The Gross Receipts Tax (GRT) is a levy imposed by the Delaware Division of Revenue on businesses operating in Delaware, based on their total gross revenues (receipts) from sales of goods or services within the state.
of its budget is earned from a gross receipts tax on businesses.
Delaware’s Gross Receipts Tax applies to all revenue from goods sold or services provided within the state. No deductions are allowed for expenses such as cost of goods sold, labor, interest, delivery charges, or discounts.
GRT rates vary by industry and business classification. Published guidance shows rates generally ranging from about 0.0945% to 1.9914%, depending on the type of business activity.
Many business types receive monthly or quarterly exclusion amounts, meaning a portion of their receipts is exempt before the tax applies. These exclusion levels differ by both industry and filing frequency.
Businesses file their GRT returns either monthly or quarterly, depending on their total gross receipts. New businesses typically begin on a quarterly filing schedule.
The tax applies to businesses conducting activities in Delaware, whether selling goods or providing services. Out-of-state businesses may also be liable if they have a physical presence in Delaware, such as employees, inventory, offices, or warehouses. Remote sellers without physical nexus are generally not subject to GRT.
Late filings or payments can lead to penalties, including a 5% penalty per month for late returns and 0.5% monthly interest, plus additional charges for failure to pay.
Obtain a Delaware Business License by registering through the Delaware One Stop Portal, selecting your business activities, and paying the required fee. Once licensed, the Division of Revenue assigns your filing frequency, with most new businesses starting as quarterly filers.
Businesses do not collect GRT from their customers.
This is an internal business tax, not a sales tax.
No. GRT is not a sales tax and is never charged to customers. It is a tax paid directly by the business on its gross revenue from goods sold or services provided in Delaware.
No. Delaware does not allow deductions for labor, materials, shipping, interest, discounts, or any other costs. GRT is calculated solely on total gross receipts.
Only if it has physical nexus in Delaware - such as employees, inventory, a warehouse, or an office. Purely remote sellers with no physical presence in the state are generally not required to pay GRT.
Fiscal Representative in France: What Non-EU Businesses Need to Know Many businesses trading in France are required to appoint a fiscal representative to maintain VAT compliance. Whether you are importing goods, storing stock, or selling to French consumers, understanding this obligation before you operate is significantly easier than discovering it after the fact. This guide […]
California Is About to Tax SaaS. Here Is What Changes on 1 January 2027. If California was the state your US Sales Tax compliance team never had to think about, that changes in six months. Governor Gavin Newsom has signed Senate Bill 122 into law as part of California’s 2026-2027 budget. From 1 January […]
VAT in the Digital Age (ViDA): The Complete Guide to the EU’s VAT Reform VAT in the Digital Age, better known as ViDA, is the European Union’s biggest overhaul of VAT rules in a generation. After nearly two years of political deadlock, the reform is no longer a proposal, it is enacted EU law, with the first major deadlines within the […]
Introducing SAP Concur and eezi, Powered by VAT IT: A Synergistic Approach to Global Expense Automation and E-Invoicing In today’s rapidly evolving business landscape, organisations are seeking innovative solutions to streamline financial operations, enhance compliance, and drive cost savings. Two leading platforms in this space, SAP Concur and eezi, Powered by VAT IT, offer powerful capabilities […]
Is There VAT on Software and SaaS Subscriptions? What Buyers Need to Know Most finance teams have faced the same issue: an invoice lands for a new SaaS (Software as a Service) tool, and it is not obvious whether VAT should be charged on it, who is responsible for it, or whether it can be […]
VAT IT listed as a Pre-Approved e-Invoicing Service Provider (ASP) by the UAE Ministry of Finance: What Businesses Need to Know VAT IT is proud to announce that we have officially been listed by the UAE Ministry of Finance as a Pre-Approved e-Invoicing Service Provider (ASP). This recognition confirms that VAT IT has successfully […]
8 Best VAT Registration Services for Non-EU Businesses Entering the EU and UK Entering the EU or UK market is a significant commercial milestone. Getting VAT registration right from the outset is what determines whether that milestone becomes a launchpad or a liability. For non-EU businesses, VAT registration is not a straightforward administrative task. […]
8 Best IOSS Solutions for Non-EU E-Commerce Sellers If you are an e-commerce seller, registering with the EU’s Import One Stop Shop (IOSS) is a must. IOSS was created with the goal of simplifying VAT declaration and payment for distance sales of imported goods valued at €150 or less. Traditional VAT collection sees the customer […]
Over 70,000 Businesses Use Ramp. Most Are Missing the VAT They Could Be Recovering. Ramp consolidates corporate cards, expenses, and accounts payable into one platform. Over 70,000 businesses use Ramp because it captures, categorises, and codes every transaction in real time, giving finance teams structured, audit-ready data across all spend. What most of those […]
VAT Penalties and Late Payment Surcharges: What HMRC’s New Rules Mean for You Missing a VAT deadline used to mean an immediate financial surcharge. Under HMRC’s new regime, the system works differently, and in some ways more harshly for businesses that fall into patterns of late submission or payment without realising the consequences are building […]
The Gross Receipts Tax (GRT) is a levy imposed by the Delaware Division of Revenue on businesses operating in Delaware, based on their total gross revenues (receipts) from sales of goods or services within the state.
of its budget is earned from a gross receipts tax on businesses.
Delaware’s Gross Receipts Tax applies to all revenue from goods sold or services provided within the state. No deductions are allowed for expenses such as cost of goods sold, labor, interest, delivery charges, or discounts.
GRT rates vary by industry and business classification. Published guidance shows rates generally ranging from about 0.0945% to 1.9914%, depending on the type of business activity.
Many business types receive monthly or quarterly exclusion amounts, meaning a portion of their receipts is exempt before the tax applies. These exclusion levels differ by both industry and filing frequency.
Businesses file their GRT returns either monthly or quarterly, depending on their total gross receipts. New businesses typically begin on a quarterly filing schedule.
Businesses file their GRT returns either monthly or quarterly, depending on their total gross receipts. New businesses typically begin on a quarterly filing schedule.
Obtain a Delaware Business License by registering through the Delaware One Stop Portal, selecting your business activities, and paying the required fee. Once licensed, the Division of Revenue assigns your filing frequency, with most new businesses starting as quarterly filers.
Businesses do not collect GRT from their customers.
This is an internal business tax, not a sales tax.
No. GRT is not a sales tax and is never charged to customers. It is a tax paid directly by the business on its gross revenue from goods sold or services provided in Delaware.
No. Delaware does not allow deductions for labor, materials, shipping, interest, discounts, or any other costs. GRT is calculated solely on total gross receipts.
Only if it has physical nexus in Delaware - such as employees, inventory, a warehouse, or an office. Purely remote sellers with no physical presence in the state are generally not required to pay GRT.
Fiscal Representative in France: What Non-EU Businesses Need to Know Many businesses trading in France are required to appoint a fiscal representative to maintain VAT compliance. Whether you are importing goods, storing stock, or selling to French consumers, understanding this obligation before you operate is significantly easier than discovering it after the fact. This guide […]
California Is About to Tax SaaS. Here Is What Changes on 1 January 2027. If California was the state your US Sales Tax compliance team never had to think about, that changes in six months. Governor Gavin Newsom has signed Senate Bill 122 into law as part of California’s 2026-2027 budget. From 1 January […]
VAT in the Digital Age (ViDA): The Complete Guide to the EU’s VAT Reform VAT in the Digital Age, better known as ViDA, is the European Union’s biggest overhaul of VAT rules in a generation. After nearly two years of political deadlock, the reform is no longer a proposal, it is enacted EU law, with the first major deadlines within the […]
Introducing SAP Concur and eezi, Powered by VAT IT: A Synergistic Approach to Global Expense Automation and E-Invoicing In today’s rapidly evolving business landscape, organisations are seeking innovative solutions to streamline financial operations, enhance compliance, and drive cost savings. Two leading platforms in this space, SAP Concur and eezi, Powered by VAT IT, offer powerful capabilities […]
Is There VAT on Software and SaaS Subscriptions? What Buyers Need to Know Most finance teams have faced the same issue: an invoice lands for a new SaaS (Software as a Service) tool, and it is not obvious whether VAT should be charged on it, who is responsible for it, or whether it can be […]
VAT IT listed as a Pre-Approved e-Invoicing Service Provider (ASP) by the UAE Ministry of Finance: What Businesses Need to Know VAT IT is proud to announce that we have officially been listed by the UAE Ministry of Finance as a Pre-Approved e-Invoicing Service Provider (ASP). This recognition confirms that VAT IT has successfully […]
8 Best VAT Registration Services for Non-EU Businesses Entering the EU and UK Entering the EU or UK market is a significant commercial milestone. Getting VAT registration right from the outset is what determines whether that milestone becomes a launchpad or a liability. For non-EU businesses, VAT registration is not a straightforward administrative task. […]
8 Best IOSS Solutions for Non-EU E-Commerce Sellers If you are an e-commerce seller, registering with the EU’s Import One Stop Shop (IOSS) is a must. IOSS was created with the goal of simplifying VAT declaration and payment for distance sales of imported goods valued at €150 or less. Traditional VAT collection sees the customer […]
Over 70,000 Businesses Use Ramp. Most Are Missing the VAT They Could Be Recovering. Ramp consolidates corporate cards, expenses, and accounts payable into one platform. Over 70,000 businesses use Ramp because it captures, categorises, and codes every transaction in real time, giving finance teams structured, audit-ready data across all spend. What most of those […]
VAT Penalties and Late Payment Surcharges: What HMRC’s New Rules Mean for You Missing a VAT deadline used to mean an immediate financial surcharge. Under HMRC’s new regime, the system works differently, and in some ways more harshly for businesses that fall into patterns of late submission or payment without realising the consequences are building […]
This webinar explains how US businesses can identify and recover foreign VAT, breaking down key concepts like reciprocity and showing where refund opportunities are often missed.
