Tax Type
Bank Franchise Tax
Corporation Income Tax
Description
AMG National Trust Bank v. Commonwealth of Virginia, Department of Taxation
Topic
Court Case
Date Issued
08-01-2011
VIRGINIA: IN THE CIRCUIT COURT FOR THE CITY OF NORFOLK
AMG NATIONAL TRUST BANK,
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- Plaintiff,
v. Case No. CL10-3031
COMMONWEALTH OF VIRGINIA,
DEPARTMENT OF TAXATION,
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- Defendant.
- Defendant.
ORDER
THIS CAUSE came on cross-motions for summary judgment by the parties, and on the Defendant's Motion to Reconsider. Argument was held before the Court on March 28, 2011 and on June 7, 2011;
UPON CONSIDERATION of the Agreed Stipulation of Facts presented by the parties, the pleadings, briefs and the arguments of counsel, the Memorandum filed by the Defendant, and for the reasons stated in the Court's letter opinions dated April 7, 2011 and July 6, 2011;
The Court FINDS that the Plaintiff is a "bank" for purposes of the Virginia Bank Franchise Tax Act, Va. Code § 58.1-1200, et seq. The Court therefore GRANTS Plaintiff's Motion for Summary Judgment and DENIES Defendant's Motion for Summary Judgment.
The Court FURTHER FINDS that the Plaintiff is subject to the Bank Franchise Tax and is exempt from the Virginia corporate income tax. The Court therefore DENIES the Defendant's Motion to Reconsider.
In Accordance with these rulings, the Court also GRANTS the further relief requested by the Plaintiff as follows:
The Defendant is ORDERED to promptly refund all corporate income taxes paid by the Plaintiff from 2004-2010, plus interest;
IT IS FURTHER ORDERED that for tax years after 2010, the Plaintiff shall be deemed a bank for purposes of assessing Virginia taxes unless Plaintiff is no longer a national or state banking association or unless the definition of "bank" under the Virginia Bank Franchise Tax Act is changed.
The Plaintiff's request for attorney's fees and costs is DENIED.
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- Enter: 26, July 2011
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- Mary Jane Hall
Circuit Court Judge
- Mary Jane Hall
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[Endorsements ]
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- COPY TESTE:
GEORGE E. SCHAEFER, CLERK
- COPY TESTE:
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BY: Janice O'Hern, Deputy Clerk
Authorized to sign on behalf
of George E. Schaefer
Date: 8-1-11
I ASK FOR THIS:
Jeffrey T. Talbert (VSB # 18068)
Andrew M. Hendrick (VSB # 42852)
Shuttleworth, Ruloff, Swain, Haddad & Morecock., P.C.
4525 South Blvd., Ste. 300
Virginia Beach, VA 23452
757-671-6000
757-671-6004 (fax)
ahendrick@srgslaw.com
Counsel for the Plaintiff
SEEN AND OBJECTED, FOR THE REASONS STATED ON THE RECORD:
Elizabeth Myers, Esq. (VSB # 80739)
Assistant Attorney General
Office of the Attorney General of Virginia
900 East Main Street
Richmond, Virginia 23219
804-786-9516
804-692-1647(fax)
Counsel for the Commonwealth of Virginia Department of Taxation
Rulings of the Tax Commissioner