State Tax in Delaware

Before moving to any state it is important to understand the tax amounts in the area.  Many people who have lived in one state for most of their lives do not realize that the taxes in other states might be higher, or lower, than their previous state of residence.  It is important to understand the state tax law in Delaware before planning to make any serious decisions which will affect your future and the future of your family.

Sales Taxes in Delaware

Like most states Delaware charges taxes on certain items that are commonly purchased by residents.  There is a tax on gasoline, diesel, and even cigarettes.  The tax on gasoline is 23 cents per gallon with a slightly lower tax of 22 cents per gallon on diesel.  The state tax in Delaware on cigarettes is $1.15 per pack.  These taxes are much lower than many other states and, as an added bonus; there are no sales taxes on other items.  This means that residents can purchase food, clothing, and any other necessities without being required to pay taxes on them.

If you may need legal assistance regarding a Tax Matter, consult with a Tax Lawyer in your area for a free case review in exploring your legal options.

Laws Regarding Property Tax in Delaware

While the state of Delaware allows individuals to purchase necessities without paying a tax on them, the property in the state is all taxed.  There are a few exceptions but the average person should expect to pay taxes on homes.  Any property that is tangible and intangible is exempt but expect to pay school district, municipal and county property state tax in Delaware.

Programs exist that let residents who are strained by property tax apply for exemptions.  The programs are almost exclusively limited to individuals who are 65 years of age or older.  Additional programs exist for disabled residents of Delaware with more programs being created all of the time.  Even if a senior citizen does not qualify for a tax relief program run by the state of Delaware there are programs that give residents a credit to help with up to one half of the property taxes. 

Estate Tax in Delaware

There are quite a few people who are unaware of the estate and inheritance taxes that many states require.  To those who are not expecting it being taxed on the legacy left by a beloved family member can be a stressful, upsetting time.  In many situations the estate being left is barely enough to cover costs associated with the funeral and settling outstanding debts.  Having to pay a tax on an inheritance that might already not be enough to manage expenses creates an additional burden on many families during a time that they are unprepared to bare it. In order to help alleviate some of the burden suffered by residents Delaware eliminated estate taxes for 2005 through 2010.

If you may need legal assistance regarding a Tax Matter, consult with a Tax Lawyer in your area for a free case review in exploring your legal options.
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