{"formats":[{"name":"JSON","format":"json","url":"\/downloads\/2025\/code-json\/58.1-1205.json"},{"name":"Plain Text","format":"text","url":"\/downloads\/2025\/code-text\/58.1-1205.txt"},{"name":"XML","format":"xml","url":"\/downloads\/2025\/code-xml\/58.1-1205.xml"},{"name":"HTML","format":"html","url":"\/downloads\/2025\/code-html\/58.1-1205.html"}],"law_id":61811,"edition_id":1,"section_id":61811,"structure_id":13696,"section_number":"58.1-1205","catch_line":"Computation of net capital","history":"Code 1950, \u00a7 58-485.07; 1980, c. 578; 1984, c. 675; 1999, c. 84; 2002, c. 667.","full_text":"The net capital of any bank shall be ascertained by adding together its capital, surplus, undivided profits, and one half of any reserve for loan losses net of applicable deferred tax to obtain gross capital and deducting therefrom (i) the assessed value of real estate as provided in \u00a7 58.1-1206, (ii) the book value of tangible personal property under \u00a7 58.1-1206, (iii) the pro rata share of government obligations as set forth in \u00a7 58.1-1206, (iv) the capital accounts of any bank subsidiaries under \u00a7 58.1-1206, (v) the amount of any reserve for marketable securities valuation which is included in capital, surplus and undivided profits as defined hereinabove to the extent that such reserve reflects the difference between the book value and the market value of such marketable securities on December 31 next preceding the date for filing the bank’s return under \u00a7 58.1-1207, and (vi) the value of goodwill described under subdivision A 5 of \u00a7 58.1-1206.","order_by":null,"text":{"0":{"id":225734,"text":"The net capital of any bank shall be ascertained by adding together its capital, surplus, undivided profits, and one half of any reserve for loan losses net of applicable deferred tax to obtain gross capital and deducting therefrom (i) the assessed value of real estate as provided in \u00a7 58.1-1206, (ii) the book value of tangible personal property under \u00a7 58.1-1206, (iii) the pro rata share of government obligations as set forth in \u00a7 58.1-1206, (iv) the capital accounts of any bank subsidiaries under \u00a7 58.1-1206, (v) the amount of any reserve for marketable securities valuation which is included in capital, surplus and undivided profits as defined hereinabove to the extent that such reserve reflects the difference between the book value and the market value of such marketable securities on December 31 next preceding the date for filing the bank’s return under \u00a7 58.1-1207, and (vi) the value of goodwill described under subdivision A 5 of \u00a7 58.1-1206.","type":"section","prefixes":[""],"prefix":"","entire_prefix":"","prefix_anchor":"","level":1}},"ancestry":[{"id":13696,"edition_id":1,"name":"Bank Franchise Tax","identifier":"12","label":"chapter","depth":3,"order_by":1,"parent_id":12837,"metadata":{},"date_created":"2026-06-26 03:45:35","date_modified":"2026-06-26 03:45:35","permalink":{"id":252449,"object_type":"structure","relational_id":13696,"identifier":"12","token":"58.1\/I\/12","url":"\/58.1\/I\/12\/","edition_id":1,"permalink":0,"preferred":1}},{"id":12837,"edition_id":1,"name":"Taxes Administered by the Department of Taxation","identifier":"I","label":"subtitle","depth":2,"order_by":1,"parent_id":12703,"metadata":{},"date_created":"2026-06-26 03:43:55","date_modified":"2026-06-26 03:43:55","permalink":{"id":252075,"object_type":"structure","relational_id":12837,"identifier":"I","token":"58.1\/I","url":"\/58.1\/I\/","edition_id":1,"permalink":0,"preferred":1}},{"id":12703,"edition_id":1,"name":"Taxation","identifier":"58.1","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":251959,"object_type":"structure","relational_id":12703,"identifier":"58.1","token":"58.1","url":"\/58.1\/","edition_id":1,"permalink":0,"preferred":1}}],"structure_contents":[{"id":54678,"structure_id":13696,"section_number":"58.1-1200","catch_line":"Title","url":"\/58.1-1200\/","token":"58.1\/I\/12\/58.1-1200","metadata":false},{"id":83617,"structure_id":13696,"section_number":"58.1-1201","catch_line":"Definitions","url":"\/58.1-1201\/","token":"58.1\/I\/12\/58.1-1201","metadata":false},{"id":87019,"structure_id":13696,"section_number":"58.1-1202","catch_line":"Bank capital assessable","url":"\/58.1-1202\/","token":"58.1\/I\/12\/58.1-1202","metadata":false},{"id":64855,"structure_id":13696,"section_number":"58.1-1203","catch_line":"Real and leased tangible personal property of banks to be assessed as other real and personal property","url":"\/58.1-1203\/","token":"58.1\/I\/12\/58.1-1203","metadata":false},{"id":62498,"structure_id":13696,"section_number":"58.1-1204","catch_line":"Rate of tax","url":"\/58.1-1204\/","token":"58.1\/I\/12\/58.1-1204","metadata":false},{"id":84538,"structure_id":13696,"section_number":"58.1-1204.1","catch_line":"Proration for new banks","url":"\/58.1-1204.1\/","token":"58.1\/I\/12\/58.1-1204.1","metadata":false},{"id":61811,"structure_id":13696,"section_number":"58.1-1205","catch_line":"Computation of net capital","url":"\/58.1-1205\/","token":"58.1\/I\/12\/58.1-1205","metadata":false},{"id":69371,"structure_id":13696,"section_number":"58.1-1206","catch_line":"(Effective July 1, 2025) Deductions from gross capital","url":"\/58.1-1206\/","token":"58.1\/I\/12\/58.1-1206","metadata":false},{"id":68247,"structure_id":13696,"section_number":"58.1-1207","catch_line":"(Effective July 1, 2025) Filing of return and payment of tax","url":"\/58.1-1207\/","token":"58.1\/I\/12\/58.1-1207","metadata":false},{"id":55757,"structure_id":13696,"section_number":"58.1-1208","catch_line":"City tax","url":"\/58.1-1208\/","token":"58.1\/I\/12\/58.1-1208","metadata":false},{"id":62525,"structure_id":13696,"section_number":"58.1-1209","catch_line":"Town tax","url":"\/58.1-1209\/","token":"58.1\/I\/12\/58.1-1209","metadata":false},{"id":73068,"structure_id":13696,"section_number":"58.1-1210","catch_line":"County tax","url":"\/58.1-1210\/","token":"58.1\/I\/12\/58.1-1210","metadata":false},{"id":68169,"structure_id":13696,"section_number":"58.1-1211","catch_line":"Branch banks","url":"\/58.1-1211\/","token":"58.1\/I\/12\/58.1-1211","metadata":false},{"id":84743,"structure_id":13696,"section_number":"58.1-1212","catch_line":"(Effective July 1, 2025) Record of deposits through branches required","url":"\/58.1-1212\/","token":"58.1\/I\/12\/58.1-1212","metadata":false},{"id":63356,"structure_id":13696,"section_number":"58.1-1213","catch_line":"Credit against state tax for amounts paid cities, towns and counties","url":"\/58.1-1213\/","token":"58.1\/I\/12\/58.1-1213","metadata":false},{"id":78742,"structure_id":13696,"section_number":"58.1-1214","catch_line":"Auditing of returns","url":"\/58.1-1214\/","token":"58.1\/I\/12\/58.1-1214","metadata":false},{"id":81407,"structure_id":13696,"section_number":"58.1-1215","catch_line":"Banks in liquidation","url":"\/58.1-1215\/","token":"58.1\/I\/12\/58.1-1215","metadata":false},{"id":80724,"structure_id":13696,"section_number":"58.1-1216","catch_line":"Penalty upon bank for failure to comply with chapter","url":"\/58.1-1216\/","token":"58.1\/I\/12\/58.1-1216","metadata":false},{"id":61598,"structure_id":13696,"section_number":"58.1-1217","catch_line":"State banks and national banks treated the same in matter of taxation","url":"\/58.1-1217\/","token":"58.1\/I\/12\/58.1-1217","metadata":false}],"previous_section":{"id":84538,"structure_id":13696,"section_number":"58.1-1204.1","catch_line":"Proration for new banks","url":"\/58.1-1204.1\/","token":"58.1\/I\/12\/58.1-1204.1","metadata":false},"next_section":{"id":69371,"structure_id":13696,"section_number":"58.1-1206","catch_line":"(Effective July 1, 2025) Deductions from gross capital","url":"\/58.1-1206\/","token":"58.1\/I\/12\/58.1-1206","metadata":false},"metadata":false,"official_url":"https:\/\/law.lis.virginia.gov\/vacode\/58.1-1205\/","history_text":"

The record of this law\u2019s original creation isn\u2019t available online. It has been modified 4 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 1980, chapter 578; in 1984, chapter 675; in 1999, chapter 84<\/a>; in 2002, chapter 667<\/a>.<\/p>","references":[{"id":87019,"section_number":"58.1-1202","catch_line":"Bank capital assessable","order_by":null,"url":"\/58.1-1202\/"},{"id":69371,"section_number":"58.1-1206","catch_line":"(Effective July 1, 2025) Deductions from gross capital","order_by":null,"url":"\/58.1-1206\/"}],"refers_to":[{"id":69371,"section_number":"58.1-1206","catch_line":"(Effective July 1, 2025) Deductions from gross capital","order_by":null,"url":"\/58.1-1206\/"},{"id":68247,"section_number":"58.1-1207","catch_line":"(Effective July 1, 2025) Filing of return and payment of tax","order_by":null,"url":"\/58.1-1207\/"}],"permalink":{"id":252475,"object_type":"law","relational_id":61811,"identifier":"58.1-1205","token":"58.1\/I\/12\/58.1-1205","url":"\/58.1-1205\/","edition_id":1,"permalink":0,"preferred":1},"url":"\/58.1-1205\/","token":"58.1\/I\/12\/58.1-1205","dublin_core":{"Title":"Computation of net capital","Type":"Text","Format":"text\/html","Identifier":"\u00a7 58.1-1205","Relation":"Code of Virginia"},"html":"\n\t\t\t\t\t\t

The net capital of any bank<\/span> shall be ascertained by adding together its capital, surplus, undivided profits, and one half of any reserve for loan losses net of applicable deferred tax to obtain gross capital and deducting therefrom (i) the assessed value of real estate as provided in \u00a7 58.1-1206<\/a>, (ii) the book value of tangible personal property under \u00a7 58.1-1206<\/a>, (iii) the pro rata share of government obligations as set forth in \u00a7 58.1-1206<\/a>, (iv) the capital accounts of any bank<\/span> subsidiaries under \u00a7 58.1-1206<\/a>, (v) the amount of any reserve for marketable securities valuation which is included in capital, surplus and undivided profits as defined hereinabove to the extent that such reserve reflects the difference between the book value and the market value of such marketable securities on December 31 next preceding the date for filing the bank<\/span>’s return under \u00a7 58.1-1207<\/a>, and (vi) the value of goodwill described under subdivision A 5 of \u00a7 58.1-1206<\/a>.<\/p><\/section>","plain_text":" CODE OF VIRGINIA\n\nCOMPUTATION OF NET CAPITAL (\u00a7 58.1-1205)\n\nThe net capital of any bank shall be ascertained by adding together its capital,\nsurplus, undivided profits, and one half of any reserve for loan losses net of\napplicable deferred tax to obtain gross capital and deducting therefrom (i) the\nassessed value of real estate as provided in \u00a7 58.1-1206, (ii) the book value\nof tangible personal property under \u00a7 58.1-1206, (iii) the pro rata share of\ngovernment obligations as set forth in \u00a7 58.1-1206, (iv) the capital accounts\nof any bank subsidiaries under \u00a7 58.1-1206, (v) the amount of any reserve for\nmarketable securities valuation which is included in capital, surplus and\nundivided profits as defined hereinabove to the extent that such reserve\nreflects the difference between the book value and the market value of such\nmarketable securities on December 31 next preceding the date for filing the\nbank’s return under \u00a7 58.1-1207, and (vi) the value of goodwill described\nunder subdivision A 5 of \u00a7 58.1-1206.\n\nHISTORY: Code 1950, \u00a7 58-485.07; 1980, c. 578; 1984, c. 675; 1999, c. 84; 2002,\nc. 667.","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}}