Tax Type
Individual Income Tax
Description
Statute of limitations for refund
Topic
Payment and Refund
Statute of Limitations
Date Issued
12-08-1993
December 8, 1993
Re: §58.1-1821 Appeal: Individual Income Taxes
Dear**************
This will reply to your letter of May 10, 1993 in which you request that the department accept an amended tax return for taxable year 1988 which you intend to file on behalf of your client, *********** (the "Taxpayer").
FACTS
The Taxpayer, a resident of California, filed Virginia nonresident income tax returns for taxable year 1988 paying taxes on deferred compensation payments while the Taxpayer resided in California. The deferred compensation was related to services the Taxpayer performed in Virginia while he was a resident of Virginia. California has recently assessed the Taxpayer for failing to pay 1988 taxes to California on the deferred compensation received while he resided in California.
DETERMINATION
Va. Code §58.1-1823 allows taxpayers three years from the original due date of the return to file an amended return with the department. For taxable year 1988, the Taxpayer's return was due on May 1, 1989. Three years from that date was May 1, 1992. Unfortunately you did not attempt to file an amended return until one year after the expiration of the limitations period.
Had the Taxpayer filed the amended return prior to the expiration of the three-year limitation period, he would have been entitled to claim a credit on the Virginia return for the taxes paid to California. Unfortunately, this did not occur.
As Tax Commissioner, I do not have the statutory authority to accept amended returns that are filed after the expiration of the three-year limitation period. Your request that your client's amended returns be accepted must, therefore, be declined.
Sincerely,
W. H. Forst
Tax Commissioner
OTP/69950
Rulings of the Tax Commissioner