Delaware General Assembly


CHAPTER 30

FORMERLY

HOUSE SUBSTITUTE NO. 1

FOR HOUSE BILL NO. 104

AN ACT TO AMEND SECTION 1199, CHAPTER 11, TITLE 30, DELAWARE CODE, RELATING TO PAYMENT OF INTEREST ON OVERPAYMENTS OF PERSONAL INCOME TAX.

Be it enacted by the General Assembly of the State of Delaware:

Section 1. Section 1199, Chapter 11, Title 30, Delaware Code, is amended to read in its entirety as follows:

§ 1199. Interest on overpayments

(a) General. Subject to the limitations specified in subsection (b), interest shall be allowed and paid upon any overpayment in respect of the tax imposed by this chapter at the rate of one percent per month or fraction thereof.

(b) Limitations

(1) No interest shall be allowed on any overpayment of less than one dollar ($1.00).

(2) Interest shall be allowed on any overpayment commencing with the 46th day after the last date prescribed for filing the return of such tax, or in case the return is filed after such last date, the 46th day after the return is filed.

(3) In the case of an overpayment resulting from the filing of a claim for refund or an amended return, interest shall be allowed commencing with the 46th day after such claim or amended return is filed.

(4) If the Secretary of Finance or his delegate determines that the refund of any overpayment is unreasonably delayed because of any action or inaction by the taxpayer, no interest shall be allowed during such period of delay.

(c) Early returns and advance payments. For purposes of this section and Section 1198:

(1) Any return filed before the last day prescribed for the filing thereof shall be considered as filed on such last day.

(2) Any tax paid by the taxpayer before the last day prescribed for its payment shall be considered as being made on such last day.

(3) The last day prescribed for filing the return or paying the tax shall be the 30th day of the fourth month following the close of his taxable year regardless of any extension of time granted the taxpayer.

(4) Any income tax withheld from the taxpayer during any calendar year and any amount paid by the taxpayer as estimated income tax for a taxable year shall be deemed to have been paid by him on the thirtieth day of the fourth month following the close of his taxable year with respect to which such tax constitutes a credit or payment.

Section 2. Effective date. This Act shall apply to all overpayments of tax under this chapter allowed or paid in respect of taxable years commencing on or after January 1, 1972.

Approved April 26, 1973.