Cape Gazette | Letter to the Editor | by Carolyn Quinn
Currently every domestic and foreign limited liability company registered in Delaware pays an annual tax of $300 to do business here. On March 28, Rep. John Kowalko introduced House Bill 101 which would increase that tax to $325. On May 3, he added an amendment that would raise the increase to $350.
HB 101 was scheduled for a hearing in the House Revenue & Finance Committee May 3, but Rep. Quinn Johnson’s motion to table the bill passed. When the General Assembly recessed May 8, HB 101 was still sitting in committee.
Gov. John Carney’s call for shared sacrifice includes a budget proposal of $37 million to be cut from education. The math is easy. There are 857,000 limited liability companies registered in Delaware. If each LLC paid $350 a year instead of the current $300, the $50 increase would generate an additional $43 million – and schools would not have to sacrifice $37 million.
What is difficult to understand is the failure to date of HB 101’s release for a full vote on the House floor.
Will one of the members of the Finance and Revenue Committee please let taxpayers know why HB 101 hasn’t been released from committee?