Tax Type
Individual Income Tax
Description
Out-of-state tax credit; Income from a S corporation subject to District of Columbia franchise tax
Topic
Credits
Date Issued
08-18-1988
August 18, 1988
Re: Ruling Request
Individual Income
Credit for Income Taxes Paid to Another State
Dear*********************
This is in reply to your letter of August 2, 1988, in which you request a ruling regarding the applicability of the Virginia out-of-state tax credit, under Virginia Code §58.1-332, to you as a Virginia resident shareholder in an S corporation subject to the District of Columbia Corporate Franchise Tax.
The department has recently had occasion to analyze that question and to issue a ruling regarding the applicability of the Virginia out-of-state tax credit in such a situation. Attached is a copy of that ruling, dated May 10, 1988.
Based upon the department's May 10, 1988 ruling, you may not claim a credit on your Virginia return for the District of Columbia Corporate Franchise Tax paid by the S corporation.
Sincerely,
W. H. Forst
Tax Commissioner
Rulings of the Tax Commissioner