Tax Type
Estate Tax
Description
Domicile for estate tax purposes
Topic
Persons Subject to Tax
Residency
Date Issued
03-31-1987
March 31, 1987
Re: Request for Ruling; Virginia Estate Tax Domicile
Dear ********************
This is in response to your letter of December 15, 1986, in which you requested a ruling as to your client's domicile for estate tax purposes.
The taxpayer, a man of advanced years, was until recently a resident and domiciliary of the State of Pennsylvania. In 1985 he was declared to be incompetent by a Pennsylvania court. His son was appointed guardian of his person and a Pennsylvania bank was appointed guardian of his property. Shortly thereafter the son, a Virginia resident, moved the taxpayer to Virginia where he is now a resident of a nursing home.
Determination
In the circumstances above, a guardian does not have the authority to change the domicile of an incompetent person. Therefore the taxpayer's domicile remains in Pennsylvania.
The Virginia Estate Tax is imposed on all property of a resident. A resident is defined as a person who was domiciled in Virginia at his death. §58.1-901. The tax is also imposed on all property of a non-resident which is located in Virginia. Therefore, upon his death, a Virginia Estate Tax will be due only on the real and personal property of the taxpayer which is located in Virginia.
It should be emphasized that this applies only to the Virginia Estate Tax. For purposes of the Virginia Income Tax, the term "resident" includes natural persons who resided in Virginia for an aggregate of more than 183 days during the taxable year whether domiciled in Virginia or not §58.1-302.
Sincerely,
W. H. Forst
Tax Commissioner
Rulings of the Tax Commissioner