Virginia Administrative Code › Title 23 - TAXATION › Agency 10 - DEPARTMENT OF TAXATION › Chapter 110 - INDIVIDUAL INCOME TAX › Section 23VAC10-110-270 - Extension of time for filing returns

Current through Register Vol. 40, No. 24, July 15, 2024
A. Generally. Except as set forth herein, no
				taxpayer shall receive any extension of time for filing his income tax return.
				As used in this section, the term "original due date" shall mean the date
				prescribed by law for the filing of the income tax return.
Any taxpayer who requests an extension of time for filing his
				  return pursuant to this section can assume that the department has acquiesced
				  to the request unless otherwise notified. Consequently, a taxpayer will not
				  receive any confirmation that an extension has been accepted, but will be
				  notified if such request is denied.
B. Federal extension granted. Any taxpayer
				who has been granted an extension of time for filing his federal income tax
				return for the taxable year, may receive an extension of time for filing the
				Virginia return for such taxable year provided the taxpayer files a tentative
				tax return (Form 760-E) and pays the tentative tax on or before the original
				due date of the return.
If additional federal extension(s) are granted, additional
				  extensions of time for filing the Virginia return will similarly be granted
				  provided the taxpayer requests a Virginia extension either by completing the
				  appropriate portion of Form 760-E and returning it to the department or by
				  letter to the department prior to expiration of the original extension. The
				  period of time for filing the Virginia return will be extended to 15 days after
				  the expiration of the federal extension or 6 months from the original due date
				  of the return, whichever is earlier, provided the requirements of this section
				  have been satisfied.
C.
				Extension for good cause. A taxpayer who has not requested or been granted an
				extension of time for filing his federal income tax return may request an
				extension of time for filing his Virginia return, provided he can demonstrate
				good cause for being unable to file the return on or before the appropriate due
				date. Such extension will be granted only if the taxpayer files a tentative tax
				return (Form 760-E) and pays the tentative tax on or before the original due
				date of the return.
In no instance will the time for filing the return be
				  extended to a date in excess of 6 months from the original due date of the
				  return. Any person who is granted an extension under the provisions of this
				  subsection must attach a copy of the form or letter applying for the Virginia
				  extension(s) to the face of the return when filed.
D. Tentative tax return.
1. Generally. Any person who requests an
				extension of time for the filing of his Virginia income tax return as provided
				in subsections (B) and (C) above must file a tentative tax return and pay a
				tentative tax on or before the original due date of the return.
2. Computation of tentative tax. The
				tentative tax is computed by estimating the taxpayer's Virginia taxable income
				and the tax thereon as though no extension had been requested. In computing the
				tentative tax due, credit should be taken for estimated tax payments made for
				the taxable year, Virginia income tax withheld during the taxable year, and any
				overpayment of tax for the prior taxable year which the taxpayer indicated
				should be applied to the current taxable year's liability.
3. Underestimation of tentative tax. Any
				taxpayer who underestimates the amount of tentative tax due shall be assessed
				interest on the amount of underpayment. The interest, computed at the rate
				prescribed in § 58.1-1821 of the Code of Virginia, (which is the current
				interest rate set forth in IRC § 6621) shall be assessed from the original
				due date of the return until the date of full payment of the tax due (after
				subtracting credits for income tax withheld and estimated tax payments or
				credit) for the taxable year.
4.
				Penalty for underpayment. If the amount of tentative tax paid is less than 90%
				of the actual tax due for the taxable year, penalty on the amount of
				underpayment shall be assessed. Such penalty, computed at the rate of ½%
				per calendar month (or fraction thereof) from the original due date of the
				return until the date of full payment of the actual tax due, shall be added to
				the tax due. Any penalty assessed shall be in addition to the interest on the
				underestimation as set forth in the preceding paragraph.