On March 28, 2013, Delaware Governor Jack Markell signed House Bill No. 52, relating to removal of a sunset provision for corporate franchise tax rate increases. House Bill No. 52 became effective on the date of approval.
In 2009, Governor Markell previously approved House Bill No. 267, 77 Del. Laws, c. 78, which had increased the corporate franchise tax rates to: the maximum franchise tax of $180,000, the assumed par value multiplier of $350, and the minimum assumed par value tax of $350. 77 Del. Laws, c. 78, section 70 contained a sunset provision that would have reduced these rates after four years. The higher rates remain in place as a result of the new legislation’s removal of the sunset provision.
This article is provided for informational purposes only and should not be considered, or relied upon, as legal advice.