Source: http://delcode.delaware.gov/title5/c018/
Timestamp: 2018-02-20 09:35:57
Document Index: 107164924

Matched Legal Cases: ['§ 1801', '§ 101', '§ 127', '§ 2', '§ 1', '§ 34', '§ 5', '§ 1802', '§ 2', '§ 1', '§ 35', '§ 1803', '§ 2', '§ 36', '§ 1804', '§ 2', '§ 1805', '§ 1806', '§ 1807', '§ 27', '§ 3', '§ 1808', '§ 27', '§ 1809']

TITLE 5 - CHAPTER 18. TAXATION
§ 1801 Annual franchise tax; rate of taxation.
(a) A franchise tax is hereby imposed on the "taxable income" of building and loan associations (computed on a basis that consolidates with the income of such building and loan association for the tax year involved, the income of all subsidiary corporations of such building and loan organization in accordance with generally accepted accounting principles). The "taxable income" on which such tax is imposed shall be equal to the product of (1) and (2) as follows:
(1) Net operating income before taxes reduced by:
a. That portion of net operating income before taxes verifiable by documentary evidence from any subsidiary or branch which is (i) otherwise subject to income taxation under Delaware law, or (ii) derived from business activities carried on outside the State and subject to income taxation under the laws of another state;
b. The gross income derived from international banking transactions (as defined in § 101 of this title) after subtracting therefrom any expenses or deductions attributable thereto;
d. The interest income from obligations of volunteer fire companies; and
e. Any examination fee paid to the Office of the State Bank Commissioner pursuant to § 127(a) of this title.
(b) A franchise tax is hereby imposed on the "taxable income" of building and loan associations not headquartered in this State but maintaining branches in this State, verifiable by documentary evidence. The "taxable income" on which tax is imposed shall be equal to the net operating income of the branch or branches located in Delaware, reduced by the interest income from obligations of volunteer fire companies.
(c) The rate of tax upon the taxable income of building and loan associations shall be as follows: 8.7% of the amount of net operating income not in excess of $20,000,000; 6.7% of the amount of net operating income in excess of $20,000,000 but not in excess of $25,000,000; 4.7% of the amount of net operating income in excess of $25,000,000 but not in excess of $30,000,000; 2.7% of the amount of net operating income in excess of $30,000,000.
(d) Any entity taxable under this section is eligible for tax credits in accordance with the Historic Preservation Tax Credit Act (subchapter II, Chapter 18, Title 30), which credits shall be against any taxes imposed under this chapter; provided, however, that all claimed credits are accompanied by a Certificate of Completion issued by the Delaware State Historic Preservation Office certifying that such credits have been earned in compliance with that act.
59 Del. Laws, c. 434, § 2; 61 Del. Laws, c. 78, § 1; 68 Del. Laws, c. 303, § 34; 73 Del. Laws, c. 6, § 5.;
§ 1802 Report of net earnings and payment of tax; penalties.
(a) Within 75 days after the end of its fiscal year the building and loan association, acting through its president, treasurer, or other proper officer, shall report under oath to the State Bank Commissioner, the net earnings of the building and loan association for that next previous taxable period, and at the same time the building and loan association shall pay to the State Bank Commissioner the proper amount of tax for that period as computed under this chapter. Any and all documents relating to the taxation of a building and loan association pursuant to this chapter shall be true statements, verified by oath, by the president, treasurer or other proper officer of the building and loan association.
(b) In the case of a building and loan association which has been engaged in a building and loan business of any kind in this State for less than the whole year, the amount of tax due, at the rates provided in this chapter, shall be prorated for that portion of the year during which the building and loan association was engaged in a building and loan business of any kind within this State. Within 30 days of the cessation of all building and loan business of any kind within this State, the president, treasurer or other proper officer shall file a true statement, verified by oath, setting forth the net income of such building and loan association as defined in this chapter, and such other true statement, in such form as shall be specified by the Commissioner, verified by oath, setting forth the "taxable income" of such building and loan association as defined in this chapter.
(c) If any building and loan association shall fail to pay any tax due under this chapter on or before the due date, a penalty of 11/2 percent shall be assessed for each month or fraction thereof that the same remain unpaid after such date.
59 Del. Laws, c. 434, § 2; 63 Del. Laws, c. 66, § 1; 68 Del. Laws, c. 303, § 35.;
§ 1803 Tax lien.
If any building and loan association shall fail to pay any tax due under this chapter, on or before the due date, the full amount of all such tax due the State shall be a lien in favor of the State upon all property and all rights to property, real or personal, belonging to such building and loan association.
59 Del. Laws, c. 434, § 2; 68 Del. Laws, c. 303, § 36.;
§ 1804 State corporation income tax; exemption.
All building and loan associations being taxed in accordance with this chapter shall be exempt from the state corporation income tax beginning with the fiscal year for each such building and loan association in which this chapter shall become effective.
59 Del. Laws, c. 434, § 2.;
§ 1805 Rules and regulations.
The State Bank Commissioner may, from time to time, adopt and promulgate rules and regulations for the reporting and collection of the franchise taxes imposed in accordance with this chapter and not inconsistent with this title.
§ 1806 Exemption from other taxes.
The taxation of the income of the building and loan associations under this chapter shall be in lieu of all taxes upon the capital, surplus, property and assets of such organization, except that no real estate owned by any such organization constituting the whole or any part of its capital, surplus or assets shall be exempt from taxation.
§ 1807 Secrecy of returns and information; penalty.
72 Del. Laws, c. 15, § 27; 73 Del. Laws, c. 24, § 3.;
§ 1808 Abatements.
72 Del. Laws, c. 15, § 27.;
§ 1809 Closing agreements.