Delaware’s Division of Revenue will begin processing 2023 individual income tax returns on January 23, 2024. As a result of fraud prevention measures that protect Delaware taxpayers, refunds will not begin to be issued until February 15, 2024.

Taxpayers are encouraged to file their taxes electronically as paper returns take longer to process. Taxpayers who file online may file for free at tax.delaware.gov or through other electronic filing programs. Requesting refunds by direct deposit will also expedite refund delivery. This year’s filing deadline for Delaware Personal Income Tax is Tuesday, April 30, 2024.

Taxpayers should be aware that Delaware does not maintain reciprocity agreements with other states. It is important that anyone who worked in Delaware, but was not a Delaware resident, files a Delaware tax return. Delaware residents who work out-of-state are required to file returns with Delaware in addition to the state where they worked. By law, Delaware employees should receive their 2023 W-2 employment forms by January 31, 2024. Those who haven’t received a W-2 by January 31st should contact their employer.

For filing information and more, please visit revenue.delaware.gov.

REVENUE ANNOUNCES NEW HSCA RATE EFFECTIVE JANUARY 2024

Statewide, DE (October 24, 2023) – Division of Revenue Director Kathy Revel today announced that businesses subject to the Hazardous Substance Cleanup Act (HSCA) will see a decrease in last year’s rate from 0.8389% to 0.675%. The new tax rate will go into effect on January 1, 2024, and it applies to taxable gross receipts from the sale of petroleum or petroleum products.

Legislation was passed in 2018 calling for future rate increases to be based on a lookback period. The adjustable rates cannot be lower than 0.675% or greater than 1.675% and are calculated by multiplying 0.9% (the original rate) by a fraction – the numerator of which is $15,000,000 and the denominator of which is the total collections in the fund during the lookback period (July 1 to June 30 of the prior year).

The HSCA was passed by the Delaware General Assembly in July of 1990 to ensure funding for the cleanup of facilities with a release or imminent threat of release of hazardous substances. The Department of Natural Resources and Environmental Control has identified over 1,100 sites in Delaware as potential hazardous substances release sites.

If you have questions about the new adjustable tax rate, please contact Leo Regalado with the Delaware Division of Revenue at (302) 577-8254.

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Delaware’s Division of Revenue began processing 2022 individual income tax returns on January 23, 2023.

For faster turnaround times, citizens are encouraged to file their taxes online at tax.delaware.gov or through other electronic filing programs. Requesting refunds by direct deposit will also improve refund processing. To protect Delaware taxpayer dollars against refund fraud, the Division of Revenue holds all personal income tax refunds until Wednesday, February 15, 2023. This year’s filing deadline for personal income tax is Monday, May 1, 2023.

Taxpayers should be aware that Delaware does not maintain reciprocity agreements with other states. It is important that anyone who worked in Delaware, but was not a Delaware resident, files a Delaware tax return. Delaware residents who work out-of-state are required to file returns with Delaware in addition to the state where they worked. By law, Delaware employees should receive their 2022 W-2 employment forms by January 31, 2023. Those who haven’t received a W-2 by January 31st should contact their employer.

For filing information and more, please visit revenue.delaware.gov.

Delaware’s Division of Revenue began processing 2021 individual income tax returns on January 31, 2022. Delaware’s filing season, often opened in tandem with the IRS, was delayed this year due to programming required in include newly signed legislation that exempts Unemployment Insurance payments from Delaware Income Tax in 2021. Taxpayers may still file in advance of this date, and returns will be held until processing begins.

For faster turnaround times, citizens are encouraged to file their taxes online at de.gov/filetax or through other electronic filing programs and request direct deposit. In an effort to combat refund fraud, the Division of Revenue holds all personal income tax refunds until February 11, 2022. This year’s filing deadline for personal income tax is Monday, May 2, 2022.

Taxpayers should be aware that Delaware does not maintain reciprocity agreements with other states. Therefore, it is important that anyone who is not a Delaware resident, but who has worked in Delaware, understands that they must file a Delaware tax return. Delaware Residents who work out-of-state are required to file returns with Delaware in addition to the state where they worked. By law, Delaware employees should receive their W-2 employment forms by January 31, 2022 for any job worked during the 2021 calendar year. Those who haven’t received a W-2 by January 31^st should contact their employer.

For filing information and more, please visit revenue.delaware.gov.

The deadline for Delaware taxpayers to file and pay their 2020 personal income tax returns to both federal and state governments has been extended from April 15 to May 17. This extension does not apply to estimated tax payments made quarterly by individuals – those payments will still be due by April 30, 2021. Additionally, the deadline extension does not provide apply to corporate or fiduciary income tax returns.

Under Delaware law, the Director of the Division of Revenue has the ability to grant reasonable extensions of time for the payment of any tax or estimated tax when deemed appropriate. Considering the effects of the pandemic, Revenue Director Jennifer Noel has determined that it is appropriate to grant extensions similar to those recently granted by the Internal Revenue Service. Details are outlined in a new Tax Information Memorandum (TIM 2021-3) available on the agency website (https://revenue.delaware.gov).

As always, the Division of Revenue encourages taxpayers to file as soon as possible, once they have the necessary information required to do so. The payment deadline of May 17, 2021 will not be further extended, so taxpayers should note that penalties and interest on underpayments will be calculated from that date, even if you request additional time to file.

For more information, please call (302) 856-5358 or email DOR_PublicService@delaware.gov.