Allentown School District Mercantile Tax Case

Is the Resolution of the School District of the City of Allentown levying a mercantile tax on wholesale and retail dealers in goods, wares and merchandise under the authority of the Act of June 25, 1947 popularly known as the "Tax Anything Act" valid? Section 1 of this act authorizes political subdivisions, including school districts of the second class, to tax anything not specifically excepted by said act with the following pertinent proviso: "E. No taxes shall be levied by any political subdivision on the following subjects exceeding the rates specified in this subsection: ... (b) On each dollar of the whole volume of business transacted by wholesale dealers in goods, wares and merchandise, 1 mill; by retail dealers in goods, wares and merchandise and by proprietors of restaurants or other places where food, drink and refreshments are served, 1 1/2 mills; except in cities of the second class, where rates shall not exceed 1 mill on wholesale dealers and 2 mills on retail dealers and proprietors. No such tax shall be levied on the dollar volume of business transacted