Tax Type
Corporation Income Tax
Description
Permission to file a combined return
Topic
Returns/Payments/Records
Date Issued
10-18-1984
October 18, 1984
Re: Virginia Code § 58-151.079
Permission to File Combined Return
Income Tax Returns
Dear ************
This is in response to your letter of October 12, 1984 in which you request on behalf of ***** and its eligible affiliates subject to Virginia income tax permission to file a combined Virginia income tax return for 1983 and for taxable years thereafter. All affiliated corporations utilize the same taxable year and all have filed separate Virginia returns in prior years.
Permission is hereby granted to file a combined return for the taxable year ended December 31, 1983 and thereafter which includes all affiliates subject to Virginia income tax upon the following conditions:
1. Schedules shall be filed with the combined return which contain all information which would be contained in a separate Virginia return for each eligible member of the affiliated group. See §§58-151.079 and 58-151.081.
2. In computing the Virginia taxable income of each eligible member of the affiliated group there shall be added to federal taxable income the amount of any net operating loss deduction or other deduction which has been recognized for Virginia income tax purposes and offset other income in a Virginia consolidated or combined return for other taxable years. See, for example, Federal Income Tax Regulation 1.1502-79.
You have advised that the due date for filing Virginia income tax for the calendar year 1983 has been extended for The ***** and its affiliates to October 15, 1984, but that several of the affiliates have recently filed separate Virginia returns for the year 1983. Such separate returns will be withdrawn upon their inclusion in a combined return and income tax paid will be credited to the combined tax liability.
Please attach a copy of this letter to your 1983 combined return when it is filed.
Sincerely,
W. H. Forst
State Tax Commissioner
Rulings of the Tax Commissioner