Delaware income tax
Delaware levies 1.85% and credits 50% of the tax you pay to the city you work in, computed on at most 1.85% of wages.
| Rate | 1.85% |
|---|---|
| Credit factorshare of the work city's tax credited | 50% |
| Credit limitcap on wages the credit is computed against | 1.85% |
What a Delaware resident owes on $60,000
The work city withholds; Delaware then charges its own rate less the credit. The last column is what is usually not withheld from any paycheck.
| Work city | Withheld there | Credit | Owed to Delaware |
|---|---|---|---|
| Columbus2.5% | $1,500 | $555 | $555 |
| Cleveland2.5% | $1,500 | $555 | $555 |
| Findlay1% | $600 | $300 | $810 |
- Delaware credits only half: "the lesser of .50 of the tax paid to the other city, or .00925 of the income taxed by the other city and Delaware."
- Delaware also administers a JEDD with its own return; JEDDs are out of scope.
- Credit parameters were obtained from the city's FAQ text but the page itself blocks automated access and was not read directly.
Source: City of Delaware — Income Tax FAQs, read 2026-08-22. School district income tax and JEDD/JEDZ levies are separate and are not modelled here.
Delaware income tax: common questions
What is the income tax rate in Delaware, Ohio?
1.85% on wages for 2026. Your employer withholds for the city you WORK in, so if you work elsewhere in Ohio you may owe Delaware a residual at filing time rather than nothing.
Does Delaware credit tax I paid to the city I work in?
Partly, and the two parameters matter separately. Delaware credits 50% of the tax paid to the work city, and computes that credit against at most 1.85% of your wages. Both have to be applied: the credit is 50% of the LESSER of what the work city took and 1.85% of wages.
Why do I owe Delaware money at filing time?
Because Ohio employers withhold for the WORK city, not the home city — ORC 718.03(A)(1). If Delaware's rate exceeds what its credit absorbs, the difference is owed directly to Delaware and is usually not withheld from any paycheck. That residual is what catches people out.