Company Asks Del. for $63 Million Refund, Largest Ever for State - WBOC-TV 16, Delmarvas News Leader, FOX 21 -

Company Asks Del. for $63 Million Refund, Largest Ever for State

Posted: Updated:
(Photo: CBS) (Photo: CBS)

DOVER, Del.- A $63 million refund request has lawmakers starting budget hearings in Delaware concerned - even though they do not know yet if that request will go through.

"$63 million, in good times, is a lot of money," said Rep. Harvey Kenton, R-Milford. "Now in times when we're facing constraints, it certainly is a concern."

A company asked for the refund this past fall. It's the single largest request of its kind in state history. Delaware Secretary of Finance Tom Cook says the issue dates back about four years.

"It was due to a unique transaction."

The company says it recently realized taxes on that transaction should have gone to a different state. Cook isn't sure.

"We will evaluate and analyze the request and make the proper call," he said.

Cook expects to have an update for lawmakers in mid-March.

More than half of the Fortune 500 is incorporated in Delaware. And while it is clear only a large company could ask for such large refund, the Department of Finance, citing confidentiality laws, will not tell the public - won't even tell lawmakers - what company it is.

"We had meetings with the administration several weeks ago," Sen. Bruce Ennis, D-Smyrna, said. "I asked that question. Of course, due to confidentiality, they weren't allowed to say who it was. But I would feel more comfortable knowing who it was."

The potential for this hit was not factored into Gov. Jack Markell's budget proposal.

"There are always issues that are out there," said Cook. "Revenue projections change. It's a constantly evolving process."

So, lawmakers are left waiting and wondering if they'll have to find ways to deal with $63 million less in next year's budget.

"That's in the back of the minds of everybody on the Joint Finance Committee," Kenton said.

Kenton says he's also heard the state may be getting an influx of $65 million, which is currently unaccounted for. If that happens too it would balance out the hit for Delaware.

  • Delmarvawide NewsDelmarvawide NewsMore>>

  • Delmar Police Warn of IRS Scam

    Delmar Police Warn of IRS Scam

    Thursday, April 24 2014 6:15 PM EDT2014-04-24 22:15:51 GMT
    Delmar Police are warning of a scam involving individuals claiming to be employees of the Internal Revenue Service and targeting people in Delmar.More
    Delmar Police are warning of a scam involving individuals claiming to be employees of the Internal Revenue Service and targeting people in Delmar. More
  • Fire Destroys Mid-Atlantic Family Practice in Lewes

    Fire Destroys Mid-Atlantic Family Practice in Lewes

    Thursday, April 24 2014 7:40 PM EDT2014-04-24 23:40:59 GMT
    Fire broke out at the Mid-Atlantic Family Practice office on Route 24 in Lewes this afternoon. Heavy black smoke was seen billowing from the building.More
    Fire broke out at the Mid-Atlantic Family Practice office on Route 24 in Lewes this afternoon. Heavy black smoke was seen billowing from the building.More
  • String of Motorcycle Thefts on Delmarva Alarm Bike Enthusiasts

    String of Motorcycle Thefts on Delmarva Alarm Bike Enthusiasts

    Thursday, April 24 2014 5:50 PM EDT2014-04-24 21:50:35 GMT
    Steve Ward's flyer of his stolen motorcycle. Steve Ward's flyer of his stolen motorcycle.
    This week there may be extra motorcyclists on some Delmarva roads. Many of them are riding through towns trying to get to Ocean City's spring rally happening all through out the week. But now some of those riders tell WBOC they are concerned because there have been a series of motorcycle thefts in the area recently.
    More
    This week there may be extra motorcyclists on some Delmarva roads. Many of them are riding through towns trying to get to Ocean City's spring rally happening all through out the week. But now some of those riders tell WBOC they are concerned because there have been a series of motorcycle thefts in the area recently.
    More
  • Most Popular StoriesMost Popular StoriesMore>>

  • Delmar Man Gets 75 Years for Murder

    Delmar Man Gets 75 Years for Murder

    Thursday, April 24 2014 12:07 PM EDT2014-04-24 16:07:17 GMT
    A Delmar man convicted of second-degree murder in connection with a fatal shooting that occurred last year was sentenced to 75 years in prison Thursday, according to the Wicomico County State's Attorney's Office.More
    A Delmar man convicted of second-degree murder in connection with a fatal shooting that occurred last year was sentenced to 75 years in prison Thursday, according to the Wicomico County State's Attorney's Office. More
  • Fire at Berlin Main Street Restaurant

    Fire at Berlin Main Street Restaurant

    Thursday, April 24 2014 1:05 PM EDT2014-04-24 17:05:28 GMT
    BERLIN, Md. – The manager of Siculi Rustic Italian Restaurant said a small fire started in the kitchen of the restaurant, which is located on Main Street.More
    The manager of Siculi Rustic Italian Restaurant on Main Street in Berlin says a small fire started in the kitchen late Thursday morning.More
  • Fire Destroys Mid-Atlantic Family Practice in Lewes

    Fire Destroys Mid-Atlantic Family Practice in Lewes

    Thursday, April 24 2014 7:40 PM EDT2014-04-24 23:40:59 GMT
    Fire broke out at the Mid-Atlantic Family Practice office on Route 24 in Lewes this afternoon. Heavy black smoke was seen billowing from the building.More
    Fire broke out at the Mid-Atlantic Family Practice office on Route 24 in Lewes this afternoon. Heavy black smoke was seen billowing from the building.More
Powered by WorldNow

All content © Copyright 2000 - 2014 Worldnow and WBOC. All Rights Reserved. For more information on this site, please read our Privacy Policy and Terms of Service