Bill > HB211

This bill establishes the Innovating Delaware Act, which creates a tax credit program to support early-stage technology companies and innovative industries in Delaware. The bill defines key terms such as "accelerator" (a company that provides support services to early-stage tech companies) and "technology company" (a business earning at least 75% of revenue from fields like technology, science, healthcare, and agriculture). The tax credit can be applied to income taxes, franchise taxes, or other state taxes, but cannot reduce a taxpayer's tax liability by more than 50%. Eligible projects include creating or supporting accelerators for technology companies and programs that provide funding or resources to innovative businesses. To qualify, companies must be Delaware-based, operate in an innovative industry, and meet specific size and ownership criteria, such as having fewer than 15 or 75 employees and potentially being majority-owned by women, minorities, veterans, or people with disabilities. Applicants must submit detailed plans and adhere to conflict of interest policies. The program is limited to $10 million in funding per calendar year starting in 2026, with unused credits able to be carried forward for up to 5 years. The Department of Finance will manage the application process, and the Secretary of State and Division of Revenue will provide administrative support.

Business and Industry

https://legis.delaware.gov/BillDetail?LegislationId=142476