The City of Delaware income tax filing deadline is 7 pm, Monday, April 15, 2019. Tax office assistance is available 8 am-5 pm Monday-Friday in the City Hall tax office, 1 S. Sandusky St. The office will be open additional hours Saturday, April 13, 9 am to 1 pm; and Monday, April 15, 8 am to 7 pm. More information is available at 740-203-1225, or you can email us here.
Q: What is the City of Delaware income tax rate?
A: The income tax rate is 1.85 percent.
Q: Am I required to file an annual Delaware tax return?
A: Resident individuals and resident businesses must file an annual return, even if no tax is due. Non-resident individuals who have income earned in Delaware that is not subject to employer withholding must file an annual return. Non-resident individuals and non-resident businesses who conduct business in Delaware must file an annual return even if no tax is due.
Q: When is the annual Delaware tax return due?
A: The Delaware tax return is due on or before April 15 each year. For business taxpayers, the return is due on or before the 15th day of the fourth month after the fiscal year end. Returns postmarked after the due date are subject to a late filing penalty. Scroll down to see penalty information. If the due date should fall on a weekend or holiday the due date will move to the next business day.
Q: How do I file an Extension?
A: For taxpayers on a Federal extension, a separate request for a Municipal extension is not required. Submit a copy of the Federal extension with the filing of the extended Municipal return. For taxpayers not on a Federal extension, an extension request must be submitted on or before the date the Municipal income tax return is due. Please remember that an extension only extends the time allowed to file an annual return, not the time allowed for payment.
Q: Is any credit given if I pay tax to another city?
A: A partial credit is given to Delaware residents for taxes due and paid to another city. The credit is the lesser of .50 of the tax paid to the other city, or .00925 of the income taxed by the other city and Delaware. W-2s or copies of the other city’s tax return and proof of payment must support credit claimed.
Q: What type of income is taxable?
A: For individuals, taxable income generally includes wages and net profit from business activities including pass through income. For a complete list of taxable versus non-taxable income click here.
Q: Do I need to file a declaration of estimated tax or make estimated tax payments?
A: Every taxpayer who anticipates having taxable income subject to Delaware income tax, and estimates their tax liability to be $200 or more after excluding Delaware withholding and/or other credits, must file a Declaration of Estimated Tax and make estimated tax payments. These payments are due quarterly on April 15, June 15, September 15 and January 15 (December 15 for business taxpayers). Estimated tax payments received after these dates will be subject to penalty and interest. Scroll down to see penalty and interest rates.
Q: Where can I get a City of Delaware income tax form?
A: Forms are here, and at the tax office in City Hall, 1 S. Sandusky St.
Q: Can I file my tax return electronically?
A: Yes. Resident individuals can use our e-file tool to prepare a Delaware tax return and, if they qualify, file their return electronically. E- File is available here.
Q: Can I deduct business losses from my W-2 wages on my tax return?
A: No. Losses from self-employment, partnership interests, rental property and other like businesses may not be used to offset W-2 income.
Q: What are the current penalty and interest rates?
A: For tax years beginning on or after January 1, 2016:
Penalty – Unpaid Tax
A penalty may be imposed on unpaid income tax, including unpaid estimated income tax, equal to 15 percent of the amount not timely paid. A penalty may be imposed on unpaid employer withholding tax equal to 50 percent of the amount not timely paid.
Interest – Unpaid Tax
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Interest shall be imposed on all unpaid income tax, unpaid estimated income tax and unpaid employer withholding tax. The interest rate to be applied each calendar year is the Federal short-term rate, rounded to the nearest whole number percent, plus five percent (5 percent). The rate shall apply for the calendar year next following the July of the year in which the Federal short-term rate is determined under Section 1274 of the Internal Revenue Code. Interest shall be charged for each month (or fraction of a month) that the tax remains unpaid.
Late Filing Penalty
A late filing penalty may be imposed at the rate of $25 per month (or fraction of a month) that a return, other than an estimated income tax return, remains unfiled. This late filing penalty applies regardless of the liability on the return. The late filing penalty shall not exceed $150 for each failure to timely file. Tax filings and tax payments related to tax years beginning before January 1, 2016 are subject to the penalty and interest rates and late filing penalties imposed in Chapter 191 of Delaware’s Codified Ordinance, regardless of the date of filing or payment. State of Ohio Laws governing interest and penalties can be found at Ohio Revised Code Section 718.27.