Delaware state taxes 2021: Income and sales tax rates
Delaware uses a graduated rate to determine tax liability, meaning the more you make, the more you pay (minus exemptions and deductions).
Delaware personal income tax rates: Table
| Delaware personal income tax rates | ||
|---|---|---|
| Tax rate | Single | Married, filing jointly |
| 0.00% | $0-$2,000 | $0-$2,000 |
| 2.20% | $2,000-$5,000 | $2,000-$5,000 |
| 3.90% | $5,000-$10,000 | $5,000-$10,000 |
| 4.80% | $10,000-$20,000 | $10,000-$20,000 |
| 5.20% | $20,000-$25,000 | $20,000-$25,000 |
| 5.55% | $25,000-$60,000 | $25,000-$60,000 |
| 6.60% | $60,000 or more | $60,000 or more |
| Source: Delaware Division of Revenue | ||
The standard deduction for Delaware taxes is $3,250 for an individual and $6,500 for a couple.
Residents can also take advantage of personal exemptions, totaling $110 for single filers, $220 for couples and $110 for each qualifying dependent.
Who has to file Delaware state taxes?
If you lived in Delaware for the year, here are the age and income requirements needed to file a return:
| Delaware age and income requirements to file taxes | ||
|---|---|---|
| Age | Single | Married, filing jointly |
| Under 60 | More than $9,400 | More than $15,450 |
| 60-64 | More than $12,200 | More than $17,950 |
| 65 and above, or blind | More than $14,700 | More than $20,450 |
| 65 and above, and blind | More than $17,200 | More than $22,950 |
| Source: Delaware Division of Revenue | ||
Meanwhile, if you are a partial-year resident, you would need to file a Delaware tax return if you earned income from a Delaware-based business even if you did not live in the state or if you received income while living in Delaware.
If you run your own business, you would need to file a tax return. The corporate tax rate of 8.7 percent ranks the state 13th on the State Business Tax Climate Index Rating.
Businesses can easily file their taxes online through the Delaware Taxpayer Portal. You can also pay your quarterly estimated payments, report and pay your gross receipts and much more.
Delaware sales tax rate
Delaware is one of the few states that doesn’t charge a sales tax. Residents also don’t pay locality tax on purchases made in Delaware.
Other things to know about Delaware state taxes
The state does charge tax on specialty items. Its gasoline tax rate of 23 cents per gallon ranks it 38th nationally. There is also a cigarette tax of $2.10 (dollars per 20-pack), making it the 13th most expensive state.
If you have any questions about Delaware taxes or want to file a return, you can do so through the Delaware Division of Revenue.
