FOR IMMEDIATE RELEASE
Tuesday, April 9, 2002 

FOR FURTHER INFORMATION

Becky Smalley
Department of Finance 
Division of Revenue
(302)577-8667
rsmalley@state.de.us

DELAWARE TAXPAYERS FILE DIGITALLY 

Delaware filing deadline is April 30.
Federal filing deadline is April 15.

Wilmington, Del. -- William M. Remington, Delaware Director of Revenue announced today that digital returns are being filed in record numbers. 

More than 157,000, or 64%, of the 243,000 Delaware tax returns filed to date have been filed digitally. 

"The number of taxpayers filing digital returns this year grew faster than expected," Remington said. "We anticipated 50% of Delaware returns would be filed digitally, but at 64% we have exceeded expectations demonstrating the confidence taxpayers have in digital filing - filing methods that make filing easy and refunds faster." 

Why the push for faster refunds? "Refunds represent an overpayment of taxes. We want to return the overpayments to taxpayers as quickly as possible, so we urge taxpayers to use a digital method to file their returns, not paper," said Remington. "Problem-free digital returns will result in a refund turnaround time of about a week compared with paper returns, which could take up to a month when filed between April 15 and April 30."

Remington added that Delaware's digital filing programs not only provide the best opportunity for problem free filing and fast refunds, but also save taxpayer dollars by reducing the cost of processing paper returns.

Three digital filing methods ensure accurate Delaware returns and faster refunds.

1) Joint IRS/Delaware E-FILE program through a preparer or with purchased software.
2) Delaware's ON-LINE filing program from a home, work or public library computer.
3) BAR-CODED PAPER returns through a preparer or with purchased software. 


* E-File

Refunds in less than a week!!! (If additional documentation is not required.)
Joint Federal/Delaware electronic filing. Convenient, accurate, fast and easy. 
83,700 or 34% of returns have been e-filed. 
31% increase over this time last year.
More than half of all digitally filed Delaware returns are e-filed. 
Refunds can be directly deposited to checking or savings accounts.
Pay balance due amounts with a check or money order and payment voucher.

* ON-LINE INTERNET FILING www.state.de.us/revenue

Refunds in less than a week!!! (If additional documentation is not required.)
21,700 or nearly 10% of returns filed to date were prepared online. 
An 18% increase over last year. 

Benefits:
* No software to download.
* It's free.
* It's fast. 20 - 30 minutes.
* E-mail notification of acceptance of return.
* On-line math verification reduces the risk of math errors.
* Direct deposit of refunds.
* Use direct debit, credit cards or checks to pay balance due amounts.

What do you need to get started.
* Have your completed federal return handy.
* A printer to print a copy of your completed return for your records.
* Bank account numbers for direct deposit or direct debit. 

* 2-D BAR-CODED PAPER RETURNS

Refunds in less than a week from date of receipt!!! (If additional documentation is not 
required.)
Bar-coded returns are offered through tax preparers or purchased software.
Tax return information is captured in a barcoded that is printed on the return and scanned by the Division of Revenue -- requiring no human capture of data.

50,900 or 21% of returns filed to date are bar coded. 
26% increase over last year.

Refunds can be directly deposited to checking or savings accounts.
Pay balance due amounts with a check or money order and payment voucher.


Where's My Refund? 

Taxpayers eager to learn the status of their refund can inquire at the Division of Revenue's web site, www.state.de.us/revenue by entering their social security number and exact amount of the refund. 

Can Delaware Nonresidents File Online?

 File online for convenience and accuracy.
Yes. By following the step-by-step instructions, filing is easy and eliminates the worry of finding paper Delaware tax forms.

Are nonresidents required to file a Delaware return?

Individuals with gross income during the tax year from sources in Delaware are required to file a Delaware nonresident tax return if they:
* Worked in Delaware during the year.
* Had personal income from a business they operated in Delaware.
* Were a student at a Delaware college or university and had income from a summer or part- 
* time job in Delaware. 
* Were a member of the armed forces stationed in Delaware and had nonmilitary income from 
Delaware sources.

Extension? 

File online for convenience and accuracy.

The Delaware Extension, Form 1027, must be filed on or before April 30. This is an extension of time to file, not pay. Payment of any tax due must be made on or before April 30. Form 1027 extends the filing deadline to Aug. 15, 2002. To extend the Delaware filing deadline beyond Aug. 15, a copy of federal extension Form 2688 must be filed with the Delaware Division of Revenue by Aug. 15. The Delaware extension will be the same as the approved federal extension which must be attached to your Delaware return. If filing online for an extension, payments are made by direct debit

Estimated taxes?

File online for convenience and accuracy.

Estimated taxes may be required if the Delaware tax less payments and credits can reasonably be expected to exceed $400. Have the payment directly debited from your checking or savings account. To pay by check, file a paper Form 200-ES that is obtainable from the Division of Revenue offices.

Payment due dates For the period
April 30, 2002 1/1/02 through 3/31/2002
June 17, 2002 4/1/02 through 5/31/2002
Sept. 16, 2002 6/1/02 through 8/31/2002
Jan. 15, 2003 9/1/02 through 12/31/2002

GOOD NEWS FOR SENIORS:
* Social Security Benefits are not taxable.
* $2,500 Additional Standard Deduction -- for each taxpayer 65 and over, and/or blind. 
* $110 Additional Personal Tax Credit - for each taxpayer 60 and over.
* Pension Exclusion: 
Up to $2,000 for taxpayers under 60 
Up to $12,500 for taxpayers 60 and over
Eligible retirement income for taxpayers 60 and over includes: pensions, dividends, capital gains, interest, net rental income from real property, qualified retirement plans (IRC Sec. 4974) such as IRA, 401(K), Keogh plans and government deferred compensation plans (IRC Sec. 457.)


ONE STOP SHOP FROM THE DIVISION OF REVENUE WEB SITE: 
www.state.de.us/revenue

* Personal Income Tax On-line filing.
* Division of Revenue office locations and phone numbers.
* State and federal tax forms. 
* Frequently Asked Questions for personal and business tax topics.
* Links to the IRS and other resources.
* Information on how to regain unclaimed property.
* How to get help if you owe back taxes.
* Bankruptcy information.
* Tax Rulings and Regulations.
* Public Information Events.
* Press Releases.
* How to report tax fraud.

TAX TIPS
1) File early using a digital method for an accurate return and a fast refund. 
2) Complete your federal return first. The federal return is the starting point for the Delaware return.
3) Verify your social security number and the social security numbers of your dependents.
4) File even if you owe and can't pay. The Division of Revenue assesses stiff penalties for failing to file a tax return. If you owe but don't have the money to pay, call our office and a trained representative will discuss with you a payment plan to fit your financial situation.

CONTACT INFORMATION:
www.state.de.us/revenue

Office locations: