June 20, 2025
Re: § 58.1-1821 Application: Retail Sales and Use Tax
Dear *****:
This is in response to your letter submitted on behalf of ***** (the “Taxpayer”) in which you request reconsideration of the Department’s prior determination issued to the Taxpayer for the period May 2017 through April 2020.
FACTS
An audit was conducted on the books and records of the Taxpayer, a Virginia dealer, for the period at issue. In a determination and offer in compromise letter dated May 22, 2024, the Department addressed the substantive issues raised in the application for correction and upheld the assessment because the Taxpayer failed to provide sufficient records on which to accurately evaluate compliance. The Taxpayer’s current letter contains the exact same arguments as the initial application and does not provide any new information or documentation.
ANALYSIS
Under Title 23 of the Virginia Administrative Code (VAC) 10-20-165 F, a taxpayer who disagrees with the Tax Commissioner’s final determination may request a reconsideration of the determination within 45 days. Taxpayers requested reconsideration on November 2, 2024, well after the 45-day period had expired.
DETERMINATION
In accordance with the evidence provided and authority cited, the Taxpayer’s application for correction is precluded from further review. The assessment, therefore, is upheld. The Taxpayer will receive an updated invoice that will include accrued interest to date. The Taxpayers should remit the balance due within 30 days of the invoice date to avoid the accrual of additional interest and possible collection actions.
The regulation cited is available online at law.lis.virginia.gov. If you have any questions regarding this determination, you may contact ***** in the Office of Tax Policy and Legal Affairs, Tax Adjudication and Resolution Division, at ***** or *****@tax.virginia.gov.
Sincerely,
James J. Alex
Tax Commissioner
Commonwealth of Virginia
AR/5079.Z