CHAPTER 314

FORMERLY

HOUSE BILL NO. 605

AN ACT TO AMEND TITLE 30 OF THE DELAWARE CODE RELATING TO TAXES.

BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF DELAWARE:

Section 1. Amend § 581(a), Title 30 of the Delaware Code, by inserting between the words "state" and "imposing" as they appear together in said subsection the following phrase:

", the District of Columbia, or any possession or territory of the United States".

Section 2. Amend § 2102, Title 30 of the Delaware Code, by deleting said section in its entirety and substituting in lieu thereof the following:

"Section 2102. Term of licenses All licenses issued pursuant to Title 30 of the Delaware Code (except Chapters 33, 51, and 52) shall expire annually upon the last day of December next succeeding the date of issue, unless otherwise provided by law. Lost or stolen license certificates may be replaced for their unexpired terms upon payment to the Department of Finance of a fee of $15.00.".

Section 3. Amend § 2301(c)(2), Title 30 of the Delaware Code, by striking the amount "$3,000" as it appears in said paragraph and substituting in lieu thereof the amount "$8,500".

Section 4. Amend § 1902(b), Title 30 of the Delaware Code, by striking the period "." at the end of paragraph (16) of said subsection, substituting in lieu thereof a semicolon ";" and by adding to said subsection a new paragraph (17) to read as follows:

"(17) An entity that is a homeowners association as defined in § 528 of the Internal Revenue Code (26 U.S.C. § 528) or successor provision.".

Section 5. Amend § 2903(a), Title 30 of the Delaware Code, by striking the reference to paragraph "(7)b. of § 2901 of this title" and substituting in lieu thereof a reference to paragraph "(7)a.2. of § 2901 of this title.

Section 6. Amend § 502(6), Title 30 of the Delaware Code, by adding to said subsection a new paragraph (12) to read as follows:

"(12) (A) 'Last known address,' except as provided in subparagraph (B) of this paragraph, shall mean: (i) the address for the receipt of mail last made known by the taxpayer to the Division of Revenue on a tax return or written notice; or (ii) a mailing address with respect to such taxpayer provided directly, or indirectly through a service provider, by the United States Postal Service to the Division of Revenue — whichever address shall have been provided later to the Division of Revenue.

(B) Notwithstanding the provisions of subparagraph (A) of this paragraph, 'last known address shall mean the address determined under subdivision (i) of subparagraph (A) whenever the taxpayer shows that the address determined under subdivision (i) is his actual address and that the address determined under subdivision (ii) of subparagraph (A) is not his actual address, or that mail sent to the address determined under subdivision (i) is more likely to reach him than mail sent to the address under subdivision (ii).".

Section 7. Amend § 534, Title 30 of the Delaware Code, by adding to said section a new subsection (h) to read as follows:

"(h) In the case of failure of an employer required to deposit taxes by electronic funds transfer under the provisions of § 1154(0 to make transfer by such means, unless it is shown that such failure is due to reasonable cause and not due to wilful neglect, there shallbe added to the amount shown as tax required to have been electronically transferred 5% of the amount or $500 per required payment, whichever is less.".

Section 8. Amend § 1174(b), Title 30 of the Delaware Code, by deleting said subsection in its entirety and re-designating subsection (a) of said section accordingly.

Section 9. Amend Title 30 of the Delaware Code by adding thereto a new § 2015 to read as follows:

"§ 2015. Successors in title.

Notwithstanding any other provision of this subchapter, § 2011 and § 2012 shall also apply to a successor in title who acquires a facility through purchase or a transaction described in § 368(a)(1) of the Internal Revenue Code [26 U.S.C. § 368(a)(1)] (or successor provision) for so long as such qualified facility continues to be a qualified facility with respect to such successor, but such qualification shall cease at the same time it would have ceased had the property remained under the same ownership as was the case on the date the qualified facility was placed in service.",

Section 10. Sections 1, 2, 4, 5, and 6 of this Act shall be effective upon its enactment into law. Sections 3 and 7 of this Act shall be effective for taxable periods commencing after December 31, 1998. Section 8 shall be effective for tax years commencing after December 31, 1997. Section 9 shall be effective for all tax periods during which § 2011 and § 2012 of Title 30 shall have been effective, subject to the provisions of § 539 of Title 30.

Approved June 25, 1998