Listed below are credits that may be available on a Delaware Individual Income Tax Return.
Personal Credits
Delaware allows a personal credit of $110 for each qualifying individual claimed on the return.
Filing Status Considerations
Married Filing Combined Separate (Filing Status 4)
- Divide the total personal credits between Columns A and B in increments of $110.
Married Filing Separate (Filing Status 3)
- Allocate dependents to each spouse's return.
- Multiply the number of qualifying individuals by $110 and enter the total in Column B of each return.
Married Filing Jointly
- Enter $110 for each spouse reporting income.
- Enter an additional $110 for each dependent claimed on the return.
Additional Credit for Age
- Individuals age 60 or older may qualify for an additional personal credit. This information is generally pulled automatically from the federal return.
Important: You may not claim a personal credit if you are claimed as a dependent on another person's federal tax return.
Volunteer Firefighter Credit
A credit of $1,000 may be available to Delaware residents who serve as active volunteer firefighters, fire company auxiliary members, or active rescue squad members.
To qualify, you must actively serve in the organization and meet Delaware's eligibility requirements.
Credit for Taxes Paid to Another State
If you are a Delaware resident and paid income tax to another state on income that is also taxed by Delaware, you may qualify for a credit.
This credit helps reduce double taxation of the same income.
See our article Credit for Taxes Paid to Another State for additional information.
Neighborhood Assistance Credit
This credit may be available to taxpayers who contribute to approved neighborhood organizations or provide assistance benefiting low- and moderate-income individuals or communities.
Eligibility must be certified by the Delaware State Housing Authority.
Economic Development Credits
These credits are available to qualifying businesses that engage in approved economic development activities within Delaware.
Approval from the Delaware Division of Revenue is generally required.
Brownfield Credits
Brownfield Credits encourage the rehabilitation and redevelopment of contaminated commercial and industrial properties.
Eligibility must be certified by the Delaware Department of Natural Resources and Environmental Control (DNREC).
Green Industry Credits
These credits promote:
- Waste reduction
- Recycling initiatives
- Use of recycled materials
- Collection and distribution of recyclable materials
Eligibility must be certified by the appropriate Delaware agencies.
Land and Historic Resource Tax Credit
Individuals and businesses may qualify for a credit when making a permanent gift of land or an interest in land to qualifying public agencies or nonprofit organizations.
A Division of Revenue approval letter must generally be attached to the Delaware return when claiming this credit.
Automatic External Defibrillator (AED) Credit
Businesses that place an Automatic External Defibrillator (AED) into service at a Delaware business location may qualify for a credit of $100 per unit.
Business Finder's Fee Credit
This credit is designed to encourage Delaware businesses to help attract out-of-state businesses to relocate or establish operations within Delaware.
Certification is generally required.
New Economy Jobs Program Credit
A credit may be available to qualified employers participating in Delaware's New Economy Jobs Program.
The program is intended to encourage the creation of high-wage, knowledge-based jobs in Delaware.
Eligible employers must apply through the appropriate state certification process.
Research and Development Credit
For credits granted on or after January 1, 2027, businesses and individuals may qualify for a credit based on eligible Delaware research and development expenses.
A Division of Revenue approval letter must be attached to the return.
Organ and Bone Marrow Transplantation Credit
A credit may be available to Delaware residents who make a living donation of:
- An organ
- Part of an organ
- Bone marrow
The credit may cover eligible unreimbursed expenses related to the donation, up to $10,000.
Eligible expenses may include:
- Medical expenses
- Travel expenses
- Lodging expenses
- Certain lost wages related to the donation
Documentation should be retained to support the credit claimed.
Additional Information
For complete eligibility requirements and limitations, refer to the Delaware Individual Income Tax Instructions.
Note: Some Delaware credits require certification, approval letters, or supporting documentation. Credit availability may vary depending on your individual circumstances and the tax year being filed.
This version is much more in line with your Delaware Payments, Credit, and Adjustment articles and should age better as a reference KB.