AN ACT TO AMEND TITLE 30 OF THE DELAWARE CODE RELATING TO PASS-THROUGH ENTITIES, ESTATES, AND TRUSTS.

Currently, non-resident pass-through entities, trusts, and estates are required to pay estimated income taxes anticipated to be due as a result of real estate transactions before each deed is recorded. The payment of estimated income taxes before each deed is recorded has become a burden on entities that transfer multiple parcels and on the Division of Revenue. In order to maximize time and improve personnel efficiencies within the Division of Revenue, this Act provides the Director with the ability to exempt nonresident pass-through entities involved in the sale or exchange of Delaware real estate from the requirement of remitting estimated income taxes due with each deed to the Recorder before the deed is recorded. This act only allows the Director to grant exemptions as to the timing of the payment of estimated income taxes; it does not allow the Director to grant exemptions from paying income taxes.