Georgetown, Del., Jan. 19, 2010: With each New Year comes the chance to start over, to wipe the slate clean. With that in mind, Sussex County is offering just such a chance to delinquent taxpayers.

County officials on Tuesday, Jan. 19, 2010, announced details of another amnesty program to collect millions of dollars owed to local governments and schools by some 18,000 delinquent account holders. The latest effort, a tax amnesty program, is aimed at capturing an estimated $7 million in back taxes -- approximately $6 million to the eight independent school districts, with the remaining $1 million owed to the County.

“We’re hopeful these individuals will see this as an opportunity to put themselves back in good standing,” Treasury Director Amanda M. Bennett said. “It isn’t often that opportunity presents itself. So we encourage those delinquent taxpayers to take this second chance while it lasts.”

The amnesty program is the second in as many months offered by Sussex County to help those behind on their taxes and fees settle their debts and avoid a portion of the penalties. In December, the County rolled out a similar amnesty program for more than 5,000 delinquent sewer accounts that, in total, owe approximately $1.8 million in back fees.

Both programs are a first for Sussex County, and part of a larger, more concerted effort by the County in recent months to collect millions of dollars due to local government, which has been affected, like others, by the slumping economy. In the case of delinquent taxpayers, County officials wanted to offer some incentives to leverage results before turning to stiffer measures, including the use of its new collections manager, warning letters, liens on property and eventually sheriff sales.

Like all good things, though, the incentives will come to an end, County officials cautioned.

Under the tax amnesty program, a delinquent taxpayer would have 30 days to pay the total amount due in County and school taxes to qualify for a 50-percent forgiveness in interest penalties. For example, a customer owing $500 in back taxes over a one-year period would be assessed a 1½ -percent-a-month penalty, equaling $90, for a total bill of $590. By settling the debt during the amnesty period, the customer would save $45 in interest penalties.

Details of the program, including the due date, will be included in mid-year billings scheduled to be mailed to delinquent taxpayers in February.

County leaders said the ultimate goal is to ensure the County has the funds necessary to provide services for all its taxpayers.

“Sussex County has some of the lowest property taxes in the country and has managed its budgets so well over the years that no new taxes are expected in the foreseeable future,” County Council President Vance C. Phillips said. “But it is unfair to all the citizens who faithfully pay their taxes on time to allow delinquents to jeopardize the fiscal health of everybody.

“I hope those who have found themselves in arrears for whatever reason will take advantage of this amnesty program in order to help keep our ship of County government secure,” Mr. Phillips said.

For additional information on the tax amnesty program, contact the Sussex County Treasury Division at (302) 855-7760.

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