Delaware
EARNED INCOME TAX CREDIT (EITC)
Rate: Nonrefundable, 20% of the federal credit.1
Eligibility Requirements: All Delaware taxpayers who qualify for the federal credit are automatically eligible.
Latest Legislative Action: During the 2016 legislative session, lawmakers considered a bill to make the Delaware EITC fully refundable, but decrease the rate to 6% of the federal credit for 2017. The rate would have then increased 1% per year until it reached 15% in 2026.
Notes: The Delaware EITC was enacted in 2005 and took effect starting in the 2006 tax year.2
CHILD TAX CREDIT (CTC)
State CTC: Delaware does not currently offer a state-level CTC.
CHILD AND DEPENDENT CARE TAX CREDIT (CDCTC)
Rate (Non-Refundable): 50% of federal credit1
Eligibility Requirements: All Delaware taxpayers who qualify for the federal credit are automatically eligible.
Notes: Filers who file joint federal returns but separate Delaware returns may only apply the credit against the taxes of the spouse with the lower taxable income.3
Source:
- 2015 Resident Individual Income Tax Return Booklet, Delaware Division of Revenue Services
- SB 230, 143rd Delaware General Assembly
- Delaware Code 30 (11) (II) §1114