AN ACT TO AMEND TITLE 30 OF THE DELAWARE CODE RELATING TO PERSONAL INCOME TAX DEDUCTION OR CREDITS APPLICABLE TO QUALIFIED TIP INCOME.

This Act establishes the Tipped Worker Tax Relief Act of 2026 to provide targeted state income tax relief to resident and nonresident tipped workers in Delaware. It creates a deduction of up to $15,000 on qualified tips and converts it to a refundable credit for low-income resident earners. The program sunsets in 2029 unless renewed after review. This legislation promotes fairness, supports workforce retention in small business community, and addresses affordability challenges without new taxes or mandates on employers.