HOUSE OF REPRESENTATIVES

149th GENERAL ASSEMBLY

HOUSE BILL NO. 348

AN ACT TO AMEND TITLE 9 OF THE DELAWARE CODE RELATING TO COUNTY TAXES.

BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF DELAWARE:

Section 1. Amend § 8131, Title 9 of the Delaware Code by making deletions as shown by strike through and insertions as shown by underline as follows:

§ 8131. Definitions.

As used in this subchapter:

(1) "Income'' means all income from whatever source derived including but not limited to, realized capital gains and, in their entirety, pension, annuity, retirement retirement, and social security benefits. For any tax year for which an exemption is claimed, "income'' shall be is determined to be equal in amount to the income received during the calendar year ended immediately preceding October 1 of the pretax year; year.

(2) "Pretax year'' means the calendar year immediately preceding the "tax year''; year”.

(3) "Resident'' means one legally domiciled within the State for a period of 3 10 years immediately preceding October of the pretax year. Mere seasonal or temporary residence within the State, of whatever duration, shall does not constitute domicile within the State for the purposes of this subchapter. Absence from this State for a period of 12 months shall be is prima facie evidence of abandonment of domicile in this State. The burden of establishing legal domicile within the State shall be upon the claimant; is on the claimant.

(4) "Tax year'' means the calendar year in which the county real estate tax is due and payable.

SYNOPSIS

This Act redefines “resident” to mean one who is legally domiciled in the State for 10 years immediately preceding October of the pretax year. This change means that one must be domiciled in the State for 10 years before one who is over the age of 65 can receive the exemption from real estate taxes provided by Subchapter II, Chapter 81, Title 9 of the Delaware Code.

This change is consistent with a similar change made to the residency requirements of those who are over the age of 65 and claiming a tax credit against school taxes (See House Bill No. 99, as amended, from the 149th General Assembly; Chapter 71, Volume 81 of the Laws of Delaware).

This Act also corrects language in the definition of “income.” This language operates to reference income information that is a year old at the time provided. Removing this language will mean income information for the most recent federal and state income tax years is provided.

Finally, this Act makes technical corrections to conform existing law to the standards of the Delaware Legislative Drafting Manual.