Delaware

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Delaware: Employer Tax Credit for Paid Organ and Bone Marrow Donation Leave

On September 1, 2026, the Delaware Department of Finance announced that the state’s organ and bone marrow donation tax credit, originally enacted in 2022, is in effect, retroactive to January 1, 2026. Under the law, an employer that provides an employee with paid time off for organ or bone marrow donation, beyond any traditional paid time off, may claim a tax credit equal to 25% of the employee’s gross wages paid during the missed work, for up to 30 days of missed work per donation. The credit had remained dormant since 2022 pending a required notice from the Department of Finance. Delaware employers offering this type of leave should review their payroll and leave records for calendar year 2026 to determine whether they qualify for the credit and should note that qualifying wages do not include amounts paid as traditional paid time off, worker’s compensation benefits, or certain other categorized payments.

 

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