De grt

Delaware Gross Receipts Tax Calculator

Compute Delaware Gross Receipts Tax liability by business category. Handles category-specific rates (0.0945%–1.9914%), monthly exclusion amounts, and monthly/quarterly filing per Delaware Division of Revenue rules.

When to Activate

• User mentions "Delaware gross receipts", "Delaware business tax", "Delaware GRT", "Delaware occupational tax"
• Computing monthly or quarterly gross receipts tax
• Determining which business category applies in Delaware
• Evaluating monthly exclusion amounts
• Any business with gross revenue from Delaware activities

What This Tax Is

Delaware's Gross Receipts Tax (GRT) is a tax on the total gross revenues of a business, regardless of source. Like Washington's B&O tax, it applies to gross receipts with no deductions for cost of goods sold, labor, interest, delivery costs, taxes, or other business expenses¹.

Rates vary by business category — retailers, wholesalers, manufacturers, service providers, and other categories each have different rates. Most categories also receive a monthly exclusion that exempts a portion of receipts from tax.

Delaware has no sales tax, making the GRT the state's primary consumption-related business tax.

Rate Structure

Rates range from 0.0945% to 1.9914%, with monthly exclusion amounts varying by category².

Major Business Categories

Category	Rate	Monthly Exclusion	Source
Retailers	0.7468%	$100,000	DE Division of Revenue
Wholesalers	0.3983%	$10,000	DE Division of Revenue
Manufacturers	0.0945%	$1,250,000	DE Division of Revenue
General services (occupations)	0.3983%	$100,000	DE Division of Revenue
Contractors	0.6534%	$100,000	DE Division of Revenue
Food processors	0.1883%	$100,000	DE Division of Revenue
Petroleum products	Variable (up to 2.4218%)	Varies	DE Division of Revenue

The complete rate schedule with all 50+ categories is available at the Delaware Division of Revenue Rates PDF.

Multiple Business Activities

Businesses with income from multiple categories must file separate gross receipts tax returns for each activity type. Each activity is taxed at its own rate with its own exclusion¹.

Surcharge

Delaware does not impose an additional surcharge on the GRT for high-grossing businesses.

Credits and Exemptions

Monthly Exclusion

Each business category has a monthly exclusion amount — receipts below this amount are not taxed. The exclusion resets each month (or quarter for quarterly filers). Exclusions range from $10,000 (wholesalers) to $1,250,000 (manufacturers)².

Exempt Transactions

• Out-of-state shipments where the seller ships directly to the customer outside Delaware¹
• Wholesale sales picked up in-state with Form 373 (Wholesale Exemption Certificate)¹

No Cost Deductions

Unlike Oregon's CAT, Delaware's GRT allows no deductions for cost of goods, labor, interest, discounts, delivery costs, or taxes paid¹.

Filing Requirements

Filing Frequency

Frequency	Criteria	Due Date	Source
Monthly	Higher-revenue businesses (based on look-back period)	20th of following month	DE GRT FAQs
Quarterly	Smaller businesses / new businesses (default)	Last day of month after quarter-end	DE GRT FAQs

Filing frequency is assigned based on gross receipts during a look-back period. New businesses default to quarterly filing.

Filing Method

Mandatory electronic filing since January 1, 2021 via tax.delaware.gov¹.

Penalties

Penalty	Amount	Source
Late filing	5% per month	DE GRT FAQs
Late filing interest	0.5% per month from due date	DE GRT FAQs
Non-payment	Additional 1% monthly (max 25%)	DE GRT FAQs

Nexus

Delaware taxes gross receipts from business activity conducted within the state. Out-of-state shipments where the seller ships directly to customers outside Delaware are exempt. Interstate sales taken delivery in Delaware remain taxable¹.

For businesses unsure about Delaware nexus, contact the Gross Receipts Department at (302) 577-8780 or [email protected].

City/Local Tax Overlays

Delaware's major cities (Wilmington, Dover) do not impose separate city-level gross receipts taxes. The GRT is a state-level tax only. Wilmington has a city wage tax (1.25%) but no additional business gross receipts tax.

Calculation Process

Step 1: Determine Business Category

Identify which GRT category applies. If multiple activities, file separately for each.

Step 2: Apply Monthly Exclusion

Subtract the monthly exclusion for your category.

Step 3: Compute Tax

monthly_tax = rate × max(monthly_gross_receipts - monthly_exclusion, 0)

Step 4: File Monthly or Quarterly

Sum monthly calculations for quarterly filers.

Example: Delaware Retailer

Monthly gross receipts: $250,000
Category: Retailer
Rate: 0.7468%
Monthly exclusion: $100,000

Taxable receipts: $250,000 - $100,000 = $150,000
Monthly tax: $150,000 × 0.007468 = $1,120.20

Annual estimate: $1,120.20 × 12 = $13,442.40

Common Mistakes

1. Forgetting the monthly exclusion — Each category has an exclusion that significantly reduces tax for smaller businesses²
2. Deducting expenses — GRT is on gross receipts with no deductions for COGS, labor, or any costs¹
3. Single return for multiple activities — Businesses with revenue from different categories must file separate returns for each¹
4. Confusing with sales tax — Delaware has no sales tax. GRT is paid by the business on its receipts, not collected from customers
5. Missing electronic filing requirement — All GRT returns must be filed electronically since 2021¹
6. Wrong exclusion amount — Exclusions vary dramatically by category ($10K for wholesalers vs. $1.25M for manufacturers)²
7. Quarterly filers using monthly exclusion — Quarterly filers get quarterly exclusion amounts (3× monthly), not monthly

References

Official Delaware Division of Revenue

• Gross Receipts Tax FAQs
• Step 4: Learn About Gross Receipts Taxes
• Complete Rate Schedule (PDF)
• Business Tax Forms
• Delaware Taxpayer Portal

Legislation

• Title 30, Chapter 23 — Gross Receipts Tax

Output Format

When computing GRT, present results as:

## Delaware Gross Receipts Tax — [Period]

| Item | Amount |
|---|---|
| Gross Receipts | $XX,XXX.XX |
| Category | [Category Name] |
| Rate | X.XXXX% |
| Monthly Exclusion | ($XXX,XXX.XX) |
| Taxable Receipts | $XX,XXX.XX |
| **Tax Due** | **$XXX.XX** |
| Due Date | [date] |

Constraints

• MUST use Decimal arithmetic for all money calculations — never floats
• MUST NOT suggest deducting expenses from gross receipts
• MUST apply the correct monthly exclusion for the business category
• MUST file separate returns for multiple business activities
• MUST note mandatory electronic filing requirement
• MUST warn if gross receipts approach a category's exclusion threshold
• MUST warn and show extrapolation method when estimating annual liability from partial-year data
• MUST cite sources when presenting rates or thresholds to the user
• MUST reference the official rate PDF for categories not listed in this skill

Disclaimer

This provides general tax guidance based on publicly available information. It is not legal or tax advice. Consult a qualified tax professional for your specific situation.

Footnotes

1. Delaware Division of Revenue — Gross Receipts Tax FAQs ↩ ↩² ↩³ ↩⁴ ↩⁵ ↩⁶ ↩⁷ ↩⁸ ↩⁹ ↩¹⁰

2. Delaware Division of Revenue — GRT Rates and Delaware Division of Revenue — Step 4: Gross Receipts ↩ ↩² ↩³ ↩⁴