Delaware Sales Tax

The state sales tax rate in Delaware (DE) is currently 0%. Delaware has a “…gross receipts tax on the seller of tangible or intangible commodities or the supply of services in the state.” The state of Delaware was named one of Kiplinger’s top 10 tax-friendly states for retirees in 2011. Kiplinger points out that there is no state sales tax. Because of income taxes and property taxes, not all states without a sales tax were included in the list. Amazon.com has fulfillment sites in Delaware that it owns and operates. Delaware’s One Stop Business Registration and Licensing Portal requires companies doing business in the state to register online.

Sales Tax Rates in Delaware by County

In Delaware, when do you have to charge sales tax?

If your business has a sales tax nexus in Delaware, you must charge sales tax. In different states, the term “sales tax nexus” signifies different things. It could be having a physical site (e.g., a brick and mortar business) or having someone working for you in the state. It can also refer to having a ‘affiliate’ or ‘click through’ sales tax nexus in the case of ecommerce.

Check the Delaware government’s sales tax website to see if you should be charging sales tax in your state.

In Delaware, which items are exempt from sales tax?

Prescription medications, for example, are free from sales tax in Delaware. There are also Delaware sales tax exemptions that can be used if the seller or buyer meets specific requirements.

Check the Delaware government’s tax website for a complete list of exemptions.

What is Delaware known for?

Delaware is known for:

• Historical landmarks
• Chemical manufacturing
• Being a tax-free state
• First state to ratify the Constitution
• Large number of companies incorporated in the state

Delaware Fun Facts

• Delaware was named after the Delaware River and Bay, which in turn was named after Thomas West (Lord De La Warr), the governor of the Colony of Virginia in 1610.
• Due to the lenient banking laws of Delaware, over half of all publicly traded corporations in the United States are incorporated in Delaware.
• On December 21, 1776, Delaware became the first state with a State Constitution.
• Delaware is one of the five states in the United States that do not impose a state sales tax.
• Delaware has the smallest number of counties of any state in the Unites States, with only three: New Castle, Kent, and Sussex.
• With an average elevation of only 60 feet, Delaware is the lowest state in the Unites States.
• Delaware is the only state without any National Park System units such as national parks, historic sites, battlefields, memorials, monuments, and seashores.
• Delaware is one of the two states in the United States with an official State Herb, sweet golden rod.
• At its widest point, Delaware is only 35 miles in width.
• In Delaware, it’s illegal to show R-rated movies at drive-in theaters.

Tourist Attractions in Delaware

• Bellevue State Park: State park in Wilmington, Delaware.
• Bethany Beach: Beach town in Delaware.
• Brandywine Zoo: Zoo in Wilmington, Delaware.
• Cape Henlopen State Park: State park in Lewes, Delaware.
• Cape May-Lewes Ferry: Ferry system that connects Lewes, Delaware, with North Cape May, New Jersey.
• Christiana Mall: Shopping mall in Newark, Delaware.
• Delaware Art Museum: Art museum in Wilmington, Delaware.
• Delaware Museum of Natural History: Museum in Wilmington, Delaware.
• Delaware Seashore State Park: State park in Rehoboth Beach, Delaware.
• Dewey Beach: Beach town in Delaware.
• Dover International Speedway: Car racing track in Dover, Delaware.
• Fort Delaware State Park: Harbor defense facility in Delaware City, Delaware.
• Lewes Beach: Beach in Lewes, Delaware.
• Nemours Mansion and Gardens: Museum and garden in Wilmington, Delaware.
• Rehoboth Beach: Beach town in Delaware.
• Winterthur Museum: Museum in Wilmington, Delaware.