VA Tax News

  • 17 May 2013 10:53 AM | Anonymous

    Free Webinar:

    Get Ready for the Virginia Sales and Use Tax Changes! 

    Host:  Virginia Department of Taxation

    Date:  Friday, June 7, 2013

    Time: 1:00pm Eastern; 10:00am Pacific (60 minute session)

     

    Register now

     

    Sales tax rates will change on July 1, 2013 - are you ready? Join us for a free, one-hour webinar to explore the sales and use tax rate changes that take effect on July 1, 2013.  During this interactive session, Virginia Department of Taxation staff members will guide you through the provisions of House Bill 2313, including:

    • Statewide and regional rate increases
    • Complete overview of associated changes to returns and schedules (Forms ST-9 and ST-8, available now)
    • Sourcing rules for intrastate and interstate transactions
    • Transitional provisions

    Participants will be able to submit questions for discussion throughout the broadcast.

     

    Who should attend?  Retail dealers inside and outside Virginia and/or their tax accounting staff, tax professionals, and software vendors.

     

    Space is limited - sign up today!
  • 15 May 2013 8:59 AM | Anonymous

    The Department has released Guidelines for the upcoming Hurricane Preparedness Sales Tax Holiday.  

    The holiday is a recurring, seven-day event beginning each year on May 25 and ending on May 31.  During the holiday, portable generators with a selling price of $1,000 or less per item, and other hurricane preparedness items, including, for example, batteries, bottled water, flashlights, and weather band radios with a sales price of $60 or less per item may be purchased exempt of the Retail Sales and Use Tax.

    The full text of the Guidelines is available in the Laws, Rules, and Decisions section of the Department's website as PD 13-71 or available on the Virginia Regulatory Town Hall here.  Additional information may be found  at:

    http://www.tax.virginia.gov/site.cfm?alias=STHoliday

  • 12 Apr 2013 4:12 PM | Anonymous

    A reminder: For the 2012 filing season, the Department's Customer Service telephone service hours for customers calling with general and account-specific questions are between 8:30 a.m. and 5:00 p.m. Monday through Friday. Our Live Chat service will be available even longer - from 8:00 a.m. to 8:00 p.m. Monday through Friday and from 8:30 a.m. to 12:00 noon on Saturdays.

     

    Our contact information can be found here.

  • 12 Apr 2013 4:11 PM | Anonymous

    The due date for filing your 2012 Virginia Individual Income Tax return is Wednesday, May 1, 2013.  If you're thinking of taking advantage of Virginia's automatic six-month extension to file your Virginia taxes this year, here are a few reminders about the rules for automatic extensions.

     

    • The extension only covers time to submit your tax return.  It does not allow you additional time to pay any balance of tax due. Payment for any tentative tax due must be submitted by May 1.
    • The due date for returns filed under extension is November 1, 2013. You do not need to submit an application for the extension - it is applied automatically as long as you file your return by the end of the extension period.
    • Interest will always apply to any tax amounts that are not paid by the original due date for filing. Interest will accrue from the original due date for filing through the date that all tax, penalty, and interest is paid in full.
    • The extension penalty applies to unpaid tax if 90 percent of your total tax liability is not paid by the original filing due date and you file during the automatic extension period.  You will avoid the accrual of extension penalty by ensuring that 90 percent of your total tax due is paid by the original due date and by filing on or before the extended due date.
    • Failure to file during the automatic extension period will void the extension and reset your due date back to the original due date.  The maximum late filing penalty of 30 percent will be assessed on the balance of tax due with your return.
    • Even if you file on time during the extension period, failure to pay the tax due with your filing will cause the late payment penalty to be assessed.  In that circumstance, the late payment penalty will accrue at 6 percent per month on unpaid tax amounts, beginning with the date the return is filed.  This is in addition to any extension penalty that may have already been assessed.
    • No penalty or interest are assessed on tax returns due a refund, regardless of whether they are filed during the extension period or after the extended due date.

    The key to avoiding additional charges is to ensure that payment covering your entire tax due is submitted on or before the original due date for filing. 

     

    Extension payments to cover tentative tax due can be submitted by check or money order with Form 760 IP, or through the Online Services for Individuals area of the Department's Web site.

     

    For additional information on the assessment of penalty and interest, please see the Department's website topic "Penalties and Interest."  For general information on extension guidelines, computing tentative tax due, and making extension payments, see the Instructions for the 760 IP voucher.

  • 22 Feb 2013 11:25 AM | Anonymous

    Conformity to the Internal Revenue Code for Taxable Year 2012  

    Effective for taxable years beginning on and after January 1, 2012, Virginia's fixed-date of conformity to the terms of the IRC will advance from December 31, 2011, to January 2, 2013, with limited exceptions.  Tax Bulletin 13-3 provides taxpayers with directions on how to reconcile this legislation with their 2012 Virginia income tax returns.

  • 06 Feb 2013 1:11 PM | Anonymous

    Quarterly Sales Tax filers will be required to file and pay Retail Sales and Use Tax (ST-9 and ST-9CO) electronically beginning with the July - September 2013 return, due October 20, 2013.  Taxpayers who are unable to file and pay electronically by the effective date may request a hardship waiver.

     

    Please review the Department's various electronic filing options for submitting return and payment information now before the requirement goes into effect. Returns and payments can be filed electronically using eForms, Business iFile or Web Upload.

  • 06 Feb 2013 1:10 PM | Anonymous

    Taxpayers who claim the Virginia Telework Expenses Tax Credit are not allowed to exclude those expenses from Virginia Income. To the extent excluded from federal taxable income, any expenses incurred by a taxpayer in connection with the Telework Expenses Tax Credit must be added to the Virginia return.

  • 06 Feb 2013 1:09 PM | Anonymous

    The Telework Expenses Tax Credit is a new individual and corporate income tax credit for employers who incur eligible telework expenses pursuant to a telework agreement or conduct telework assessments. Taxpayers are required to apply to the Department of Taxation between September 1 and October 31 of the year proceeding the taxable year for which the tax credit is earned to reserve a portion of the credit. To qualify for a credit, the employer must enter into a signed telework agreement with the teleworking employee on or after July 1, 2012, but before January 1, 2017. This telework agreement must be in accordance with policies set by the Department of Rail and Public Transportation (DRPT) which are available on the Telework!VA website at www.teleworkva.org.

    For details on this new credit and modifications to existing credits, see What's New for Tax Credits.

  • 06 Feb 2013 1:09 PM | Anonymous

    Virginia's date of conformity with the Internal Revenue Code (IRC) was advanced from December 31, 2010, to December 31, 2011, with limited exceptions. Virginia will continue to disallow federal income tax deductions for the 30% and 50% bonus depreciation allowed for certain assets and the five-year carryback of federal net operating loss deductions generated in taxable years 2008 or 2009. Also, Virginia will continue to disallow the income tax deductions related to applicable high yield discount obligations under IRC § 163(e)(5)(F). In addition, fixed date conformity adjustments continue to be required for Cancellation of Debt Income under IRC § 108(i), and the domestic production deduction under IRC § 199.

    At the time the instructions went to print, the only required adjustments for "fixed date conformity" were those mentioned above. However, if federal legislation is enacted that results in changes to the Internal Revenue Code for the 2012 taxable year, taxpayers will be required to make adjustments to their Virginia returns that are not described in the instruction booklet. Information about any such adjustments will be posted on the Department's website at www.tax.virginia.gov.

  • 06 Feb 2013 1:08 PM | Anonymous

    For taxable years beginning on or after July 1, 2012, but before July 1, 2014, retail companies are required to determine their Virginia taxable income by using an apportionment formula with a triple-weighted sales factor.  A single sales factor apportionment formula will be phased in over a three-year period beginning as a triple-weighted sales factor, followed by a quadruple-weighted sales factor, and then a single sales factor for taxable years beginning on and after July 1, 2015. 

©2018, Virginia Society of Tax & Accounting Professionals, formerly The Accountants Society of Virginia, 
is a 501(c)6 non-profit organization.

PO Box 3363 | Warrenton, VA 20188 | Phone: (800) 927-2731 | Fax: (888) 403-0920 | asv@virginia-accountants.org

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