Allentown City, Pennsylvania local income tax
Lehigh County · tax year 2026 · split between 2 school districts
1.975% resident earned income tax
1.475% goes to Allentown and 0.5% to the school district. People who work in Allentown but live elsewhere owe a nonresident rate of 1.28%.
Rates by school district
| School district | PSD code | Resident EIT | Nonresident | LST | EIT collector |
|---|---|---|---|---|---|
| Allentown City School District | 390101 | 1.975% | 1.28% | $52 | Berkheimer Tax Administrator (610) 599-3139 |
| Parkland School District | 390699 | 1.975% | 1.28% | $52 | Berkheimer Tax Administrator (610) 599-3139 |
What employers withhold
Pennsylvania employers withhold local earned income tax at the higher of two rates: the total resident rate where the employee lives, or the nonresident rate where they work. For someone who lives and works in Allentown, that's 1.975%: about $988 a year on $50,000 of wages. Report the employee's PSD code on Form W-2 and on the quarterly return to the collector.
The local services tax (LST) of $52 a year is withheld from people who work in Allentown, usually in equal amounts each pay period, unless the employee expects to earn less than $12,000 here this year.
Pennsylvania's Act 32 rules: DCED local withholding tax FAQs.
Nearby in Lehigh Tax Collection District
| Municipality | Resident EIT | PSD code |
|---|---|---|
| Alburtis Borough | 1% | 390301 |
| Catasauqua Borough | 1% | 390201 |
| Coopersburg Borough | 1% | 390801 |
| Coplay Borough | 1% | 390901 |
| Emmaus Borough | 1% | 390302 |
| Hanover Township | 1% | 390202 |
| Heidelberg Township | 1.175% | 390501 |
| Lower Macungie Township | 1.15% | 390303 |
| Lower Milford Township | 1% | 390802 |
| Lowhill Township | 1% | 390502 |
| Lynn Township | 1% | 390503 |
| Macungie Borough | 1% | 390306 |
Running payroll in Allentown, PA?
Sources
- Pennsylvania Department of Community and Economic Development, Municipal Statistics (EIT and LST rates) · data as of June 12, 2026 · last checked October 9, 2026
We copy figures from official sources and re-check them against the source before every update. See our methodology. This is general information, not legal advice.