A. Commuters. A
nonresident who did not maintain a place of abode in Virginia at any time
during the taxable year and who commuted on a daily basis to employment in
Virginia from his residence outside this state is not required to file a
Virginia income tax return nor is he liable for the payment of tax to Virginia
provided that all of the following conditions are met:
1. His only income from Virginia sources is
from salaries and wages;
2. His
salaries and wages from Virginia sources are subject to taxation by his state
of residence;
3. Such taxpayer's
state of residence imposes an income tax substantially similar to Virginia's,
i.e., a net income tax;
4. The tax
laws of the taxpayer's state of residence allow a credit against the tax
liability of a Virginia resident to such state which is substantially similar
to that accorded by Virginia as defined in
23VAC10-110-220 through
23VAC10-110-222; and
5. The tax laws of the taxpayer's state of
residence accord Virginia residents commuting to work in such state on a daily
basis the same relief from filing a return as provided herein for nonresidents
of Virginia.
As of the adoption date of these regulations, residents of
Kentucky, Maryland, West Virginia and the District of Columbia may qualify for
a filing exclusion under the provisions of this section. Residents of these
states who have Virginia income tax withheld on salary and wages earned in
Virginia and who would otherwise qualify for the filing exclusion may obtain a
refund of Virginia tax withheld by filing Form 763S, Special Nonresident Claim
for Individual Income Tax.
B. Reciprocal agreements. The Department of
Taxation may enter into reciprocal agreements with other states to relieve
residents of such state from filing a return or paying tax to Virginia on
compensation paid herein. Under such reciprocal agreements, Virginia residents
will similarly be relieved from filing and payment requirements in the
reciprocating state. For taxable years beginning on and after January 1, 1982,
such an agreement is in effect with Pennsylvania.
Notes
23 Va. Admin. Code §
10-110-250
Derived from
VR630-2-342; adopted September 19, 1984; revised eff. January 1, 1985 with
retroactive effect according to Va. Code § 58-48.6 (recodified as Section
58.1-203 ).
Statutory Authority
§§ 58.1-203 and 58.1-342 of the Code of Virginia.
