{"formats":[{"name":"JSON","format":"json","url":"\/downloads\/2025\/code-json\/38.2-4809.json"},{"name":"Plain Text","format":"text","url":"\/downloads\/2025\/code-text\/38.2-4809.txt"},{"name":"XML","format":"xml","url":"\/downloads\/2025\/code-xml\/38.2-4809.xml"},{"name":"HTML","format":"html","url":"\/downloads\/2025\/code-html\/38.2-4809.html"}],"law_id":78635,"edition_id":1,"section_id":78635,"structure_id":13712,"section_number":"38.2-4809","catch_line":"Licensees to pay license taxes on insurers","history":"Code 1950, \u00a7 38.1-314.9; 1960, c. 503; 1979, c. 513, \u00a7 38.1-327.54; 1986, c. 562; 1987, c. 519; 1988, c. 153; 2001, c. 706; 2011, cc. 498, 850; 2013, cc. 29, 163; 2018, c. 205; 2025, cc. 124, 136.","full_text":"A\n\n1. Every licensed surplus lines broker or any person required to be licensed as a surplus lines broker shall be subject to the annual taxes, license taxes, penalties, and other provisions of Article 1 (\u00a7 58.1-2500 et seq.) of Chapter 25 of Title 58.1 on each policy of insurance procured by him during the preceding calendar year with an eligible nonadmitted insurer. For policies effective on or after July 1, 2011, such payments shall be made based on the direct gross premium income derived from policies for insureds whose home state is the Commonwealth.2\n\nEvery surplus lines broker or any person required to be licensed as a surplus lines broker subject to the provisions of this chapter shall, on or before March 1 of 2012 and 2013 report under oath to the Commission, and on or before March 1 of each year thereafter, report under oath to the Department of Taxation, upon the prescribed form, the direct gross premium income derived from policies for insureds whose home state is the Commonwealth during the preceding year ending December 31.3\n\nEvery surplus lines broker or any person required to be licensed as a surplus lines broker failing to file the report required by this section shall be fined $50 for each day’s failure to file the report.4\n\nUpon the failure of any such surplus lines broker or any person required to be licensed as a surplus lines broker to pay the premium license tax within the time required by this section, there shall be added to such tax a penalty of 10 percent of the amount of the tax and interest at a rate equal to the rate of interest established pursuant to § 58.1-15 for the period between the due date and the date of full payment. The Commission or Department of Taxation shall notify the surplus lines broker of all additional amounts owed, and the surplus lines broker shall pay such amounts within 30 days of the date of the notice.5\n\nUpon good cause shown, the Department of Taxation may accept late payment of the premium license tax exclusive of penalties; however, interest shall be paid on such tax as prescribed in this subsection.6\n\nIf any person overestimates and overpays the annual taxes, the Department of Taxation shall refund the amount of the overpayment to the person. The overpayment shall be refunded out of the state treasury.B\n\n1. Each licensed surplus lines broker or any person required to be licensed as a surplus lines broker whose annual premium license tax liability can reasonably be expected to exceed $1,500 shall file a quarterly tax report with the Department of Taxation. Such report shall be in a form prescribed by the Department of Taxation. This report shall be filed no later than 30 calendar days after the end of each calendar quarter. Notwithstanding any provision to the contrary, each such person shall pay the premium license tax owed for the direct gross premiums adjusted for additional and returned premiums shown by each quarterly tax report when such report is filed with the Department of Taxation.2\n\nNo surplus lines broker or any person required to be licensed as a surplus lines broker shall be subject to any penalty or interest pursuant to Title 58.1 as a result of the failure to timely file a quarterly tax report or make the related quarterly payment when the report is filed pursuant to subdivision 1.C\n\nIn addition to other penalties provided by law, any licensed surplus lines broker or any person required to be licensed as a surplus lines broker who willfully fails or refuses to pay the full amount of the tax or assessment required by this chapter, either by himself or through his agents or employees, or who makes a false or fraudulent return with intent to evade the tax or assessment hereby levied, or who makes a false or fraudulent claim for refund shall be guilty of a Class 1 misdemeanor.D\n\nIf any licensed surplus lines broker or any person required to be licensed as a surplus lines broker charges and collects from the insured the taxes and assessments required by this section and § 38.2-4809.1, such person shall be a fiduciary to this Commonwealth for any taxes and assessments owed to this Commonwealth under this chapter.E\n\nNotwithstanding the provisions of this section and effective for calendar year 2025 and each calendar year thereafter, any surplus lines broker or any person required to be licensed as a surplus lines broker shall not be subject to the annual taxes, license taxes, penalties, and other provisions of Article 1 (§ 58.1-2500 et seq.) of Chapter 25 of Title 58.1 on any policy of insurance procured by such broker during the preceding calendar year on behalf of a commuter rail system jointly operated by the Northern Virginia Transportation Commission established pursuant to § 33.2-1904 and the Potomac and Rappahannock Transportation District established pursuant to the Transportation District Act (§ 33.2-1900 et seq.).","order_by":null,"text":{"0":{"id":281762,"text":"1. Every licensed surplus lines broker or any person required to be licensed as a surplus lines broker shall be subject to the annual taxes, license taxes, penalties, and other provisions of Article 1 (\u00a7 58.1-2500 et seq.) of Chapter 25 of Title 58.1 on each policy of insurance procured by him during the preceding calendar year with an eligible nonadmitted insurer. For policies effective on or after July 1, 2011, such payments shall be made based on the direct gross premium income derived from policies for insureds whose home state is the Commonwealth.","type":"section","prefixes":["A"],"prefix":"A","entire_prefix":"A","prefix_anchor":"A","level":1,"next_prefix":"A2"},"1":{"id":281763,"text":"Every surplus lines broker or any person required to be licensed as a surplus lines broker subject to the provisions of this chapter shall, on or before March 1 of 2012 and 2013 report under oath to the Commission, and on or before March 1 of each year thereafter, report under oath to the Department of Taxation, upon the prescribed form, the direct gross premium income derived from policies for insureds whose home state is the Commonwealth during the preceding year ending December 31.","type":"section","prefixes":["A","2"],"prefix":"2","entire_prefix":"A2","prefix_anchor":"A2","level":2,"prior_prefix":"A","next_prefix":"A3"},"2":{"id":281764,"text":"Every surplus lines broker or any person required to be licensed as a surplus lines broker failing to file the report required by this section shall be fined $50 for each day’s failure to file the report.","type":"section","prefixes":["A","3"],"prefix":"3","entire_prefix":"A3","prefix_anchor":"A3","level":2,"prior_prefix":"A2","next_prefix":"A4"},"3":{"id":281765,"text":"Upon the failure of any such surplus lines broker or any person required to be licensed as a surplus lines broker to pay the premium license tax within the time required by this section, there shall be added to such tax a penalty of 10 percent of the amount of the tax and interest at a rate equal to the rate of interest established pursuant to § 58.1-15 for the period between the due date and the date of full payment. The Commission or Department of Taxation shall notify the surplus lines broker of all additional amounts owed, and the surplus lines broker shall pay such amounts within 30 days of the date of the notice.","type":"section","prefixes":["A","4"],"prefix":"4","entire_prefix":"A4","prefix_anchor":"A4","level":2,"prior_prefix":"A3","next_prefix":"A5"},"4":{"id":281766,"text":"Upon good cause shown, the Department of Taxation may accept late payment of the premium license tax exclusive of penalties; however, interest shall be paid on such tax as prescribed in this subsection.","type":"section","prefixes":["A","5"],"prefix":"5","entire_prefix":"A5","prefix_anchor":"A5","level":2,"prior_prefix":"A4","next_prefix":"A6"},"5":{"id":281767,"text":"If any person overestimates and overpays the annual taxes, the Department of Taxation shall refund the amount of the overpayment to the person. The overpayment shall be refunded out of the state treasury.","type":"section","prefixes":["A","6"],"prefix":"6","entire_prefix":"A6","prefix_anchor":"A6","level":2,"prior_prefix":"A5","next_prefix":"B"},"6":{"id":281768,"text":"1. Each licensed surplus lines broker or any person required to be licensed as a surplus lines broker whose annual premium license tax liability can reasonably be expected to exceed $1,500 shall file a quarterly tax report with the Department of Taxation. Such report shall be in a form prescribed by the Department of Taxation. This report shall be filed no later than 30 calendar days after the end of each calendar quarter. Notwithstanding any provision to the contrary, each such person shall pay the premium license tax owed for the direct gross premiums adjusted for additional and returned premiums shown by each quarterly tax report when such report is filed with the Department of Taxation.","type":"section","prefixes":["B"],"prefix":"B","entire_prefix":"B","prefix_anchor":"B","level":1,"prior_prefix":"A6","next_prefix":"B2"},"7":{"id":281769,"text":"No surplus lines broker or any person required to be licensed as a surplus lines broker shall be subject to any penalty or interest pursuant to Title 58.1 as a result of the failure to timely file a quarterly tax report or make the related quarterly payment when the report is filed pursuant to subdivision 1.","type":"section","prefixes":["B","2"],"prefix":"2","entire_prefix":"B2","prefix_anchor":"B2","level":2,"prior_prefix":"B","next_prefix":"C"},"8":{"id":281770,"text":"In addition to other penalties provided by law, any licensed surplus lines broker or any person required to be licensed as a surplus lines broker who willfully fails or refuses to pay the full amount of the tax or assessment required by this chapter, either by himself or through his agents or employees, or who makes a false or fraudulent return with intent to evade the tax or assessment hereby levied, or who makes a false or fraudulent claim for refund shall be guilty of a Class 1 misdemeanor.","type":"section","prefixes":["C"],"prefix":"C","entire_prefix":"C","prefix_anchor":"C","level":1,"prior_prefix":"B2","next_prefix":"D"},"9":{"id":281771,"text":"If any licensed surplus lines broker or any person required to be licensed as a surplus lines broker charges and collects from the insured the taxes and assessments required by this section and § 38.2-4809.1, such person shall be a fiduciary to this Commonwealth for any taxes and assessments owed to this Commonwealth under this chapter.","type":"section","prefixes":["D"],"prefix":"D","entire_prefix":"D","prefix_anchor":"D","level":1,"prior_prefix":"C","next_prefix":"E"},"10":{"id":281772,"text":"Notwithstanding the provisions of this section and effective for calendar year 2025 and each calendar year thereafter, any surplus lines broker or any person required to be licensed as a surplus lines broker shall not be subject to the annual taxes, license taxes, penalties, and other provisions of Article 1 (§ 58.1-2500 et seq.) of Chapter 25 of Title 58.1 on any policy of insurance procured by such broker during the preceding calendar year on behalf of a commuter rail system jointly operated by the Northern Virginia Transportation Commission established pursuant to § 33.2-1904 and the Potomac and Rappahannock Transportation District established pursuant to the Transportation District Act (§ 33.2-1900 et seq.).","type":"section","prefixes":["E"],"prefix":"E","entire_prefix":"E","prefix_anchor":"E","level":1,"prior_prefix":"D"}},"ancestry":[{"id":13712,"edition_id":1,"name":"Surplus Lines Insurance Law","identifier":"48","label":"chapter","depth":2,"order_by":1,"parent_id":12698,"metadata":{},"date_created":"2026-06-26 03:45:37","date_modified":"2026-06-26 03:45:37","permalink":{"id":217289,"object_type":"structure","relational_id":13712,"identifier":"48","token":"38.2\/48","url":"\/38.2\/48\/","edition_id":1,"permalink":0,"preferred":1}},{"id":12698,"edition_id":1,"name":"Insurance","identifier":"38.2","label":"title","depth":1,"order_by":1,"parent_id":null,"metadata":{},"date_created":"2026-06-26 03:43:49","date_modified":"2026-06-26 03:43:49","permalink":{"id":210661,"object_type":"structure","relational_id":12698,"identifier":"38.2","token":"38.2","url":"\/38.2\/","edition_id":1,"permalink":0,"preferred":1}}],"structure_contents":[{"id":60794,"structure_id":13712,"section_number":"38.2-4800","catch_line":"Repealed","url":"\/38.2-4800\/","token":"38.2\/48\/38.2-4800","metadata":false},{"id":54697,"structure_id":13712,"section_number":"38.2-4805.1","catch_line":"Application of chapter","url":"\/38.2-4805.1\/","token":"38.2\/48\/38.2-4805.1","metadata":false},{"id":58581,"structure_id":13712,"section_number":"38.2-4805.2","catch_line":"Definitions","url":"\/38.2-4805.2\/","token":"38.2\/48\/38.2-4805.2","metadata":false},{"id":59102,"structure_id":13712,"section_number":"38.2-4806","catch_line":"Notice to insured that insurance is placed with an eligible nonadmitted insurer required","url":"\/38.2-4806\/","token":"38.2\/48\/38.2-4806","metadata":false},{"id":57722,"structure_id":13712,"section_number":"38.2-4807","catch_line":"Licensees to keep records and file annual statement of policies","url":"\/38.2-4807\/","token":"38.2\/48\/38.2-4807","metadata":false},{"id":70999,"structure_id":13712,"section_number":"38.2-4808","catch_line":"Effect of payment to surplus lines broker","url":"\/38.2-4808\/","token":"38.2\/48\/38.2-4808","metadata":false},{"id":78635,"structure_id":13712,"section_number":"38.2-4809","catch_line":"Licensees to pay license taxes on insurers","url":"\/38.2-4809\/","token":"38.2\/48\/38.2-4809","metadata":false},{"id":65701,"structure_id":13712,"section_number":"38.2-4809.1","catch_line":"Licensees to pay assessments on insurers","url":"\/38.2-4809.1\/","token":"38.2\/48\/38.2-4809.1","metadata":false},{"id":62454,"structure_id":13712,"section_number":"38.2-4810","catch_line":"Issuance and delivery of surplus lines policies; prior authority or information required","url":"\/38.2-4810\/","token":"38.2\/48\/38.2-4810","metadata":false},{"id":78847,"structure_id":13712,"section_number":"38.2-4811","catch_line":"Surplus lines coverage to be placed with eligible nonadmitted insurers","url":"\/38.2-4811\/","token":"38.2\/48\/38.2-4811","metadata":false},{"id":64334,"structure_id":13712,"section_number":"38.2-4811.1","catch_line":"Surplus lines coverage placed with domestic surplus lines insurers","url":"\/38.2-4811.1\/","token":"38.2\/48\/38.2-4811.1","metadata":false},{"id":84818,"structure_id":13712,"section_number":"38.2-4812","catch_line":"Surplus lines insurers subject to Unlicensed Insurers Process","url":"\/38.2-4812\/","token":"38.2\/48\/38.2-4812","metadata":false},{"id":80611,"structure_id":13712,"section_number":"38.2-4813","catch_line":"Commission to make rules and regulations","url":"\/38.2-4813\/","token":"38.2\/48\/38.2-4813","metadata":false},{"id":61457,"structure_id":13712,"section_number":"38.2-4814","catch_line":"Penalties","url":"\/38.2-4814\/","token":"38.2\/48\/38.2-4814","metadata":false},{"id":56879,"structure_id":13712,"section_number":"38.2-4815","catch_line":"Effect on other provisions of Title 38.2","url":"\/38.2-4815\/","token":"38.2\/48\/38.2-4815","metadata":false},{"id":74365,"structure_id":13712,"section_number":"38.2-4816","catch_line":"Exchange of information","url":"\/38.2-4816\/","token":"38.2\/48\/38.2-4816","metadata":false}],"previous_section":{"id":70999,"structure_id":13712,"section_number":"38.2-4808","catch_line":"Effect of payment to surplus lines broker","url":"\/38.2-4808\/","token":"38.2\/48\/38.2-4808","metadata":false},"next_section":{"id":65701,"structure_id":13712,"section_number":"38.2-4809.1","catch_line":"Licensees to pay assessments on insurers","url":"\/38.2-4809.1\/","token":"38.2\/48\/38.2-4809.1","metadata":false},"metadata":false,"official_url":"https:\/\/law.lis.virginia.gov\/vacode\/38.2-4809\/","history_text":"

The record of this law\u2019s original creation isn\u2019t available online. It has been modified 10 times. Those modifications are cataloged by \u201cThe Acts of Assembly,\u201d a state publication, by year and chapter. Those modifications that can be read on the General Assembly\u2019s website will be linked accordingly. Those modifications are as follows: in 1960, chapter 503; in 1979, chapter 513; in 1986, chapter 562; in 1987, chapter 519; in 1988, chapter 153; in 2001, chapter 706<\/a>; in 2011, chapters 498<\/a> and 850<\/a>; in 2013, chapters 29<\/a> and 163<\/a>; in 2018, chapter 205<\/a>; in 2025, chapters 124<\/a> and 136<\/a>.<\/p>","references":[{"id":64334,"section_number":"38.2-4811.1","catch_line":"Surplus lines coverage placed with domestic surplus lines insurers","order_by":null,"url":"\/38.2-4811.1\/"}],"refers_to":[{"id":55611,"section_number":"33.2-1900","catch_line":"Declaration of policy","order_by":null,"url":"\/33.2-1900\/"},{"id":57549,"section_number":"33.2-1904","catch_line":"Northern Virginia Transportation District and Commission","order_by":null,"url":"\/33.2-1904\/"},{"id":65701,"section_number":"38.2-4809.1","catch_line":"Licensees to pay assessments on insurers","order_by":null,"url":"\/38.2-4809.1\/"},{"id":77006,"section_number":"58.1-15","catch_line":"Rate of interest","order_by":null,"url":"\/58.1-15\/"},{"id":56221,"section_number":"58.1-2500","catch_line":"Definitions","order_by":null,"url":"\/58.1-2500\/"}],"permalink":{"id":217315,"object_type":"law","relational_id":78635,"identifier":"38.2-4809","token":"38.2\/48\/38.2-4809","url":"\/38.2-4809\/","edition_id":1,"permalink":0,"preferred":1},"url":"\/38.2-4809\/","token":"38.2\/48\/38.2-4809","dublin_core":{"Title":"Licensees to pay license taxes on insurers","Type":"Text","Format":"text\/html","Identifier":"\u00a7 38.2-4809","Relation":"Code of Virginia"},"html":"\n\t\t\t\t\t\t

A.<\/span> 1. Every licensed surplus lines broker<\/span> or any person<\/span> required to be licensed as a surplus lines broker<\/span> shall be subject to the annual taxes, license taxes, penalties, and other provisions of Article 1 (\u00a7 58.1-2500<\/a> et seq.) of Chapter 25 of Title 58.1 on each policy of insurance<\/span> procured by him during the preceding calendar year with an eligible nonadmitted insurer<\/span>. For policies effective on or after July 1, 2011, such payments shall be made based on the direct gross premium income derived from policies for insureds whose home state<\/span> is the Commonwealth. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

2.<\/span> Every surplus lines broker<\/span> or any person<\/span> required to be licensed as a surplus lines broker<\/span> subject to the provisions of this chapter shall, on or before March 1 of 2012 and 2013 report under oath<\/span> to the Commission<\/span>, and on or before March 1 of each year thereafter, report under oath<\/span> to the Department of Taxation, upon the prescribed form, the direct gross premium income derived from policies for insureds whose home state<\/span> is the Commonwealth during the preceding year ending December 31. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

3.<\/span> Every surplus lines broker<\/span> or any person<\/span> required to be licensed as a surplus lines broker<\/span> failing to file the report required by this section shall be fined $50 for each day’s failure to file the report. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

4.<\/span> Upon the failure of any such surplus lines broker<\/span> or any person<\/span> required to be licensed as a surplus lines broker<\/span> to pay the premium license tax within the time required by this section, there shall be added to such tax a penalty<\/span> of 10 percent of the amount of the tax and interest at a rate<\/span> equal to the rate<\/span> of interest established pursuant to § 58.1-15<\/a> for the period between the due date and the date of full payment. The Commission<\/span> or Department of Taxation shall notify the surplus lines broker<\/span> of all additional amounts owed, and the surplus lines broker<\/span> shall pay such amounts within 30 days of the date of the notice. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

5.<\/span> Upon good cause shown, the Department of Taxation may accept late payment of the premium license tax exclusive of penalties; however, interest shall be paid on such tax as prescribed in this subsection. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

6.<\/span> If any person<\/span> overestimates and overpays the annual taxes, the Department of Taxation shall refund the amount of the overpayment to the person<\/span>. The overpayment shall be refunded out of the state treasury. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

B.<\/span> 1. Each licensed surplus lines broker<\/span> or any person<\/span> required to be licensed as a surplus lines broker<\/span> whose annual premium license tax liability can reasonably be expected to exceed $1,500 shall file a quarterly tax report with the Department of Taxation. Such report shall be in a form prescribed by the Department of Taxation. This report shall be filed no later than 30 calendar days after the end of each calendar quarter. Notwithstanding any provision to the contrary, each such person<\/span> shall pay the premium license tax owed for the direct gross premiums adjusted for additional and returned premiums shown by each quarterly tax report when such report is filed with the Department of Taxation. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

2.<\/span> No surplus lines broker<\/span> or any person<\/span> required to be licensed as a surplus lines broker<\/span> shall be subject to any penalty<\/span> or interest pursuant to Title 58.1 as a result of the failure to timely file a quarterly tax report or make the related quarterly payment when the report is filed pursuant to subdivision 1. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

C.<\/span> In addition to other penalties provided by law<\/span>, any licensed surplus lines broker<\/span> or any person<\/span> required to be licensed as a surplus lines broker<\/span> who willfully fails or refuses to pay the full amount of the tax or assessment required by this chapter, either by himself or through his agents or employees, or who makes a false or fraudulent return with intent<\/span> to evade the tax or assessment hereby levied, or who makes a false or fraudulent claim for refund shall be guilty of a Class 1 misdemeanor<\/span>. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

D.<\/span> If any licensed surplus lines broker<\/span> or any person<\/span> required to be licensed as a surplus lines broker<\/span> charges and collects from the insured the taxes and assessments required by this section and § 38.2-4809.1<\/a>, such person<\/span> shall be a fiduciary to this Commonwealth for any taxes and assessments owed to this Commonwealth under this chapter. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

E.<\/span> Notwithstanding the provisions of this section and effective for calendar year 2025 and each calendar year thereafter, any surplus lines broker<\/span> or any person<\/span> required to be licensed as a surplus lines broker<\/span> shall not be subject to the annual taxes, license taxes, penalties, and other provisions of Article 1 (§ 58.1-2500<\/a> et seq.) of Chapter 25 of Title 58.1 on any policy of insurance<\/span> procured by such broker during the preceding calendar year on behalf of a commuter rail system jointly operated by the Northern Virginia Transportation Commission<\/span> established pursuant to § 33.2-1904<\/a> and the Potomac and Rappahannock Transportation District established pursuant to the Transportation District Act (§ 33.2-1900<\/a> et seq.). <\/i><\/a><\/p><\/section>","plain_text":" CODE OF VIRGINIA\n\nLICENSEES TO PAY LICENSE TAXES ON INSURERS (\u00a7 38.2-4809)\n\nA. 1. Every licensed surplus lines broker or any person required to be licensed\nas a surplus lines broker shall be subject to the annual taxes, license taxes,\npenalties, and other provisions of Article 1 (\u00a7 58.1-2500 et seq.) of Chapter\n25 of Title 58.1 on each policy of insurance procured by him during the\npreceding calendar year with an eligible nonadmitted insurer. For policies\neffective on or after July 1, 2011, such payments shall be made based on the\ndirect gross premium income derived from policies for insureds whose home state\nis the Commonwealth.\n\n 2. Every surplus lines broker or any person required to be licensed as a\n surplus lines broker subject to the provisions of this chapter shall, on or\n before March 1 of 2012 and 2013 report under oath to the Commission, and on or\n before March 1 of each year thereafter, report under oath to the Department of\n Taxation, upon the prescribed form, the direct gross premium income derived\n from policies for insureds whose home state is the Commonwealth during the\n preceding year ending December 31.\n\n 3. Every surplus lines broker or any person required to be licensed as a\n surplus lines broker failing to file the report required by this section shall\n be fined $50 for each day’s failure to file the report.\n\n 4. Upon the failure of any such surplus lines broker or any person required to\n be licensed as a surplus lines broker to pay the premium license tax within\n the time required by this section, there shall be added to such tax a penalty\n of 10 percent of the amount of the tax and interest at a rate equal to the\n rate of interest established pursuant to § 58.1-15 for the period between\n the due date and the date of full payment. The Commission or Department of\n Taxation shall notify the surplus lines broker of all additional amounts owed,\n and the surplus lines broker shall pay such amounts within 30 days of the date\n of the notice.\n\n 5. Upon good cause shown, the Department of Taxation may accept late payment\n of the premium license tax exclusive of penalties; however, interest shall be\n paid on such tax as prescribed in this subsection.\n\n 6. If any person overestimates and overpays the annual taxes, the Department\n of Taxation shall refund the amount of the overpayment to the person. The\n overpayment shall be refunded out of the state treasury.\n\nB. 1. Each licensed surplus lines broker or any person required to be licensed\nas a surplus lines broker whose annual premium license tax liability can\nreasonably be expected to exceed $1,500 shall file a quarterly tax report with\nthe Department of Taxation. Such report shall be in a form prescribed by the\nDepartment of Taxation. This report shall be filed no later than 30 calendar\ndays after the end of each calendar quarter. Notwithstanding any provision to\nthe contrary, each such person shall pay the premium license tax owed for the\ndirect gross premiums adjusted for additional and returned premiums shown by\neach quarterly tax report when such report is filed with the Department of\nTaxation.\n\n 2. No surplus lines broker or any person required to be licensed as a surplus\n lines broker shall be subject to any penalty or interest pursuant to Title\n 58.1 as a result of the failure to timely file a quarterly tax report or make\n the related quarterly payment when the report is filed pursuant to subdivision\n 1.\n\nC. In addition to other penalties provided by law, any licensed surplus lines\nbroker or any person required to be licensed as a surplus lines broker who\nwillfully fails or refuses to pay the full amount of the tax or assessment\nrequired by this chapter, either by himself or through his agents or employees,\nor who makes a false or fraudulent return with intent to evade the tax or\nassessment hereby levied, or who makes a false or fraudulent claim for refund\nshall be guilty of a Class 1 misdemeanor.\n\nD. If any licensed surplus lines broker or any person required to be licensed as\na surplus lines broker charges and collects from the insured the taxes and\nassessments required by this section and § 38.2-4809.1, such person shall\nbe a fiduciary to this Commonwealth for any taxes and assessments owed to this\nCommonwealth under this chapter.\n\nE. Notwithstanding the provisions of this section and effective for calendar\nyear 2025 and each calendar year thereafter, any surplus lines broker or any\nperson required to be licensed as a surplus lines broker shall not be subject to\nthe annual taxes, license taxes, penalties, and other provisions of Article 1\n(§ 58.1-2500 et seq.) of Chapter 25 of Title 58.1 on any policy of\ninsurance procured by such broker during the preceding calendar year on behalf\nof a commuter rail system jointly operated by the Northern Virginia\nTransportation Commission established pursuant to § 33.2-1904 and the\nPotomac and Rappahannock Transportation District established pursuant to the\nTransportation District Act (§ 33.2-1900 et seq.).\n\nHISTORY: Code 1950, \u00a7 38.1-314.9; 1960, c. 503; 1979, c. 513, \u00a7 38.1-327.54;\n1986, c. 562; 1987, c. 519; 1988, c. 153; 2001, c. 706; 2011, cc. 498, 850;\n2013, cc. 29, 163; 2018, c. 205; 2025, cc. 124, 136.","edition":{"id":1,"name":"2025","slug":"2025","date_created":"2026-06-21 22:39:22","date_modified":"2026-06-21 22:39:22","current":1,"order_by":1,"last_import":null}}