Delaware General Assembly

Signed 8/28/18

The General Assembly has ended, the current status is the final status.

4/17/18

Schwartzkopf

Reps. Longhurst, Viola, Paradee, K. Williams, Bennett
Sen. McBride, Poore, Marshall

Reps. Brady, Briggs King, Collins, Heffernan, Hensley, Jaques, Q. Johnson, Kowalko, Potter, Ramone, B. Short, D. Short, Spiegelman, Wilson, Yearick
Sen. Bushweller, Lopez, Walsh

AN ACT TO AMEND TITLES 9 AND 30 OF THE DELAWARE CODE RELATING TO REALTY TRANSFER TAX.

This bill allows first-time home buyers to pay their portion of the realty transfer tax at the rate that was in effect prior to the increase that took effect on August 1, 2017. The credit is calculated as 0.5% of the first $400,000 in home value, with a maximum allowable credit of $2,000. This legislation is retroactive for any first-time home buyer who entered into a transaction for the transfer of real estate on or after August 1, 2017. The seller in any transaction with a first-time buyer will still pay the current tax rate. The bill also removes a provision that applied to contracts entered into prior to 1971, since such provision is no longer relevant. For ease of application, the new definition of "first-time home buyer" is cross-referenced in the already existing Code provision directing the counties to exempt such buyers from any county-imposed realty transfer tax. This reduction in the tax rate for first-time home buyers will be effective for transactions entered into on or after the effective date of this Act.

81:384

37

8/28/18

N/A

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