Delaware State Tax
Delaware Income Tax
Delaware income tax returns are due on the last day of April each year. Taxpayers may file their tax returns through mail or electronically via the state’s Division of Revenue website. The Delaware Department of Revenue requires taxpayers to submit copies of their federal income tax returns upon filing of their state tax returns.
Delaware is considered to be a US business incorporation haven in terms of state tax policies. Due to favorable the business climate, it has been reported that more than half of the companies listed in the American Stock exchange are incorporated here. The state likewise does not levy sales tax and charges a relatively low personal income tax rates compared to other states.
Individuals are required to file state income tax returns in Delaware if they are a resident required to file federal income tax returns; single residents, heads of household, or married residents with income meeting the minimums required by the state; or non-residents who receive income from sources in Delaware. Business entities incorporated in Delaware are not necessarily obliged to pay state taxes. Foreign and domestic companies are required to file corporate tax returns only if they do business in state.
The deadline for filing of corporate tax returns is March 15, while the deadline for filing personal income tax and other types of state tax returns is April 15 each year. Individuals and corporations who fail to file their state tax returns by the specified deadlines are given another six month allowance to file and pay Delaware tax through automatic filing extensions.