notice requesting payment for delinquent local earned income taxes
(“EIT”). The complainant disputed the balance listed on her account, contending
that she did not reside in the taxing jurisdiction because she was homeless. Please
know that I have thoroughly reviewed the complainant’s account.
As a preliminary matter, Keystone serves as the Act
32 Tax Officer for the Allegheny Southeast Tax Collection District and the
local taxing bodies therein. In this
capacity, Keystone is tasked with the administration, collection, and
reconciliation of local EIT for all communities within Tax Collection District
that assess an EIT.
The Local Tax Enabling
Act (“LTEA”) requires all Pennsylvania resident
taxpayers making earned income and/or net profits to file a local EIT return
with their resident Tax Officer. 53 P.S. § 6924.502(c). It is important to note
that local EIT, like all other income-based taxes, are self-reporting. That is, it is the taxpayer’s legal
obligation to file a tax return, report all income, and remit any outstanding
tax, if necessary. Income taxes are not “billed” like real estate or certain
nuisance taxes.
Per my review of the complainant’s account, she did
not file tax returns for the 2018 and 2019 tax years with Keystone. Pursuant to the information exchange mandate
of the LTEA, Keystone is supplied with limited earnings information from the
Pennsylvania Department of Revenue (“DOR”) used to identify unpaid or underpaid
accounts. See 53 P.S. § 6924.509(g). The income figures listed on the
complainant’s delinquent notice were taken directly from the earnings
information supplied by the DOR, which represents figures the complainant
listed on her PA 40 personal income tax returns. Moreover, the information
supplied by the DOR reflected that the complainant filed her 2018 and 2019 PA
40s as a resident of the Woodland Hills School District.
Understanding that the information supplied by the
DOR may be inaccurate, Keystone provides taxpayers with ample notice prior to
the initiation of adverse legal or collection action. Through the LTEA, Tax
Officers such as Keystone are vested with the right to request documentation to
verify the accuracy of a tax return, or if no tax return was filed, to
ascertain the amount of tax due. See 53 P.S. § 6924.509(f).
Per my review, the complainant was issued an
initial delinquent notice on September 14, 2023 and a follow-up notice on
November 7, 2023. In response, the
complainant supplied income documentation evidencing minimal employer local
earned income tax withholding. Based upon my office’s review of the
complainant’s W-2s, the majority of her tax liability was not withheld.
Additionally, the complainant provided a note explaining that she was homeless
during the tax years at issue.
In response, my office issued the complainant a
document request notice on February 20, 2024. This notice requested the
complainant complete Keystone’s Delinquent Earned Income Tax Information
Supplement and report where she resided during the 2018 and 2019 tax years. This
complaint followed.
I have reviewed the complainant’s
account and the arguments detailed in her complaint. Please be advised that homeless
individuals are not exempt from local earned income taxes. Rather, resident
local earned income taxes are assessed on individuals domiciled within a
particular Pennsylvania political subdivision. 53 P.S. § 6924.501. See also, 73 P.S. §7301-02 (regarding
imposition of Pennsylvania personal income taxes on individuals domiciled in
Pennsylvania). Importantly, a taxpayer’s domicile is the “fixed place of abode
which, in the intention of the taxpayer, is permanent rather than transitory.”
53 P.S. § 6924.501.
It is well settled that “a person
can have more than one residence, but only one ‘legal residence’ or domicile.” See, Dorrance’s
Estate, 163 A. 303 (Pa. 1932), and Goetz
v. Borough of Zelienople, 324 A.2d 808 (Pa. Cmwlth. 1974). Once a domicile
in one locality is established, the party alleging a change in domicile has the
burden of proving “(1) a residence in the new locality, and (2) an intention to
remain there.” Dorrance’s Estate, 163
A.303 (Pa. 1932). As such, a taxpayer’s domicile is their “home of record.”
Accordingly,
physical presence is not required for legal domicile. As the complainant filed
a Pennsylvania Personal Income Tax Return, she manifested her intention to
claim Pennsylvania as her domicile.
Nevertheless, one cannot be domiciled
within Pennsylvania but not be domiciled within a constituent Pennsylvania
municipality. As a result, no account adjustment is available at this time. If
the complainant disputes residency, she may complete Keystone’s Information
Supplement as previously requested and detail her residence for the tax years
at issue. However, I note that the majority of the complainant’s pay did not
have local earned income tax withheld.
I appreciate the opportunity provided by the BBB to
resolve the concerns of taxpayers and improve our processes.
Thank you for your attention to this matter.
Very
truly yours,
KEYSTONE
COLLECTIONS GROUP
By:
Christopher
*. V******
General
CounselInitial Complaint
Date:02/24/2024
Type:Billing IssuesStatus:ResolvedMore info
Complaint statuses
- Resolved:
- The complainant verified the issue was resolved to their satisfaction.
- Unresolved:
- The business responded to the dispute but failed to make a good faith effort to resolve it.
- Answered:
- The business addressed the issues within the complaint, but the consumer either a) did not accept the response, OR b) did not notify BBB as to their satisfaction.
- Unanswered:
- The business failed to respond to the dispute.
- Unpursuable:
- BBB is unable to locate the business.
In 2022, Keystone Collection Group ("Keystone") wrongfully attempted to collect local earned income tax that Keystone claimed was owed to Willistown Township and was delinquent. After several months and after responding to several requests for documents, Keystone realized that we have never resided in Willistown Township and that we did not owe any local earned income tax. It issued a written confirmation statement to this effect on April 18, 2023.
Recently, we received another document titled "Delinquent Earned Income Tax Notice" dated February 13, 2024, from Keystone claiming we are delinquent on our earned income tax payable to Willistown Township. Less than a year ago Keystone acknowledged that we do not owe local earned income taxes payable to Willistown Township. Nevertheless, Keystone is, once again, attempting to collect a debt that is not owed.
This is not a matter involving a governmental agency. I have a memorandum from the Office of Chief Counsel at the IRS confirming that Keystone is a private, for-profit company that is merely a contractor. Accordingly, I believe the BBB would be able to assist in this matter and I would be most appreciative for any such assistance.Business Response
Date: 03/01/2024
Dear *** ******:
Thank
you for contacting Keystone Collections Group (“Keystone”) regarding this
complaint ID number. In his complaint, the complainant advised that Keystone
sent him a delinquent local earned income tax (“EIT”) notice. The complainant
advised that he did not reside within the taxing jurisdiction listed on the
notice, and that he submitted documentation to Keystone evidencing the same.
Please know that I have thoroughly reviewed the complainant’s account.
As a
preliminary matter, please be advised that the complainant simultaneously filed
a complaint with the Pennsylvania Office of the Attorney General’s Bureau of
Consumer Protection along with the above-referenced complaint. Both complaints
advance identical concerns.
Keystone
serves as the Act 32 Tax Officer for the Chester County Tax Collection District
and the local taxing bodies therein. In
this capacity, Keystone is tasked with the administration, collection, and
reconciliation of local EIT for all communities within the Tax Collection
District that assess an EIT.
The Local Tax Enabling Act (“LTEA”) requires all Pennsylvania resident taxpayers making earned
income and/or net profits to file a local EIT return with their resident Tax
Officer. 53 P.S. § 6924.502(c). It is important to note that local EIT, like
all other income-based taxes, are self-reporting. Per my review of the complainant’s account,
he did not file tax returns with Keystone for the tax years at issue. My office
recognizes that the complainant resides in an area without an earned income
tax, and therefore no corresponding tax filing requirement. However, at the
time of an earnings comparison, Keystone’s records placed the complainant
within a taxing jurisdiction.
Pursuant
to the information exchange mandate of the LTEA, Keystone is supplied with
limited earnings information from the Pennsylvania Department of Revenue
(“DOR”) used to identify unpaid or underpaid accounts. See 53 P.S. §
6924.509(g). The income figures listed on the complainant’s delinquent notice
were taken directly from the earnings information supplied by the DOR, which
represents figures the complainant listed on his PA 40 personal income tax
return.
Understanding
that the information supplied by the DOR may be inaccurate, Keystone provides
taxpayers with ample notice prior to the initiation of adverse legal or
collection action. Through the LTEA, Tax Officers such as Keystone are vested
with the right to request documentation to verify the accuracy of a tax return,
or if no tax return was filed, to ascertain the amount of tax due. See 53 P.S.
§ 6924.509(f).
Per my
review, the complainant was issued an initial delinquent notice on February 8,
2024. This notice advises taxpayers of
their tax delinquency, and affords taxpayers with the opportunity to reconcile
their account, without statutory penalty, for thirty (30) days. This complaint
followed.
In
response to the complaint, I have verified that the complainant resided in
Tredyffrin Township, and accordingly has no local earned income tax obligation.
I have updated Keystone’s records, and this issue should not occur in the
future. Accordingly, his account has been closed, and this matter is resolved.
I
appreciate the opportunity provided by the BBB to resolve the concerns of
taxpayers and improve our processes.
Thank you for your attention to this matter.
Very
truly yours,
KEYSTONE
COLLECTIONS GROUP
By:
Christopher
*. V******
General
CounselCustomer Answer
Date: 03/01/2024
** ******* ****** ** ******** **** ***** ********* **** ********** ** *** ********** ********* ** *** ***** *** *** ****** ** ****** ******* ****
Better Business Bureau:
I have reviewed the response made by the business in reference to complaint ID ********, and find that this resolution is satisfactory to me. In Keystone's response, the operative provision is in the 8th paragraph of the written response, which indicates that Keystone confirmed that I resided in a township that does not have any earned income tax and that Keystone has corrected its records. I would note, however, this is substantially the same scenario from previous years. While I appreciate the fact that Keystone has taken corrective action with respect to the most recent collection effort, the matter will be fully resolved if Keystone refrains from any similar collection efforts in the future. Businesses do not run themselves; people are involved and, therefore, human error is always possible and corrective action becomes necessary. Please accept my appreciation for BBB's assistance in resolving this matter and kindly extend to Keystone my appreciation for its timely response.
Regards,
****** ********Initial Complaint
Date:02/21/2024
Type:Billing IssuesStatus:ResolvedMore info
Complaint statuses
- Resolved:
- The complainant verified the issue was resolved to their satisfaction.
- Unresolved:
- The business responded to the dispute but failed to make a good faith effort to resolve it.
- Answered:
- The business addressed the issues within the complaint, but the consumer either a) did not accept the response, OR b) did not notify BBB as to their satisfaction.
- Unanswered:
- The business failed to respond to the dispute.
- Unpursuable:
- BBB is unable to locate the business.
Yesterday, February 20th 2024, I received an invoice from this company saying I owe $235 for unpaid per capita taxes for Mifflin County for 2017-2021 where I have not lived for over 10 years. After waiting hours to receive a call back from their customer service, I was told they have no proof of why they're saying I lived there, and yet that it was on me to go back and look for bills or leases from 6+ years ago to prove that I haven't lived there.
Furthermore, they make it deliberately difficult to provide this information. You must download and print out a form from their website and then find your documentation from years back to MAIL with the form to their PO box. This is insane, especially in an age where this could be easily handled by emailing them these documents or uploaded to a website.
This should be criminal that they can harass people for their money with no evidence of what they're demanding payment for, and then require you to jump through hoops to prove that they're wrong. I joined the military and have not lived in Pennsylvania since, and even then I wasn't living in Mifflin County when I joined. And then to intentionally make it difficult to provide them with evidence that you no longer live there is disgusting and clearly an attempt to get you to pay up rather than deal with the headache.
To Keystone Collections Group:
I have attached to this complaint the exemption form as well as multiple forms of evidence of my residence during the dates in question to include a lease, official military documentation, mortgage payments, bills and more. Consider this notice that you have received proof that I have not lived in the state during the time for which you have erroneously billed me for this tax. You have on file, and I have provided with this comlpaint, my phone number and email should you need to contact me. I expect to be contacted by one of these methods regarding the resolution of this matter.Business Response
Date: 02/23/2024
Dear *** ******:
Thank you for contacted Keystone Collections Group
(“Keystone”) regarding this complaint ID number. In his complaint, the complainant
advised that Keystone issued him a delinquent per capita tax notice for an area
in which he no longer resides. Accordingly, the complainant disputed the tax. Please
know that I have thoroughly reviewed the complainant’s account.
As a preliminary matter, Keystone
serves as delinquent per capita tax collector for Mifflin County, Mifflin
County School District and Lewistown Borough. Per my review, the complainant
received a delinquent tax bill for the 2017 – 2021 tax years on or about
February 14, 2024. The complainant contacted Keystone on February 21, 2024, and
was advised to file an exemption form. This complaint followed.
Please know that Keystone serves as
only the delinquent per capita tax collector for the above-referenced taxing
authorities. That is, delinquent tax rolls are provided to Keystone annually by
the current collector, who is responsible for annual per capita tax billing.
The complainant evidently remains on the current per capita tax collector’s tax
rolls.
As there
are many reasons why a taxpayer’s mailing address might differ from their
resident address, Keystone provides taxpayers with the opportunity to quickly
and conveniently request an exemption or exoneration from per capita taxes on
its online portal. Nevertheless, in response to this complaint my office has independently
verified the complainant’s residency outside of Pennsylvania. Accordingly, the
balance listed on the complainant’s account has been removed and my office
considers this matter resolved.
I appreciate the opportunity
provided by the BBB to resolve the concerns of taxpayers and improve our
processes.
Thank you
for your attention to this matter.
Very
truly yours,
KEYSTONE
COLLECTIONS GROUP
By:
Christopher
*. V******
General
CounselCustomer Answer
Date: 02/23/2024
** ******* ****** ** ******** **** ***** ********* **** ********** ** *** ********** ********* ** *** ***** *** *** ****** ** ****** ******* ****
Better Business Bureau:
I have reviewed the response made by the business in reference to complaint ID ********, and find that this resolution is satisfactory to me. Though, I disagree with their comment that they "provide taxpayers with the opportunity to quickly and conveniently request an exemption or exoneration from per capita taxes on its online portal". As far as I could see, you can only request the form on their website and then it must be mailed in. In fact, on the form itself (which I included in the attached documents) it says "Mail to:" this address. Furthermore, when I accessed their portal with the invoice number they'd sent me, it only gave me the option to pay, there was no option to upload anything. If there is a process to handle these exemptions online it is clearly not well explained to the user and certainly was not explained to me when I received a call back from them.None the less, I appreciate the prompt response from the business and resolution of this matter. I would encourage them to update their website and the letters they send out with a better explanation of how individuals can resolve these matters.
Regards,
****** ******Initial Complaint
Date:02/20/2024
Type:Billing IssuesStatus:AnsweredMore info
Complaint statuses
- Resolved:
- The complainant verified the issue was resolved to their satisfaction.
- Unresolved:
- The business responded to the dispute but failed to make a good faith effort to resolve it.
- Answered:
- The business addressed the issues within the complaint, but the consumer either a) did not accept the response, OR b) did not notify BBB as to their satisfaction.
- Unanswered:
- The business failed to respond to the dispute.
- Unpursuable:
- BBB is unable to locate the business.
I was sent my first and only notice of delinquent earned income tax in February of 2023. These were for the years of 2016-2018. I had not received any notice from them prior. I sent 11 letters to them through their online portal so that I had proof in writing, asking for more information about the money owed. These tax records are so old that I personally no longer have access to them, and if they are attempting to collect taxes they must have proof that they are owed. They ignored these requests and now are attempting to garnish my wages through my employer. When finally speaking to someone at Keystone (the woman's name was either Cassie or Cassidy) she basically laughed and said "how are we supposed to prove that you didn't do something"? These acts are abhorrent and not at all a way a government agency should be acting.Business Response
Date: 02/23/2024
Dear *** ******:
Thank
you for contacting Keystone Collections Group (“Keystone”) regarding this
complaint ID number. In her complaint, the complainant advised that Keystone
sent her a notice requesting payment for delinquent local earned income taxes
(“EIT”). The complainant did not specifically dispute the delinquent balance on
her account; rather, she requested “proof” that she owes the taxes. Moreover,
the complainant advised that she previously sent “11 letters” to Keystone.
Please know that I have thoroughly reviewed the complainant’s account.
As a
preliminary matter, I note that the complainant additionally filed a complaint
with the Pennsylvania Attorney General’s Office of Consumer Protection. My
office is responding to both complaints simultaneously. Furthermore, my office
has responded to the complainant directly, by separate correspondence dated
February 13, 2024, and mailed again in response to this complaint on February
20, 2024.
Please
be advised that Keystone serves as the Act 32 Tax Officer for the Bucks County
Tax Collection District and the local taxing bodies therein. In this capacity, Keystone is tasked with the
administration, collection, and reconciliation of local EIT for all communities
within Bucks County that assess an EIT.
The Local Tax Enabling Act (“LTEA”) requires all Pennsylvania resident taxpayers making earned
income and/or net profits to file a local EIT return with their resident Tax
Officer. 53 P.S. § 6924.502(c). It is important to note that local EIT, like
all other income-based taxes, are self-reporting. Per my review of the complainant’s account,
she has never filed a tax return with Keystone.
Pursuant
to the information exchange mandate of the LTEA, Keystone is supplied with
limited earnings information from the Pennsylvania Department of Revenue
(“DOR”) used to identify unpaid or underpaid accounts. See 53 P.S. §
6924.509(g). The income figures listed on the complainant’s delinquent notice
were taken directly from the earnings information supplied by the DOR, which
represents figures the complainant listed on her PA 40 personal income tax
returns. Typically, earned income
taxable locally mirrors compensation taxable to the DOR for Personal Income Tax
Purposes. 53 P.S. § 6924.501.
Understanding
that the information supplied by the DOR may be inaccurate, Keystone provides
taxpayers with ample notice prior to the initiation of adverse legal or
collection action. Through the LTEA, Tax Officers such as Keystone are vested
with the right to request documentation to verify the accuracy of a tax return,
or if no tax return was filed, to ascertain the amount of tax due. See 53 P.S.
§ 6924.509(f).
The complainant was issued an
initial delinquent notice for these taxes by Keystone on May 8, 2020 and July
16, 2021. Follow-up notices were issued on March 12, 2022 and January 3, 2023.
None of these notices were returned to my office as undeliverable.
Pennsylvania law permits the
collection of delinquent local earned income taxes by wage garnishment. 53 P.S.
§§ 6924.702-703. As such, the complainant was issued a Notice of Intent to
Garnish Wages by Certified Mail on February 21, 2023 and by First Class
Mail on October 17, 2023. The wage garnishment was sent to the complainant’s
employer on January 11, 2024.
The
complainant submitted her first letter to Keystone in response to the February
21, 2023 notice. Rather than provide any documentation or advance a dispute to
taxation, the complainant invoked certain rights under consumer protection laws
irrelevant to the administration or collection of income taxes. The complainant
supplied one W-2, for the 2018 tax year, evidencing that she was not withheld
earned income tax on all of her income. In response, my office requested
earnings documentation, including W-2s and her PA 40 Personal Income Tax
Return, for all impacted tax years. The complainant did not supply any
documentation; rather, she continued to submit a copy of the same letter
collaterally attacking Keystone’s authority to collect tax and demanding
Keystone supply her with information.
To
date, the complainant has not advanced a substantive dispute to taxation or
supplied documentation evidencing that Keystone’s records are incorrect. In
fact, the single W-2 provided by the complainant evidences an underpayment of
tax.
On February 13, 2024 and February
20, 2024, the complainant called Keystone demanding the wage garnishment be
rescinded. Because of the factors set forth above, my office declined to do so.
The complainant requested a supervisor contact her, which occurred on February
13, 2024. During the call, the complainant was combative with the Keystone
supervisor and used coarse language toward the supervisor. The complainant
demanded Keystone prove that she did not file tax returns. The supervisor
explained that it is impossible to prove that a taxpayer did not do something.
Rather, the burden of proof is on the taxpayer to prove that the information on
their account is incorrect.
As it stands, the balance listed on
the complainant’s account stands, and the garnishment will remain in effect. If
the complainant disputes the balance listed on her account, she must supply
W-2s for all impacted tax years, as well as copies of her PA 40 Personal Income
Tax Returns or any tax returns filed to other states, if applicable. I note
that the residency information claimed by the complainant is inconclusive and
requires further documentation.
In the event that the complainant
proves that no tax is due, any garnishment payments Keystone receives will be
refunded back to the complainant directly. However, at this time it appears
that the balance listed on her account is correct.
Finally, I note that Keystone has
acted at all times professionally and in accordance with its statutory powers
and obligations. See 53 P.S. § 6924.509.
I
appreciate the opportunity provided by the BBB to resolve the concerns of
taxpayers and improve our processes.
Thank you for your attention to this matter.
Very
truly yours,
KEYSTONE
COLLECTIONS GROUP
By:
Christopher
*. V******
General
CounselCustomer Answer
Date: 02/23/2024
Better Business Bureau:
I have reviewed the response made by the business in reference to complaint ID ********, and have determined that this does not resolve my complaint. For your reference, details of the offer I reviewed appear below.
*** ****** ** ** ******** **** ****** ** * ****** ** ***** **** ** **** **** **** ** *** ********This whole case has been handled unprofessional by Keystone and I have no plans to remove my complaint. You refuse to provide proof that these taxes weren't paid, and asking for documents that are no longer accessible due to the fact that information is being asked for 7 years after the fact.
Regards,
***** ******Business Response
Date: 03/01/2024
Dear *** ******:
Thank
you for contacting Keystone Collections Group (“Keystone”) regarding this
complaint ID number. In rejecting my office’s response to her complaint, the
complainant reiterated her assertion that Keystone has refused “to provide
proof that these taxes weren’t paid.” Please refer to my office’s original
response to this matter, as the complainant has not provided any new
substantive dispute to taxation.
As
explained in my previous response, the complainant has never filed a tax return
with Keystone. It is impossible to provide “proof that these taxes weren’t
paid.” Rather, the burden is on the disputing taxpayer to supply evidence that
the tax was paid. As the complainant has not filed tax returns with Keystone,
the only records Keystone has of the complainant’s tax status came from the
Department of Revenue, who reported that the complainant claimed taxable
compensation as a resident of Keystone’s taxing authority.
Moreover, the complainant advised
that she has no access to her documentation “7 years after the fact.” I note
that initial delinquent notice for these taxes were sent on May 8, 2020 and
July 16, 2021 with follow-up notices issued on March 12, 2022 and January 3,
2023. Instead of providing documentation, the complainant collaterally attacked
Keystone’s ability to collect the tax by citing irrelevant provisions of law.
The complainant has yet to advance
any substantive dispute to taxation. Accordingly, the balance must stand.
I
appreciate the opportunity provided by the BBB to resolve the concerns of
taxpayers and improve our processes.
Thank you for your attention to this matter.
Very
truly yours,
KEYSTONE
COLLECTIONS GROUP
By:
Christopher
*. V******
General
CounselCustomer Answer
Date: 03/05/2024
Better Business Bureau:
I have reviewed the response made by the business in reference to complaint ID ********, and have determined that this does not resolve my complaint. For your reference, details of the offer I reviewed appear below.
[Keystone Collections Group says that
they had attempted to contact me starting in May of 2020. However, that is not
a letter I ever received. As you can tell by my constant contact after I
received the letter in 2023, I would have been in contact had I received the
letter. I have no faith that they even sent the information to the correct
address, as two letters I received from Michael M******* on behalf of Keystone
Collections Group had the wrong address. I believe I only received those due to
the apartment number being correct, despite the street address being incorrect.
I cannot grasp how they can attempt
to collect taxes that are this old. Based on information from the state
government, I only must keep tax records for four years.
*****************************************************************************************************
We are well beyond this at that point. I have been in touch
with my employers during these years and even they do not have the records that
are that old.
Keystone also continue to bring up
the fact that I was rude to the manager that I spoke to on the phone. I had
been trying to contact Keystone in writing, so that I had proof of contact, for
almost a year at that point. I never received a response with the requested
information. And at that point they had sent notice of wage garnishment to my
employer. I believe any person would be upset at that point. To me this just
proves their incompetency and now I am literally paying for it because of being
unable to access old tax records. They also like to ignore the fact that this
manager also laughed at me when I asked for proof that I did not pay the taxes.
I believe that it is just as, if not more so, improper for a manager to be
laughing at someone who calls in for help.
I truly do
not believe that this quasi-government agency should be able to get away with
treating someone so improperly, which is why I have been in contact with the Attorney General’s office, as well as the state governor (who I have
submitted a grievance to but was told it may take several weeks to hear a
response), the Better Business Bureau, and my state representative’s office. I
am positive I am not the only one dealing with the incompetency of Keystone
Collections Group; however I am one of the people willing to attempt to do
something about it.
Part of what
I stated in my original letter is that I would be willing to still pay the
amount that Keystone Collections Group thinks that I owe if they were to remove
the unnecessary fees which amount to approximately $333.28 (the amount may be
slightly different at the time of receipt of this letter due to the interest
that Keystone charges). I would much rather have the amount owed entirely
removed, but as stated the records that Keystone is asking for are records that
have become near impossible to receive due to the length of time between the
filing and Keystone contacting me. I still believe this is a fair compromise
considering the ineptitude of Keystone Collections Group. I know that I would
much rather have this issue resolved then the constant back and forth without
any real solution. .]
Regards,
***** ******Business Response
Date: 03/11/2024
Dear *** ******:
Thank
you for contacting Keystone Collections Group (“Keystone”) regarding this
complaint ID number. In rejecting my office’s additional response to her
complaint, the complainant disputes the penalty, interest and collection costs
assessed on her account. Please refer to my office’s original response to this
matter, as the complainant has not provided any new substantive dispute to
taxation.
The
complainant raises concern that the tax seeking to be collected is old. Keystone has been attempting to collect this tax
since 2020. Importantly, this tax would
not need to be collected had the complainant filed local earned income tax
returns and remitted payment when due. As
explained in both of my office’s previous responses, the complainant has never
filed a tax return with Keystone. Pennsylvania law mandates that penalty and
interest accrue on underpaid local earned income taxes. 53 P.S. § 6924.509(i).
Moreover, Keystone is authorized to assess collection costs pursuant to Act 192
of 2004, as ratified by the Bucks County Tax Collection Committee. All
collection costs have been assessed pursuant Act 192. Had the taxpayer properly
filed and paid her local earned income taxes when due, no penalty, interest or
costs would have accrued.
Local
earned income taxes, like all other income taxes, are self-reporting. It is
ultimately the taxpayer who possesses all relevant tax documentation, including
tax returns, W-2s, pay stubs, etc. evidencing their tax withholdings. To date,
the complainant has only supplied Keystone with (1) baseless demands made
pursuant to an irrelevant Federal law regarding consumer debt collection (which
is not applicable to tax collection matters), and (2) a W-2 evidencing that her
local earned income taxes were under-withheld.
The complainant has not advanced
any substantive dispute to taxation. Accordingly, the balance must stand.
I
appreciate the opportunity provided by the BBB to resolve the concerns of
taxpayers and improve our processes.
Thank you for your attention to this matter.
Very
truly yours,
KEYSTONE
COLLECTIONS GROUP
By:
Christopher
*. V******
General
CounselCustomer Answer
Date: 03/13/2024
Better Business Bureau:
I have reviewed the response made by the business in reference to complaint ID ********, and have determined that this does not resolve my complaint. For your reference, details of the offer I reviewed appear below.
*** ****** ** ** ******** **** ****** ** * ****** ** ***** **** ** **** **** **** ** *** ********It is clear to me that this business has no interest in actually attempting to help resolve the matter in a civil fashion. I will continue to be dissatisfied as I spent a year attempting to get more information from them one on one, and now as soon as third parties are involved that will show the negative nature of the business they suddenly want to respond and say they are doing nothing wrong.
Regards,
***** ******Initial Complaint
Date:02/16/2024
Type:Billing IssuesStatus:AnsweredMore info
Complaint statuses
- Resolved:
- The complainant verified the issue was resolved to their satisfaction.
- Unresolved:
- The business responded to the dispute but failed to make a good faith effort to resolve it.
- Answered:
- The business addressed the issues within the complaint, but the consumer either a) did not accept the response, OR b) did not notify BBB as to their satisfaction.
- Unanswered:
- The business failed to respond to the dispute.
- Unpursuable:
- BBB is unable to locate the business.
This is not a government agency. They are frauds. I have been receiving letters saying I owe them taxes since i was 16. Now correct me if I'm wrong, but a 16 year old who still attends that same school district is not to pay taxes to said school district. They are not a .gov, they have been rejected by the government in the past, and they lie about their papers. I received my first letter from them all the way back in 2018, and have received one every year since. I was 16 in 2018 and they sent it. They send it to everyone. My unemployed sister who didn't file taxes, she got one. My disabled brother received a letter. They are a fraud and are attempting to collect money for themselves and not the districts they claim they represent. There are multiple cases on multiple websites of them attempting to scam people out of money. They will not see a cent from me, because the same time they try to force me to pay I'm taking them for all they're worth. They have attempted to collect money from a child. An unemployed. Never filed taxes, mentally disabled adult. And an unemployed, never filed taxes 18 year old. So try to tell me this is legit, because it's not.Business Response
Date: 03/01/2024
Dear *** ******:
Thank
you for contacting Keystone Collections Group (“Keystone”) regarding this
complaint ID number. In his complaint, the complainant contended that
Keystone’s actions are fraudulent, because Keystone is not a governmental
agency. The complainant advised Keystone issued him tax notices which he
believes are illegitimate. Please know that I have thoroughly reviewed the
complainant’s account.
As a preliminary matter, Keystone is a duly
appointed tax collector responsible for the collection of various municipal and
school district taxes throughout the Commonwealth of Pennsylvania. Keystone is
not a governmental agency, but under Pennsylvania law local level taxes may be
collected by tax collectors separate and apart from the state or local
governments. Moreover, a simple internet search of the official tax register on
dced.pa.gov or on any local government’s website will reveal the identity of the
tax collector for each taxing authority.
Per my review of Keystone’s records, the
complainant has been notified for delinquent local earned income taxes and
delinquent per capita taxes. I will address each matter in turn.
Local Earned Income Taxes
Keystone serves as the Act 32 Tax Officer for the Northampton
County Tax Collection District and the local taxing bodies therein. In this capacity, Keystone is tasked with the
administration, collection, and reconciliation of local EIT for all communities
within Northampton County that assess an EIT.
The Local Tax Enabling
Act (“LTEA”) requires all Pennsylvania resident
taxpayers making earned income and/or net profits to file a local EIT return
with their resident Tax Officer. 53 P.S. § 6924.502(c). It is important to note
that local EIT, like all other income-based taxes, are self-reporting. That is, it is the taxpayer’s legal
obligation to file a tax return, report all income, and remit any outstanding
tax, if necessary. Income taxes are not “billed” like real estate or certain
nuisance taxes.
Per my review of the complainant’s account, he has
never filed a tax return with Keystone.
Pursuant to the information exchange mandate of the LTEA, Keystone is
supplied with limited earnings information from the Pennsylvania Department of
Revenue (“DOR”) used to identify unpaid or underpaid accounts. See 53 P.S. §
6924.509(g). The income figures listed on the complainant’s delinquent notice were
taken directly from the earnings information supplied by the DOR, which
represents figures the complainant listed on his PA 40 personal income tax
return for the 2021 tax year. Moreover, the information supplied by the DOR
reflected that the complainant filed his 2021 PA 40 as a resident of the Bethlehem
Area School District.
Understanding that the information supplied by the
DOR may be inaccurate, Keystone provides taxpayers with ample notice prior to
the initiation of adverse legal or collection action. Through the LTEA, Tax
Officers such as Keystone are vested with the right to request documentation to
verify the accuracy of a tax return, or if no tax return was filed, to
ascertain the amount of tax due. See 53 P.S. § 6924.509(f).
Per my review, the complainant was issued an
initial delinquent notice on August 17, 2023.
This notice advises taxpayers of their tax delinquency, and affords
taxpayers with the opportunity to reconcile their account, without statutory
penalty, for thirty (30) days. The
complainant did not respond to this notice.
Pennsylvania law permits the collection of
delinquent local earned income taxes by wage garnishment. 53 P.S. §§
6924.702-703. Accordingly, Keystone issued the complainant a Notice of Intent to Garnish Wages by Certified Mail on February 15, 2024. This complaint followed.
If the complainant disputes the tax, he may supply
documentation evidencing that the tax was previously paid or withheld.
Per Capita Taxes
Keystone
serves as the current and delinquent per capita tax collector for the Bethlehem
Area School District. The School District assesses a per capita tax pursuant to
Act 511 (Local Tax Enabling Act), 53 P.S. § 6924.101 et seq. and
the Pennsylvania School Code, 24 P.S. § 6-679. Per capita taxes are head
taxes assessed on all adult residents of a political subdivision. The tax is
assessed on all residents of the School District as of July 1 of a given tax
year. That is, if a taxpayer moves out of the district after July 1 in a given
tax year, they are still responsible for their per capita tax obligation.
Further, Pennsylvania law similarly
permits the collection of delinquent per capita taxes by wage garnishment. 53
P.S. §§ 6924.702-703.
Per
my review of the complainant’s account, he has never remitted payment for per
capita taxes. All current bills were issued to the complainant at his current
address on July 1 of each year and have not been returned to my office as
undeliverable or unable to forward. The complainant was issued a delinquent per
capita tax notice for the 2021 tax year on January 19, 2022, the 2022 tax year
on January 20, 2022 and the 2023 tax year on January 17, 2024.
If
the complainant qualifies for an underage exemption, the availability of which
is clearly delineated on the annual bill, the complainant may supply
documentation evidencing that he was under the age of eighteen (18) as of July
1 of each impacted tax year.
The
complainant has not responded to a single notice sent to him by Keystone. As
outlined herein, all of Keystone’s actions have been legitimate and in
accordance with its statutory powers and obligations. See e.g. 53 P.S. §
6924.509.
I appreciate the opportunity provided by the BBB to
resolve the concerns of taxpayers and improve our processes.
Thank you for your attention to this matter.
Very
truly yours,
KEYSTONE
COLLECTIONS GROUP
By:
Christopher
*. V******
General
CounselInitial Complaint
Date:02/16/2024
Type:Billing IssuesStatus:AnsweredMore info
Complaint statuses
- Resolved:
- The complainant verified the issue was resolved to their satisfaction.
- Unresolved:
- The business responded to the dispute but failed to make a good faith effort to resolve it.
- Answered:
- The business addressed the issues within the complaint, but the consumer either a) did not accept the response, OR b) did not notify BBB as to their satisfaction.
- Unanswered:
- The business failed to respond to the dispute.
- Unpursuable:
- BBB is unable to locate the business.
I have received a collections letter from Keystone collections for school district taxes that I have never lived in they are also threatening to garnish my wages and stated they have notified me before. I have never even heard of this company.Business Response
Date: 02/23/2024
Dear *** ******:
Thank
you for contacting Keystone Collections Group (“Keystone”) regarding this
complaint ID number. In his complaint, the complainant advised that Keystone
sent a notice requesting payment for delinquent local earned income taxes
(“EIT”). The complainant further advised that he has never heard of Keystone. In
support of his dispute, the complainant advised that the delinquent tax notice
corresponded to a school district in which he never resided. Please know that I
have thoroughly reviewed the complainant’s account.
As a preliminary matter, Keystone serves as the Act
32 Tax Officer for the Chester County Tax Collection District and the local
taxing bodies therein. In this capacity,
Keystone is tasked with the administration, collection, and reconciliation of
local EIT for all communities within Chester County that assess an EIT.
The Local Tax Enabling
Act (“LTEA”) requires all Pennsylvania resident
taxpayers making earned income and/or net profits to file a local EIT return
with their resident Tax Officer. 53 P.S. § 6924.502(c). It is important to note
that local EIT, like all other income-based taxes, are self-reporting. That is, it is the taxpayer’s legal
obligation to file a tax return, report all income, and remit any outstanding
tax, if necessary. Income taxes are not “billed” like real estate or certain
nuisance taxes.
Per my review of the complainant’s account, he has
never filed a tax return with Keystone.
Pursuant to the information exchange mandate of the LTEA, Keystone is
supplied with limited earnings information from the Pennsylvania Department of
Revenue (“DOR”) used to identify unpaid or underpaid accounts. See 53 P.S. §
6924.509(g). The income figures listed on the complainant’s delinquent notice were
taken directly from the earnings information supplied by the DOR, which
represents figures the complainant listed on his PA 40 personal income tax
return. Moreover, the information supplied by the DOR reflected that the
complainant filed his 2020 PA 40 as a resident of the West Chester Area School
District.
Understanding that the information supplied by the
DOR may be inaccurate, Keystone provides taxpayers with ample notice prior to
the initiation of adverse legal or collection action. Through the LTEA, Tax
Officers such as Keystone are vested with the right to request documentation to
verify the accuracy of a tax return, or if no tax return was filed, to
ascertain the amount of tax due. See 53 P.S. § 6924.509(f).
Per my review, the complainant was issued an
initial delinquent notice on November 9, 2023.
This notice advises taxpayers of their tax delinquency, and affords
taxpayers with the opportunity to reconcile their account, without statutory
penalty, for thirty (30) days. The
complainant did not respond to this notice.
Pennsylvania law permits the collection of
delinquent local earned income taxes by wage garnishment. 53 P.S. §§
6924.702-703. Accordingly, Keystone issued the complainant a Notice of Intent to Garnish Wages by Certified Mail on January 9, 2024 and by First Class Mail on
February 13, 2024. This complaint followed.
In response to the complainant’s assertion that he
did not reside in the West Chester Area School District, I caused the review of
Keystone’s records and any other publicly available information to verify the
same. My office is unable to independently verify the complainant’s residency
for the 2020 tax year. Rather, based upon my office’s review, it appears likely
that the complainant resided in East Goshen Township / West Chester Area School
District from March 2020 to March 2021.
If the complainant disputes the tax, he may supply
documentation evidencing further evidencing his residency for the 2020 tax
year.
I appreciate the opportunity provided by the BBB to
resolve the concerns of taxpayers and improve our processes.
Thank you for your attention to this matter.
Very
truly yours,
KEYSTONE
COLLECTIONS GROUP
By:
Christopher
*. V******
General
CounselInitial Complaint
Date:02/16/2024
Type:Billing IssuesStatus:AnsweredMore info
Complaint statuses
- Resolved:
- The complainant verified the issue was resolved to their satisfaction.
- Unresolved:
- The business responded to the dispute but failed to make a good faith effort to resolve it.
- Answered:
- The business addressed the issues within the complaint, but the consumer either a) did not accept the response, OR b) did not notify BBB as to their satisfaction.
- Unanswered:
- The business failed to respond to the dispute.
- Unpursuable:
- BBB is unable to locate the business.
I continue to receive one page letters indicating I owe tax. Several written letters were sent asking to provide detail documents supporting claim that I owe taxes. They are threatening to garnish wages without providing proof of claims.Business Response
Date: 03/01/2024
**** ** ***** *** ******:
Thank
you for contacting Keystone Collections Group (“Keystone”) regarding this
complaint ID number. In his complaint, the complainant advised that Keystone
sent a notice requesting payment for delinquent local earned income taxes
(“EIT”). The complainant did not advance a dispute to taxation; rather, he
requested proof that he owes EIT. Please know that I have thoroughly reviewed
the complainant’s account.
As a preliminary matter, Keystone serves as the Act
32 Tax Officer for the Allegheny North Tax Collection District and the local
taxing bodies therein. In this capacity,
Keystone is tasked with the administration, collection, and reconciliation of
local EIT for all communities within the Tax Collection District that assess an
EIT.
The Local Tax Enabling
Act (“LTEA”) requires all Pennsylvania resident
taxpayers making earned income and/or net profits to file a local EIT return
with their resident Tax Officer. 53 P.S. § 6924.502(c). It is important to note
that local EIT, like all other income-based taxes, are self-reporting. That is, it is the taxpayer’s legal
obligation to file a tax return, report all income, and remit any outstanding
tax, if necessary. Income taxes are not “billed” like real estate or certain
nuisance taxes.
Per my review of the complainant’s account, he has
never filed a tax return with Keystone.
Pursuant to the information exchange mandate of the LTEA, Keystone is
supplied with limited earnings information from the Pennsylvania Department of
Revenue (“DOR”) used to identify unpaid or underpaid accounts. See 53 P.S. §
6924.509(g). The income figures listed on the complainant’s delinquent notice were
taken directly from the earnings information supplied by the DOR, which
represents figures the complainant listed on his PA 40 personal income tax
returns.
Understanding that the information supplied by the
DOR may be inaccurate, Keystone provides taxpayers with ample notice prior to
the initiation of adverse legal or collection action. Through the LTEA, Tax
Officers such as Keystone are vested with the right to request documentation to
verify the accuracy of a tax return, or if no tax return was filed, to
ascertain the amount of tax due. See 53 P.S. § 6924.509(f).
Per my review, the complainant was issued initial
delinquent notices on May 27, 2022 and February 8, 2024. This notice advises taxpayers of their tax
delinquency, and affords taxpayers with the opportunity to reconcile their
account, without statutory penalty, for thirty (30) days. Follow up notices
were issued on January 3, 2023 and May 9, 2023.
In response, the complainant submitted a W-2
evidencing that no local earned income tax was withhold from his pay. Because
the complainant works for a New Jersey based employer, his employer is not
required to withhold local earned income taxes from his. The complainant is
therefore legally obligated to file and remit quarterly estimated payments to
Keystone. 53 P.S. § 6924.502(c).
Recently, the complainant submitted a letter to
Keystone invoking certain rights under the Fair Debt Collection Practices Act
(“FDCPA.”) The FDCPA is irrelevant to this matter, as it does not apply to the
collection of taxes. See, Henson v. Santander Consumer
USA, Inc., __ U.S. __ , 137 S. Ct. 1718 (2017). Local EIT is not a consumer
debt, and this matter originates with Keystone. It was the complainant’s legal
obligation to file tax returns with Keystone. Nevertheless, Keystone continues
to provide the complainant with account statements listing his tax balance.
Pennsylvania law permits the collection of
delinquent local earned income taxes by wage garnishment. 53 P.S. §§
6924.702-703. Accordingly, Keystone issued the complainant a Notice of Intent to Garnish Wages by Certified Mail on July 18, 2023 and by First Class Mail on September
5, 2023. A new tax year was added to the garnishment on February 8, 2024 This
complaint followed.
Based upon the documentation supplied by the
complainant, his delinquent account balance stands. No local earned income tax
was withheld from his pay, and Keystone has not received any payments from the
complainant. Keystone’s actions have at all times been proper.
I appreciate the opportunity provided by the BBB to
resolve the concerns of taxpayers and improve our processes.
Thank you for your attention to this matter.
Very
truly yours,
KEYSTONE
COLLECTIONS GROUP
By:
Christopher
*. V******
General
Counselhy here...Customer Answer
Date: 03/01/2024
Better Business Bureau:
I have reviewed the response made by the business in reference to complaint ID ********, and have determined that this does not resolve my complaint. For your reference, details of the offer I reviewed appear below. I never received any tax forms for the years they claim I did not pay taxes. How can they compile 3 years of claims of local taxes with fees and penalties without sending me proper tax forms each year? If employers did not withhold local income tax, I should not have to pay fees and penalties. And Keystone has not verified account information requested.
Regards,
***** *****Business Response
Date: 03/12/2024
Dear M*. ******:
Thank
you for contacting Keystone Collections Group (“Keystone”) regarding this
complaint ID number. In rejecting my office’s response, the complainant reiterated
his request for proof that he owes EIT and advised that he did not receive “tax
forms” from Keystone. Please refer to my office’s original response to this
matter, as the complainant has not provided any new substantive dispute to
taxation.
As detailed in my original response, the Fair Debt
Collection Practices Act (“FDCPA”) does not apply to tax matters. Keystone is not a
third party debt collector or commercial creditor; that is, this matter
originates and remains with Keystone. State law requires all residents to file
a local earned income tax return and remit payment to their resident tax
officer. 53 P.S. § 6924.502. In the case of residents of the Allegheny North
Tax Collection District, such tax returns must be filed with Keystone.
Keystone
is not a “debt collector” under the FDCPA. See, Henson v. Santander Consumer
USA, Inc., __ U.S. __ , 137 S. Ct. 1718 (2017). A threshold requirement for application of
the FDCPA is that prohibited practices are used in an attempt to collect a
“debt” under the FDCPA. Zimmerman v.
HBO Affiliate Group, 834 F.2d 1163, 1167 (3d Cir. 1987). Courts have consistently held that the FDCPA
applies only to consumer debt, which is distinguishable from tax debt. That is, “debt” covered under the FDCPA “is
created whenever a consumer is obligated to pay money as a result of a
transaction whose subject is primarily for personal, family or household
purposes.” Pollice v. National Tax
Funding, 225 F.3d 379, 401 (3d Cir. 2000).
Tax obligations, on the other hand, result from the fact of citizenship,
residency and/or property ownership. As Keystone administers taxes, we are not
required to comply with the FDCPA.
Nevertheless,
no consumer protection violation has occurred as the complainant has been
issued numerous delinquent notices and been afforded the opportunity to pay or
dispute the tax. These notices list his state reported income and associated
tax liability, penalty, interest and costs. Debt “validation” is a requirement
for consumer debt collectors. In this case, it was the complainant’s legal
obligation to file tax returns with Keystone. If he disputes the balance listed
on his account, he may supply additional documentation. However, per my review,
the complainant is employed by a New Jersey employer who does not withhold the
tax from his pay.
Finally,
the complainant advised that Keystone did not send him tax forms. Ultimately,
local earned income tax is a self-reporting tax that requires taxpayers to
voluntarily file a tax return with their resident Tax Officer. As Keystone
receives no local earned income tax withholdings on the complainant’s behalf,
we could not know of the complainant’s residency within the Taxing District
without the proper filing of a tax return.
The balance on the complainant’s account stands. Keystone’s
actions have at all times been proper and the complainant has not advanced a
substantive dispute to his delinquent tax balance.
I appreciate the opportunity provided by the BBB to
resolve the concerns of taxpayers and improve our processes.
Thank you for your attention to this matter.
Very
truly yours,
KEYSTONE
COLLECTIONS GROUP
By:
Christopher
*. V******
General
CounselInitial Complaint
Date:02/15/2024
Type:Billing IssuesStatus:AnsweredMore info
Complaint statuses
- Resolved:
- The complainant verified the issue was resolved to their satisfaction.
- Unresolved:
- The business responded to the dispute but failed to make a good faith effort to resolve it.
- Answered:
- The business addressed the issues within the complaint, but the consumer either a) did not accept the response, OR b) did not notify BBB as to their satisfaction.
- Unanswered:
- The business failed to respond to the dispute.
- Unpursuable:
- BBB is unable to locate the business.
Every year, Keystone Collections Group sends out a notice that myself and my fiancé owe Per Capita tax to a school district in a county that we have not resided in in years. Even though they are sending the notice to our current address which is a two hour commute each way. Each year we have to jump through all the hoops to prove that we don't live or work in the school district that they are trying collect taxes for. I have tried again and again to get in contact with a customer service rep to get us off their list since we no longer reside in that county, but each time I am left waiting on hold for an hour before realizing that no one is going to pick up and help out.Business Response
Date: 02/23/2024
Dear M*. ******:
Thank you for contacted Keystone Collections Group
(“Keystone”) regarding this complaint ID number. In her complaint, the complainant
advised that Keystone issued her per capita / occupation tax notices for an
area in which she no longer resides. Accordingly, the complainant disputed the
tax. Please know that I have thoroughly reviewed the complainant’s account.
As a preliminary matter, Keystone
serves as the current and delinquent per capita and occupation tax collector
for Somerset Area School District. Per my review, the complainant received a
2024 tax bill dated February 1, 2024. The complainant also received a
delinquent tax bill for the 2022 tax year. The complainant contacted Keystone
on February 15, 2024, and exonerated her 2024 tax liability utilizing
Keystone’s online system. However, she was advised to complete the exemption
application for the 2022 tax year, as it was delinquent. This complaint followed.
As there are many reason why a
taxpayer’s mailing address might differ from their resident address, Keystone
provides taxpayers with the opportunity to quickly and conveniently request an
exemption or exoneration from per capita / occupation taxes on its online
portal. Nevertheless, in response to this complaint my office has independently
verified the complainant’s residency outside of Somerset Area School District. Accordingly,
the balance listed on the complainant’s account has been removed and my office
considers this matter resolved.
I appreciate the opportunity
provided by the BBB to resolve the concerns of taxpayers and improve our
processes.
Thank you
for your attention to this matter.
Very
truly yours,
KEYSTONE
COLLECTIONS GROUP
By:
Christopher
*. V******
General
CounselInitial Complaint
Date:02/13/2024
Type:Billing IssuesStatus:AnsweredMore info
Complaint statuses
- Resolved:
- The complainant verified the issue was resolved to their satisfaction.
- Unresolved:
- The business responded to the dispute but failed to make a good faith effort to resolve it.
- Answered:
- The business addressed the issues within the complaint, but the consumer either a) did not accept the response, OR b) did not notify BBB as to their satisfaction.
- Unanswered:
- The business failed to respond to the dispute.
- Unpursuable:
- BBB is unable to locate the business.
They are trying to scam me into paying a tax i do not owe for this year i had not lived in the area for 3 years. The year i had moved i payed my tax. The following year i had called the company to address the fact that i dont live there anymore. They said they had removed me from there system. Now i received another collection notice for this year, with verbage about how if i dont pay it will have a late fee, on the first notice. I attempted to reach the company within a half hour of them closing and they would not pick up my phone call. This is fraudulant behavior.Business Response
Date: 02/23/2024
Dear *** ******:
Thank you for contacted Keystone Collections Group
(“Keystone”) regarding this complaint ID number. In his complaint, the complainant
advised that Keystone issued him a delinquent per capita tax notice for an area
in which he does not reside. The complainant advised that he has not lived in
the taxing jurisdiction for three (3) years. Accordingly, the complainant
disputed the tax. Please know that I have thoroughly reviewed the complainant’s
account.
As a preliminary matter, Keystone
serves as the current and delinquent per capita tax collector for East
Washington Borough. The tax is assessed on all adult residents of the Borough.
Per my review, the complainant was issued a 2023 per capita tax notice on April
1, 2023. Receiving no response or exemption request, Keystone issued the
complainant an initial delinquent per capita tax notice on January 31, 2024.
This complaint followed.
Per my review of the complainant’s
account, his per capita taxes have been paid for all years prior to 2023.
Moreover, it is Keystone’s business practice to place a memorandum in all
taxpayer accounts when taxpayers contact Keystone. Per my review, Keystone has
no record of the complainant contacting Keystone to advise that he no longer
resided in East Washington Borough. Furthermore, there are many reasons why a
taxpayer’s mailing address might differ from their resident address.
Nevertheless, my office has verified the complainant’s residency outside of
East Washington Borough. Accordingly, the balance listed on the complainant’s
account has been removed and my office considers this matter resolved.
I appreciate the opportunity
provided by the BBB to resolve the concerns of taxpayers and improve our
processes.
Thank you
for your attention to this matter.
Very
truly yours,
KEYSTONE
COLLECTIONS GROUP
By:
Christopher *. V******
General
CounselInitial Complaint
Date:02/11/2024
Type:Billing IssuesStatus:AnsweredMore info
Complaint statuses
- Resolved:
- The complainant verified the issue was resolved to their satisfaction.
- Unresolved:
- The business responded to the dispute but failed to make a good faith effort to resolve it.
- Answered:
- The business addressed the issues within the complaint, but the consumer either a) did not accept the response, OR b) did not notify BBB as to their satisfaction.
- Unanswered:
- The business failed to respond to the dispute.
- Unpursuable:
- BBB is unable to locate the business.
I have received multiple letters from Keystone Collections Group stating that I owe local earned income taxes for several years in a township that I neither lived nor worked in. They sent letters threatening to mail wage garnishment letters to both mine and my wife’s employers. I have provided Keystone with W-2’s for myself and my wife for the years in question. Proving that local tax’s were indeed withheld from our pay and that we did not live in the township in question. I also provided them with mortgage documents showing when and where we purchased our home. Multiple times actually, they apparently lost some of the documents we sent over. This is an ongoing issue with this company, I personally know several people dealing with this same issue. And I am currently seeking legal counsel to not only rectify the tax issue, but to hopefully sue them. The burden of proof should be on them to prove I owe the money, not the other way around. Especially after digging through documents from several years in the past to try and “prove” my innocence and still being told I owe them money is ridiculous.Business Response
Date: 02/22/2024
Dear **. ******:
Thank
you for contacting Keystone Collections Group (“Keystone”) regarding this
complaint ID number. In his complaint, the complainant advised that Keystone
sent him a delinquent local earned income tax (“EIT”) notice. The complainant disputed
the listed balance, and that he submitted documentation to Keystone evidencing
the same. Please know that I have thoroughly reviewed the complainant’s
account.
Please be advised that Keystone serves as the Act
32 Tax Officer for the Bucks County Tax Collection District and the local
taxing bodies therein. In this capacity,
Keystone is tasked with the administration, collection, and reconciliation of
local EIT for all communities within the Tax Collection District that assess an
EIT.
The Local Tax Enabling
Act (“LTEA”) requires all Pennsylvania resident
taxpayers making earned income and/or net profits to file a local EIT return
with their resident Tax Officer. 53 P.S. § 6924.502(c). It is important to note
that local EIT, like all other income-based taxes, are self-reporting. Per my review of the complainant’s account, he
and his spouse have never filed a tax return with Keystone in accordance with
state law.
Pursuant to the information exchange mandate of the
LTEA, Keystone is supplied with limited earnings information from the
Pennsylvania Department of Revenue (“DOR”) used to identify unpaid or underpaid
accounts. See 53 P.S. § 6924.509(g). The income figures listed on the
complainant’s delinquent notice were taken directly from the earnings
information supplied by the DOR, which represents figures the complainant
listed on his PA 40 personal income tax returns for the tax years at issue.
Understanding that the information supplied by the
DOR may be inaccurate, Keystone provides taxpayers with ample notice prior to
the initiation of adverse legal or collection action. Through the LTEA, Tax
Officers such as Keystone are vested with the right to request documentation to
verify the accuracy of a tax return, or if no tax return was filed, to
ascertain the amount of tax due. See 53 P.S. § 6924.509(f).
Per my review, the complainant was issued an
initial delinquent notice on June 14, 2021, July 16, 2021, and September 1,
2022 for the tax years at issue. This notice advises taxpayers of their tax
delinquency, and affords taxpayers with the opportunity to reconcile their
account, without statutory penalty, for thirty (30) days.
The complainant’s spouse contacted Keystone on July
30, 2021 and verbally advised that they did not reside in the taxing
jurisdiction listed on their delinquent notice. The complainant’s wife was
advised to supply documentation evidencing the same. No documentation was ever
provided.
In fact, the complainant did not supply any
documentation in response to these initial delinquent notices. A follow-up
notice was sent to the complainant on March 6, 2022. No response was received
by Keystone.
The LTEA authorizes the collection of delinquent
local earned income taxes by wage garnishment. 53 P.S. §§ 6924.702-703. As a
result, the complainant and his spouse were issued a Notice of Intent to Garnish Wages on March 28, 2023 by Certified Mail and again on May 2, 2023 by First
Class Mail.
After receipt of the May 2, 2023 notice, the
complainant’s spouse uploaded residency documentation and her W-2s, but no W-2s
for the complainant. Keystone, therefore, sent the complainant a Document
Request letter on August 24, 2023 requesting W-2s. In response, on September 1,
2023, the complainant contacted Keystone and inquired why Keystone needed the
W-2s. At that time, the complainant was advised of the documents Keystone was
previously provided and what was needed.
In response, the complainant sent Keystone two more
of his spouse’s W-2s and only one of his W-2s, for the 2019 tax year. As a
result, the 2019 tax year was closed. However, no documents were provided for
tax years 2016, 2017, 2018, 2020 or 2021.
Keystone
provides a Delinquent Earned Income Tax
Information Supplement for taxpayers to assist
with disputes. The complainant recently completed and returned this document
and supplied residency dates. Additionally, the complainant marked that his
local earned income tax was withheld from his pay. However, he neglected to supply
W-2s.
As
a result, my office has closed tax years 2016 and 2017 due to non-residency.
The complainant resided in another taxing jurisdiction within Bucks County for
tax year 2018, so his liability has been moved. The balance on tax years 2020
and 2021 stand. My office will be sending the complainant an additional
Document Request letter seeking W-2s for tax years 2018, 2020 and 2021. Upon
receipt, my office will review as necessary.
I
note that Keystone has at all times acted in accordance with its statutory
powers and obligations. Further, the proper filing of local earned income tax
returns would have avoided this situation. It is the taxpayer’s burden to prove
that their tax liability has been satisfied as it is the taxpayer who possesses
their tax and income documentation. Without receipt of a tax return, Keystone
cannot know whether the complainant satisfied his local earned income tax
liability.
I appreciate the opportunity provided by the BBB to
resolve the concerns of taxpayers and improve our processes.
Thank you for your attention to this matter.
Very
truly yours,
KEYSTONE
COLLECTIONS GROUP
By:
Christopher *. V******
General
Counsel
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