DIVISION OF REVENUE

AUGUST 13, 1999

TECHNICAL INFORMATION MEMORANDUM 99-2

SUBJECT: PERSONAL INCOME TAX CHANGES: RATES, DEDUCTIONS - CREDITS

CONTACT: JOHN J MACIEJESKI, JR. (302) 577-8450

This Technical Information Memorandum is intended to publish the rate reductions for personal income tax.

Senate Bill 243 and House Bill 414 reduced the personal income tax rates effective January 1, 2000.

These new rates are noted below.

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The following House and Senate Bills are also effective for tax years beginning after December 31, 1999, House Bill 411 increased the standard deduction of a resident spouse to $3,250 filing separately and to $6,500 if a joint return is filed. Senate Bill 244 increased the credit for each personal exemption from $100 to $110.

New Withholding Regulations booklets will be updated and mailed to all withholding agents.

William M. Remington

Director of Revenue