Potential Income Tax Hikes in Delaware Concern Some - WBOC-TV 16, Delmarvas News Leader, FOX 21 -

Potential Income Tax Hikes in Delaware Concern Some

Posted: Updated:

DOVER, Del. -- When lawmakers in Delaware's General Assembly return to session in a couple weeks they'll look at proposals to increase personal income tax rates in an effort to help balance a projected $386 million budget shortfall.

Gov. Carney has proposed rate increases in each tax bracket, with the highest earners paying 6.8 percent. Additionally, the plan calls upping Delaware's standard deduction but eliminating itemized deductions and the age threshold for personal credits and retirement income tax breaks would rise over time from 60 to 65.

The highest personal income tax bracket in Delaware includes anyone making more than $60,000.

Sonia Puri of Kent County said she was concerned about the idea of raising taxes because she felt her family already pays a lot of money in combined taxes to the federal and state governments.

"Even with the state taxes it's not a high percentage but it hurts. As it is, you pay a lot of tax," she said.

Tammy Ordway with Faw Casson, an accounting firm in Dover, said many people use the itemized deductions for the returns each year. She said the company is already advising some clients about potential tax changes in Delaware but noted many compromises between lawmakers occur on initial proposals and the final result may not be as steep.

"One concern in Delaware is we're at a 6.6 percent and nationally we're at a rate of 6 percent so we want to stay competitive economically," she said.

A separate proposal from Rep. John Kowalko (D-Newark South) has been introduced in the legislature that would create additional tax brackets for people who make $150,000 and $250,000. Both Carney's plan and Kowalko's proposal have already been met with opposition from some Republican lawmakers.

  • Most Popular VideosMost Popular VideosMore>>

  • Devastating Fire Destroyed the Old Wicomico Youth & Civic Center 40 Years Ago Tuesday

    Devastating Fire Destroyed the Old Wicomico Youth & Civic Center 40 Years Ago Tuesday

    40 years ago Tuesday the old Wicomico Youth and Civic Center was destroyed by one of the county’s most devastating fires.

    On June 27, 1977, a floor buffer sparked a highly flammable sealant being applied and, in an instant, the community’s cherished center shot up in flames, dark smoke billowing that could be seen as far south as Princess Anne and as far north as Laurel, Del.

    More

    40 years ago Tuesday the old Wicomico Youth and Civic Center was destroyed by one of the county’s most devastating fires.

    On June 27, 1977, a floor buffer sparked a highly flammable sealant being applied and, in an instant, the community’s cherished center shot up in flames, dark smoke billowing that could be seen as far south as Princess Anne and as far north as Laurel, Del.

    More
  • Pony Swim Organizers Looking for Help

    Pony Swim Organizers Looking for Help

    Organizers of the 92nd annual Chincoteague Volunteer Fireman's Annual Pony Swim are seeking volunteers to help with the event on Wednesday, July 26th. Tens of thousands of visitors will gather on Chincoteague Island to watch the swim, and the large influx of cars on the island is expected to create traffic and parking issues. Volunteers are needed to drive shuttle buses, give directions, and help keep heavy traffic under control.

    More

    Organizers of the 92nd annual Chincoteague Volunteer Fireman's Annual Pony Swim are seeking volunteers to help with the event on Wednesday, July 26th. Tens of thousands of visitors will gather on Chincoteague Island to watch the swim, and the large influx of cars on the island is expected to create traffic and parking issues. Volunteers are needed to drive shuttle buses, give directions, and help keep heavy traffic under control.

    More
  • Phil the Wayward Seal Released into the Atlantic Ocean

    Phil the Wayward Seal Released into the Atlantic Ocean

    After months of recovery at the National Aquarium, Phil the "wayward seal" who once called Kent County home is back in the wild. 

    Hundreds of people gathered at the Gateway National Recreation Area in Sandy Hook, N.J. to see Phil be released into the Atlantic Ocean. Aquarium staffers said Phil's release is a huge success, as his treatment presented some challenges.

    More

    After months of recovery at the National Aquarium, Phil the "wayward seal" who once called Kent County home is back in the wild. 

    Hundreds of people gathered at the Gateway National Recreation Area in Sandy Hook, N.J. to see Phil be released into the Atlantic Ocean. Aquarium staffers said Phil's release is a huge success, as his treatment presented some challenges.

    More
Powered by Frankly

All content © Copyright 2000 - 2017 WBOC. All Rights Reserved. For more information on this site, please read our Privacy Policy, and Terms of Service, and Ad Choices