Taxes in Delaware

Delaware Tax Rates, Collections, and Burdens

How does Delaware’s tax code compare? Delaware has a graduated state individual income tax, with rates ranging from 2.20 percent to 6.60 percent. There is also a jurisdiction that collects local income taxes. Delaware has a 8.70 percent corporate income tax rate and also levies a gross receipts tax. Delaware does not have any state or local sales taxes. Delaware’s tax system ranks 16th overall on our 2022 State Business Tax Climate Index.

Each state’s tax code is a multifaceted system with many moving parts, and Delaware is no exception. The first step towards understanding Delaware’s tax code is knowing the basics. How does Delaware collect tax revenue? Click the tabs below to learn more! You can also explore our state tax maps, which are compiled from our annual publication, Facts & Figures: How Does Your State Compare?


Related Articles

State Budgets: Delaware Hurt By Falling Corporate Tax Revenue; Shifts Funds From Future

January 2, 2009

Delaware Hits the Tax Jackpot

June 18, 2008

New Jersey and New York Receive More in Tolls than Gas Tax Receipts

June 19, 2007

Delaware Bill Reveals Major Flaw of Gross Receipts Taxes

January 25, 2007