NEWARK, Del.- Delaware's one-time tax amnesty program is anticipated to net more than $22 million for the state, Gov. Jack Markell announced Thursday.
The 2-month-long partnership between the Delaware Division of Revenue and the General Revenue Corporation, a subsidiary of Sallie Mae Corporation, is expected to clear more than 14,000 delinquent accounts. When the program was authorized this summer, estimates called for $10 million to be collected.
"During these challenging times, it is certainly good news that Delaware will have additional funds to help government meet its core commitments, like teachers in the classroom, police on the street and care for our most vulnerable citizens," Markell said.
The Delaware amnesty program, officially termed the 2009 Voluntary Tax Compliance Initiative (VCTI), ran from Sept. 1 through Oct. 30, 2009. During this time, any individual or business taxpayer who registered to pay their current outstanding state of Delaware tax liability before June 30, 2010, was freed of their penalty and interest fees. Delaware netted more than $15 million in cash payments through Oct. 30, 2009, with an estimated $7 million registered in payment plans to be paid before June 30, 2010.
"Thanks to the partnership between the Department of Finance and Sallie Mae, Delaware's amnesty program brought in much more than we anticipated," said Acting Secretary of Finance Tom Cook. "Now that the amnesty is finished, however, the state is going to vigorously work to collect unpaid taxes from those who did not come forward."