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P.O. Box 1115
Richmond, Va. 23218-1115
(804) 367-8031 (Individual)
(804) 367-8037 (Business)

 
 
April 2014 e-Alerts Digest         INDIVIDUAL INCOME TAX
Filing Reminderone

The following returns and payments for the Virginia Individual Income Tax are due

May 1, 2014:  
 
  •  Estimated payments for the first installment period of 2014 (if required).
  • 2013 tax returns and tax due payments for calendar year filers. 

Paying your estimated income tax using the Department of Taxation's free online service is the fastest and most efficient way to make your payment. For information on determining whether estimated tax payment requirements apply, visit the Department's Estimated Tax and Extension Payments for Individuals web page.

 

Filing Season Hours for Customer Service Representativestwo

For the 2013 filing season, the Virginia Department of Taxation's Customer Service hours are:

  • Telephone service hours are 8:30 a.m. to 5:00 p.m., Monday through Friday.
  • Live Chat service hours are from 8:30 a.m. to 8:00 p.m., Monday through Friday and from 8:30 a.m. to 12:00 noon on Saturdays.
  • Walk-In Taxpayer Assistance service hours are 8:30 a.m. to 5:00 p.m., Monday through Friday.

Please keep in mind that April is one of the Department's busiest months during the year. The Department assists especially high numbers of taxpayers on the dates of April 15 (the federal income tax due date), May 1 (the due date for Virginia Individual Income tax), and the dates immediately before and after. If you think you will need assistance from our Customer Services office this month, try to plan your contact before those dates for faster assistance. Our contact information can be found here.

 

General Remindersthree

File your tax return electronically to get your refund up to six weeks faster. It's fast, easy, secure and normally contains fewer errors that may delay your refund. 

  •  Free File: If your federal adjusted gross income is less than $58,000,you qualify for this FREE program and can e-file your federal and state tax returns for free. 
  •  Free Fillable Forms: If you do not qualify for Free File, this free, electronic, online version of the Form 760 resident return and schedules allows you to complete your Virginia return by entering your information as if you were completing a paper return. 
  •  e-File: If one of the other options does not work for you, use other available e-File software. Shop around to find the software that is right for you. 

The fastest way to get your refund is to e-File your return and use Direct Deposit to your bank account. 

  • Refunds using any e-File option requesting Direct Deposit take approximately 1 week.
  • Refunds using any e-File option requesting a Refund Debit Card take approximately 2 weeks.
  • Refunds from paper filed returns requesting Direct Deposit take approximately 6 weeks.
  • Refunds from paper filed returns requesting a Refund Debit Card take approximately 7 weeks. 
Taxation of Retirement Income and Estimated Tax Paymentsfour

If you have recently retired or anticipate retiring soon, ensure the Virginia income tax withheld from your retirement income is sufficient to cover any income tax you will owe. If no tax is withheld, you may need to make Estimated Tax payments to cover the tax you expect to owe.

 

When considering whether you need to make an estimated tax payment, remember that retirement income may be taxed differently in Virginia than in other states. For example, Virginia generally taxes pension income and does not tax Social Security income. As a general rule, items of income included in the Adjusted Gross Income from your federal tax return are taxed by Virginia.

 

Information about types of income Virginia does not tax is included in the Subtractions from Income section of the Individual Income  form instructions.


Claiming Credit for Taxes Paid to Another Statefive

Virginia taxpayers with income subject to tax in Virginia as well as another state may be eligible to claim a credit for the tax they pay to another state on their Virginia return, though certain limitations apply to such credits. If you are required to pay income tax to a state other than Virginia, please read the following. 

  • Generally, Virginia residents may not claim a credit for taxes paid to Arizona, California, Oregon, or the District of Columbia on Virginia Form 760. Taxpayers who pay tax to those states may claim a credit on the nonresident return they file with that state. 
  • Only nonresidents filing Virginia Form 763 may claim credit for taxes paid to Arizona, California, Oregon, or the District of Columbia. 
  • Part-year residents filing Form 760PY may not claim a credit for taxes paid to another state on income they received during their period of residence outside of Virginia.
  • The credit computation is based on the qualifying taxable income and the qualifying tax liability reported to the other state(s). If no tax is paid to the other state(s), you may not claim an out-of-state credit on your Virginia return.
  • Taxpayers receiving a refund of all taxes withheld by or paid to Maryland, the District of Columbia, Kentucky, Pennsylvania or West Virginia may not claim the out-of-state tax credit on their Virginia returns for taxes paid to the District or  these states.
  • The total allowable credit for taxes paid to another state(s) is limited to the net Virginia tax liability on your Virginia return. 
  • If you qualify to claim credit for taxes paid to more than one state, other than Virginia, you must provide a separate computation for each state and a complete copy of the other states' returns. 

For additional information, visit the Credit for Tax Paid to Other States page of the Department's website or review the instructions for your Virginia form type. 


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