If you are a shareholder in an S corporation, the S corporation may have made a Delaware tax payment on your behalf during the tax year. If so, you may be able to claim the payment as a credit on your Delaware Individual Income Tax Return.
The amount paid on your behalf is generally reported on Delaware Form SCT-SSR.
What Is an S Corporation Payment Made on Your Behalf?
Certain S corporations may make Delaware tax payments on behalf of their shareholders. When this occurs, the shareholder may be eligible to claim a credit for the payment on their Delaware return.
If the S corporation made a payment on your behalf, the amount reported may reduce your Delaware tax liability or increase your refund.
Program Entry
State → Edit Delaware → Payments → Estimated Tax Payment Made on Your Behalf by an S Corporation
How Do I Know If a Payment Was Made for Me?
If an S corporation made a Delaware tax payment on your behalf, you should receive documentation from the corporation showing the payment amount.
Form SCT-SSR (S Corporation Shareholder Information Return) reports:
- Your share of the S corporation's income
- Deductions
- Credits
- Delaware-specific tax information
- Payments made on your behalf
Review Form SCT-SSR carefully to determine the amount that may be claimed as a credit on your Delaware return.
Where Do I Enter This Payment?
To enter an S corporation payment in our program, navigate to:
- State
- Edit Delaware using the three dots
- Payments
- Estimated Tax Payment Made on Your Behalf by an S Corporation
Enter:
- The S corporation's name
- The S corporation's EIN
- The amount of Delaware tax paid on your behalf
- Whether the payment belongs to the taxpayer or spouse
The amount entered will flow to the appropriate S Corporation Payments section of the Delaware return.
What Documents Do I Need?
Keep copies of:
- Form SCT-SSR
- Federal Schedule K-1 (if applicable)
- Any records provided by the S corporation showing the payment amount
Note: Form SCT-SSR contains Delaware-specific income, modifications, credits, and payment information that may not appear on your federal Schedule K-1.
What If I Am Married?
If you file a Delaware Married Filing Combined Separate return (Filing Status 4), you may allocate the S corporation payment between spouses as appropriate for your return.
For all other filing statuses, the payment should generally be claimed by the taxpayer whose identification number is associated with the payment.
What Should Not Be Entered Here?
Do not enter the following as S corporation payments:
- Delaware state income tax withholding
- Delaware estimated tax payments made directly by you
- Delaware extension payments made directly by you
These payments should be entered in their respective payment sections and should not be combined with S corporation payments.
Important Information
Do not claim the same payment twice. A payment reported by an S corporation should not also be entered as a personal estimated tax payment. Doing so may overstate your credits and result in correspondence from the Delaware Division of Revenue.
Only enter amounts supported by official documentation. The amount entered should match the amount reported on Form SCT-SSR or other documentation provided by the S corporation.
That matches the style you've been using on the newer Delaware KBs with a separator line between each major section.