2020 Delaware Code
Title 30 - State Taxes
Chapter 20. Business Tax Credits and Deductions
Subchapter IX. New Economy Jobs Program Credits
§ 2081 Definitions.
As used in this subchapter:
(1) “Affiliated group” has the meaning provided by § 1504 of the Internal Revenue Code (26 U.S.C. § 1504), but including for this purpose pass-through entities, as defined in § 1601 of this title that would be includible if they were classified as corporations, the equity interests in which would be treated as stock, and the ownership of such interests would satisfy the stock ownership requirements of the said 26 U.S.C. § 1504.
(2) “Base year” shall mean the calendar year immediately preceding a qualified employer's first certified year.
(3) “Brownfield” shall have the meaning set forth in § 9103 of Title 7.
(4) “Certified,” “certification,” or “recertification” mean or refer in their context to the first written determination of the Secretary issued to an employer that it is a qualified employer pursuant to the provisions of this subchapter, or the Secretary's annual review of that written determination.
(5) “Certified year” shall mean a calendar year for which an employer is certified to be eligible for New Economy Jobs Program credits under this subchapter.
(6) “Compensation” means that part of the sum reported on Form W-2, or equivalent form of the United States Department of Treasury, Internal Revenue Service as “Medicare wages and tips” that is attributable to Delaware sources.
(7) “Corporate restructuring” shall mean a transaction that qualifies pursuant to § 355 or § 368 of the Internal Revenue Code (26 U.S.C. § 355 or § 368).
(8) “Credit” means a reduction of the final balance for tax or fees reported due by a qualified employer on a tax or information return pursuant to the New Economy Jobs Program.
(9) “Director” means the Director of the Division of Small Business.
(10) “Eligible job” means any single position held by a common-law employee in this State for which the compensation equals or exceeds the salary threshold. More than 1 consecutive employee may perform an eligible job during a single calendar year so long as the total compensation of all consecutive employees performing such eligible jobs during such calendar year equals or exceeds the salary threshold.
(11) “Incorporated municipality” means and includes the area within the January 1, 2007, boundaries of cities, towns and villages created under any general or special law of this State for general governmental purposes which possess legislative, administrative and police powers for the general exercise of municipal functions and which carry on such functions through a set of elected and other officials.
(12) [Repealed.]
(13) “New Economy Jobs Program” means the Program authorized pursuant to this subchapter to encourage the creation of high wage, knowledge-based jobs in this State.
(14) “Principal executive office” shall mean the address identified as the corporation's principal executive office in a 10-Q or 10-K filing with the Securities and Exchange Commission.
(15) “Qualified employee” means a common-law employee employed in an eligible job in this State.
(16) “Qualified employer” means an employer certified to be eligible for New Economy Jobs Program credits under this subchapter.
(17) “Qualified retained employer” means an employer certified to be eligible for New Economy Jobs Program credits under this subchapter and within the 3-year period prior to certification:
a. The employer has gone through a corporate restructuring; and
b. The employer, a predecessor of the employer or a member of the employer's affiliated group had its principal executive office located within this State, and at the time of certification:
1. A. Is a publicly-traded company with its business focused on agricultural seed and crop protection products; and
B. Identifies the address of its principal executive offices as being located within this State; or
2. A. Is a publicly-traded company with its business focused on nutrition and health, industrial biosciences, safety and protection and/or electronics and communications; and
B. Identifies the address of its principal executive offices as being located within this State.
(18) “Qualified withholding payments” means (subject to the limitations of § 2084 of this title) the total amount of tax withheld, accounted for, and paid to the Secretary pursuant to subchapter VII of Chapter 11 of this title by a qualified employer or qualified retained employer on account of the compensation paid so many of the qualified employees, vital employees or retained employees as are counted in determining New Economy Jobs Program credits.
(19) “Retained eligible job” means any single position held by a retained employee in this State. More than 1 retained employee may perform a retained eligible job during a single calendar year.
(20) “Retained employee” means a common-law employee employed by a qualified retained employer in a retained eligible job in this State.
(21) “Salary threshold” means $112,200 of Delaware sourced compensation paid to a common law employee. The level of the applicable threshold in this subsection is subject to annual adjustment as more fully set forth in § 515 of this title.
(22) “Secretary” means the individual appointed as administrator and head of the Delaware Department of Finance pursuant to § 8302 of Title 29.
(23) “Targeted growth area” means a geographic area designated as “investment level 1” or “investment level 2” on the strategy maps of the most recent executive order approving the strategies for state policies and spending, originally approved in December, 1999.
(24) “Targeted growth county” means a county in this State having, on June 30, 2007, fewer than 250,000 inhabitants as reported in the most recent County Population Estimate of the United States Department of Commerce, Bureau of Census.
(25) “Vital employee” means a common-law employee employed in a vital job in this State.
(26) “Vital job” means any single position held by a vital employee in this State.
