AN ACT TO AMEND TITLE 30, CHAPTER 11, DELAWARE CODE, SECTION 1186, BY AUTHORIZING THE TAX COMMISSIONER TO PERMIT THE FINANCE OFFICER OF ANY MUNICIPALITY OF THIS STATE LEVYING WAGE OR INCOME TAX TO INSPECT THE INCOME TAX RETURN OF ANY INDIVIDUAL, COMPANY OR CORPORATION.
Be it enacted by the General Assembly of the State of Delaware:
Section 1. Title 30, Chapter 11, Delaware Code, Section 1186, is hereby amended by striking the section and by inserting in lieu thereof the following Section 1186:
§ 1186. Inspection of returns by Commissioner of Internal Revenue; officials of other states; and municipalities of this state
Notwithstanding the provisions of section 1185 of this title, the Tax Commissioner may permit the Commissioner of Internal Revenue of the United States or the proper officer of any state imposing an income tax upon the incomes of individuals, or a financial officer designated by any municipality of this state which imposes an income tax or wage tax, or the authorized representative of any of such officers, to inspect the income tax return of any individual or may furnish to such officer or his authorized representative an abstract of the return of income of any individual or supply him with information contained in any return; or disclosed by the report of any investigation of the income or return of the income of any individual; but such permission shall be granted or such information furnished to such officer or his representative only if the statues of the United States or of such other states, as the case may be, grant substantially similar privileges to the proper officer of this State charged with the administration of the income tax law thereof. Provided, however, that the financial officer designated by any such municipality shall be permitted to inspect only those portions of the income tax return showing the taxable's wages and number of employees. Provided further, that no municipal officer shall be permitted to examine a taxable's return unless the taxable shall have contract with such municipality by way of place of residence or employment, and provided further, that no municipal officer shall be permitted to review any portion of a State tax return until the governing body of such municipality shall have adopted an ordinance requiring:
(a) that any information obtained from the State tax return be confidential and usable only for collection purposes;
(b) that such ordinance have the prior approval of the State Tax Commissioner as to form and substance;
(c) that the municipality pay to the State Tax Department the true cost of acquiring such information.
Approved April 7, 1970.