The Delaware Division of Revenue has been authorized to establish a voluntary tax compliance initiative that will run from September 1, 2009 to October 30, 2009. This initiative is for tax liabilities due before January 1, 2009 and will apply to corporate and personal income, gross receipts, use, gift, lodging, estate, realty transfer, public utilities, income on estates and trusts tax, occupational license fees and tax, contractors’ license fees and tax, manufacturers’ license fees and tax, retail and wholesale merchants’ license fees and tax, and tobacco product license fees and tax. Penalties and interest will be waived if the taxpayer pays the outstanding tax during the initiative period or enters into a payment plan that is paid by June 30, 2010.
The Division will not assess any tax, penalty or interest for any voluntary tax returns filed under the initiative for periods before January 1, 2004. Sections related to the 50% limitation on the penalty for failure to file timely returns and the 75% limitation on the penalty for any fraudulent returns have been removed beginning December 31, 2009. Also effective December 31, 2009, the period for which interest accrues on an amended return has been changed to 46 days after the receipts of the amended tax return instead of 46 days after the original return was filed, which could have been three years earlier. (H.B. 268, laws 2009, effective as noted)