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.

Division of Revenue Director Jennifer R. Hudson has announced that the Delaware individual income tax season will begin on Monday, January 29, 2018, concurrently with the opening of the federal individual tax season announced by the IRS. While this is slightly later than previous years, the January 29 date was set to ensure the security and readiness of key tax processing systems, and to assess the potential impact of tax legislation on 2017 tax returns. Delaware will begin issuing income tax refunds on Monday, February 19, 2018. The State of Delaware will begin to accept business tax returns on January 16, 2018.

Electronic filing remains the fastest and safest way to file your personal income tax returns. Delaware will continue to offer taxpayers the opportunity to file for free through the Division of Revenue website. Delaware’s user-friendly system is available 24 hours a day, 7 days a week, and allows taxpayers to file their returns and schedule payments to be made closer to the April 30, 2018 deadline. You may pay your State of Delaware taxes using a credit card, or by debiting your bank account.

If you prefer to use tax-preparation software, you can electronically file your federal and state income tax returns for a fee. Many of these products also offer free-filing options for Delaware taxpayers who meet one of the following qualifications:

• Those with adjusted gross income that is less than the software’s established means criteria; or
• Active-duty military with an adjusted gross income of $60,000 or less (including Reservists and National Guard); or
• Those who qualify for the Federal Earned Income Tax Credit (EITC).

Returns filed in hard copy are processed using a modernized system that identifies tax filings based on the return type. Any taxpayer who files a 2017 tax return using a prior-year return, or who modifies the paper return in some way, could experience significant delays. Paper tax returns will be available at local libraries, Revenue’s three public service offices, or via download at de.gov/17taxforms.

Delaware individual income tax returns will be due on or before April 30, 2018. It is important to remember that anyone who has worked in Delaware must file a Delaware tax return, even if they are not a Delaware resident. Similarly, Delaware residents who work in another state are required to file returns with Delaware in addition to the state in which they worked.
By law, Delaware employees should receive their W-2 forms from their employers no later than January 31, 2018 for any job worked during the 2017 calendar year. If you have not received a W-2 by January 31, 2018 please contact your employer.

The Delaware Division of Revenue will extend certain deadlines for filing individual and business tax returns, as well as for making certain tax payments for taxpayers who have been directly impacted by the severe storms and flooding caused by Hurricane Irma.

“The Division of Revenue recognizes the impact that Hurricane Irma has had on taxpayers and will take all steps necessary to assist hurricane victims who need assistance with Delaware’s tax filing obligations,” said Division of Revenue Director, David Gregor.

Delaware will follow the rules outlined by the Internal Revenue Service in news release IR-2017-150. The extended tax return filing due dates apply to taxpayers located in the impacted disaster areas identified in the IRS notice. The tax relief postpones various tax filing deadlines that occurred starting on Aug. 23, 2017 thru January 16, 2018 to January 31, 2018. This includes an additional filing extension for individual taxpayers with valid extensions to Oct. 16, 2017, and businesses with valid extensions to Sept. 15, 2017.

To avoid a penalty assessment for late filing, taxpayers should submit a written request seeking an additional extension via email to jeffry.schott@delaware.gov. If your request is based upon the tax records being located in the disaster area, please include the address where those tax records are located. Business taxpayer requests should be on company letterhead and signed by a company official.