What is Acquisition Indebtedness? So, lets start at the beginning. Mortgage interest is tax deductible. The first type of mortgage interest defined under the tax code is called âacquisition indebtednessâ. As you might expect, this includes the cost of borrowing to acquire your home, but also includes debt incurred to build or substantially improve a residence, as long as the debt is secured by the same residence.
Although Limited Partnerships, Limited Liability Companies and General Partnerships formed in the State of Delaware do not file an Annual Report, they are required to pay an annual tax of $250.00 ($300.00 to be made effective July 1, 2014, beginning tax year 2014) .
Footnotes: 1  Some of the cities and counties do apply use tax. 2  Some of the cities do apply use tax. The counties do not apply a use tax. 3  Delaware does not have a sales tax. They do have a rental tax of 1.991%. 4  A cap on the local sales/use tax applies on sales of any item of tangible personal property. There is a .500% use tax on merchandise imported into the state for resale purposes. Imports for consumption are taxed at the same rate as the sales tax. The combined local rates for a particular city range from 1.8% to 7.75%. Some local jurisdictions do not impose a sales tax. The state has reduced rates for sales of certain types of items.