Update: The 2023 General Assembly passed legislation that conforms Virginia’s tax law to the federal tax code on a rolling basis, with certain exceptions. The legislation also sets guidelines for future federal law changes that Virginia law would not conform to. For further information, please see the 2023 Legislative Summary.
Conformity refers to how closely Virginia follows definitions and other provisions of the federal tax code, most importantly, the definition of adjusted gross income.
Virginia’s General Assembly recently passed legislation that advances our conformity to the federal tax code through the end of 2022, with some exceptions. Because the changes were already included in federal tax forms, most Virginians will not need to make an adjustment to their Virginia return.
The legislation also clarified the effective dates of 2 tax benefits passed in 2022: the Eligible Educator Expense Deduction and the Hardwood Management Practices Tax Credit. For more information about this year’s conformity legislation, see Tax Bulletin 23-1.
Eligible Educator Expense Deduction and Hardwood Management Practices Tax Credit Effective Immediately
The Eligible Educator Expense Deduction and the Hardwood Management Practices Tax Credit (both passed in 2022) are effective immediately and may be claimed by qualifying taxpayers on their tax year 2022 income tax returns.
If you qualify for either of these benefits and already filed your return, you don’t need to take additional action. Now that the legislation passed, we can now process your return and send your refund (if you’re eligible).
For more information about these and other filing season changes, see What’s New for Filing Season.