{"formats":[{"name":"JSON","format":"json","url":"\/downloads\/2025\/code-json\/58.1-2901.json"},{"name":"Plain Text","format":"text","url":"\/downloads\/2025\/code-text\/58.1-2901.txt"},{"name":"XML","format":"xml","url":"\/downloads\/2025\/code-xml\/58.1-2901.xml"},{"name":"HTML","format":"html","url":"\/downloads\/2025\/code-html\/58.1-2901.html"}],"law_id":73128,"edition_id":1,"section_id":73128,"structure_id":15681,"section_number":"58.1-2901","catch_line":"Collection and remittance of tax","history":"1999, c. 971; 2000, cc. 427, 614; 2001, cc. 748, 829, 861; 2002, cc. 339, 502.","full_text":"A\n\nThe provider of billing services shall collect the tax from the consumer by adding it as a separate charge to the consumer’s monthly statement. Until the consumer pays the tax to such provider of billing services, the tax shall constitute a debt of the consumer to the Commonwealth, localities, and the State Corporation Commission. If any consumer receives and pays for electricity but refuses to pay the tax on the bill that is imposed by § 58.1-2900, the provider of billing services shall notify the State Corporation Commission of the name and address of such consumer. If any consumer fails to pay a bill issued by a provider of billing services including the tax that is imposed by § 58.1-2900, the provider of billing services shall follow its normal collection procedures with respect to the charge for electric service and the tax, and upon collection of the bill or any part thereof shall (i) apportion the net amount collected between the charge for electric service and the tax and (ii) remit the tax portion to the State Corporation Commission and the appropriate locality. After the consumer pays the tax to the provider of billing services, the taxes collected shall be deemed to be held in trust by such provider until remitted to the State Corporation Commission and the appropriate locality.\n\t\t\tWhen determining the amount of tax to collect from consumers of an electric utility that is a cooperative which purchases, for the purpose of resale within the Commonwealth, electricity from a federal entity that made payments during such taxable period to the Commonwealth in lieu of taxes in accordance with a federal law requiring such payments to be calculated on the basis of such federal entity’s gross proceeds from the sale of electricity, the provider of billing services shall deduct from each of the respective tax amounts calculated in accordance with § 58.1-2900 an amount equal to the calculated tax amounts multiplied by the ratio that the total cost of the power, including facilities rental, supplied by said federal entity to said cooperative for resale within the Commonwealth bears to said cooperative’s total operating revenue within the Commonwealth for the taxable period. The State Corporation Commission may audit the records and books of said cooperative to verify that the tax imposed by this chapter has been correctly determined and properly remitted.B\n\nA provider of billing services shall remit monthly to the Commission the amount of tax paid during the preceding month by the provider of billing services’ consumers, except for (i) amounts added on the bills to utilities owned and operated by municipalities which are collected by the entity providing transmission directly to such utilities (or an association or agency of which the municipality is a member), which they shall remit directly to the Commission and (ii) the portion which represents the local consumption tax, which portion shall be remitted to the locality in which the electricity was consumed and shall be based on such locality’s license fee rate which it imposed. Amounts of the tax that are added on the bills to utilities owned and operated by municipalities, which are collected by the entity providing transmission directly to such utilities (or an association or agency of which the municipality is a member), shall be remitted monthly by such entity to the Commission, except that the portion which represents the local consumption tax shall be remitted to the locality in which the electricity was consumed and shall be based on such locality’s license fee rate which it imposed.C\n\nThe electric utility consumption tax shall be remitted monthly, on or before the last day of the succeeding month of collection. Those portions of the electric utility consumption tax that relate to the state consumption tax and the special regulatory tax shall be remitted to the Commission; the portion that relates to the local consumption tax shall be remitted to the localities. Failure to remit timely will result in a ten percent penalty.D\n\nTaxes on electricity sales in the year ending December 31, 2000, relating to the local license tax, shall be paid in accordance with § 58.1-3731. Monthly payments in accordance with subsection C shall commence on February 28, 2001.E\n\nFor purposes of this section, “service provider” means the person who delivers electricity to the consumer and “provider of billing services” means the person who bills a consumer for electric services rendered. If both the service provider and another person separately and directly bill a consumer for electricity service, then the service provider shall be considered the “provider of billing services.”F\n\nThe portion of the electric utility consumption tax relating to the local consumption tax replaces and precludes localities from imposing a license tax in accordance with § 58.1-3731 and the business, professional, occupation and license tax in accordance with Chapter 37 (§ 58.1-3700 et seq.) on electric suppliers subsequent to December 31, 2000, except as provided in subsection D. If the license fee rate imposed by a locality is less than the equivalent of the local consumption tax rate component of the consumption tax paid under subsection A of § 58.1-2900, the excess collected by the Commission shall constitute additional state consumption tax revenue and shall be remitted by the Commission to the state treasury. However, effective January 1, 2003, any locality that failed to comply with the requirements of this subsection by December 31, 2000, regarding the local license tax, shall receive the revenues generated on or after January 1, 2003, by the local consumption tax component paid under subsection A by the citizens of such locality. Such locality shall be entitled to the maximum amount as if the locality had imposed the license tax, in accordance with the provisions of § 58.1-3731 at the maximum rate allowed, provided that the governing body of such locality adopts an ordinance electing to receive such amounts.G\n\nThe Department of Taxation may audit the books and records of any electric utility owned and operated by a municipality (or an association or agency of which the municipality is a member) to verify that the tax imposed by this chapter has been correctly determined and properly remitted to the Commission.H\n\nThe State Corporation Commission may audit the books and records of any service provider or provider of billing services, except as provided in subsection G, to verify that the tax imposed by this chapter has been correctly determined and properly remitted to the Commission.","order_by":null,"text":{"0":{"id":263320,"text":"The provider of billing services shall collect the tax from the consumer by adding it as a separate charge to the consumer’s monthly statement. Until the consumer pays the tax to such provider of billing services, the tax shall constitute a debt of the consumer to the Commonwealth, localities, and the State Corporation Commission. If any consumer receives and pays for electricity but refuses to pay the tax on the bill that is imposed by § 58.1-2900, the provider of billing services shall notify the State Corporation Commission of the name and address of such consumer. If any consumer fails to pay a bill issued by a provider of billing services including the tax that is imposed by § 58.1-2900, the provider of billing services shall follow its normal collection procedures with respect to the charge for electric service and the tax, and upon collection of the bill or any part thereof shall (i) apportion the net amount collected between the charge for electric service and the tax and (ii) remit the tax portion to the State Corporation Commission and the appropriate locality. After the consumer pays the tax to the provider of billing services, the taxes collected shall be deemed to be held in trust by such provider until remitted to the State Corporation Commission and the appropriate locality.\n\t\t\tWhen determining the amount of tax to collect from consumers of an electric utility that is a cooperative which purchases, for the purpose of resale within the Commonwealth, electricity from a federal entity that made payments during such taxable period to the Commonwealth in lieu of taxes in accordance with a federal law requiring such payments to be calculated on the basis of such federal entity’s gross proceeds from the sale of electricity, the provider of billing services shall deduct from each of the respective tax amounts calculated in accordance with § 58.1-2900 an amount equal to the calculated tax amounts multiplied by the ratio that the total cost of the power, including facilities rental, supplied by said federal entity to said cooperative for resale within the Commonwealth bears to said cooperative’s total operating revenue within the Commonwealth for the taxable period. The State Corporation Commission may audit the records and books of said cooperative to verify that the tax imposed by this chapter has been correctly determined and properly remitted.","type":"section","prefixes":["A"],"prefix":"A","entire_prefix":"A","prefix_anchor":"A","level":1,"next_prefix":"B"},"1":{"id":263321,"text":"A provider of billing services shall remit monthly to the Commission the amount of tax paid during the preceding month by the provider of billing services’ consumers, except for (i) amounts added on the bills to utilities owned and operated by municipalities which are collected by the entity providing transmission directly to such utilities (or an association or agency of which the municipality is a member), which they shall remit directly to the Commission and (ii) the portion which represents the local consumption tax, which portion shall be remitted to the locality in which the electricity was consumed and shall be based on such locality’s license fee rate which it imposed. Amounts of the tax that are added on the bills to utilities owned and operated by municipalities, which are collected by the entity providing transmission directly to such utilities (or an association or agency of which the municipality is a member), shall be remitted monthly by such entity to the Commission, except that the portion which represents the local consumption tax shall be remitted to the locality in which the electricity was consumed and shall be based on such locality’s license fee rate which it imposed.","type":"section","prefixes":["B"],"prefix":"B","entire_prefix":"B","prefix_anchor":"B","level":1,"prior_prefix":"A","next_prefix":"C"},"2":{"id":263322,"text":"The electric utility consumption tax shall be remitted monthly, on or before the last day of the succeeding month of collection. Those portions of the electric utility consumption tax that relate to the state consumption tax and the special regulatory tax shall be remitted to the Commission; the portion that relates to the local consumption tax shall be remitted to the localities. Failure to remit timely will result in a ten percent penalty.","type":"section","prefixes":["C"],"prefix":"C","entire_prefix":"C","prefix_anchor":"C","level":1,"prior_prefix":"B","next_prefix":"D"},"3":{"id":263323,"text":"Taxes on electricity sales in the year ending December 31, 2000, relating to the local license tax, shall be paid in accordance with § 58.1-3731. Monthly payments in accordance with subsection C shall commence on February 28, 2001.","type":"section","prefixes":["D"],"prefix":"D","entire_prefix":"D","prefix_anchor":"D","level":1,"prior_prefix":"C","next_prefix":"E"},"4":{"id":263324,"text":"For purposes of this section, “service provider” means the person who delivers electricity to the consumer and “provider of billing services” means the person who bills a consumer for electric services rendered. If both the service provider and another person separately and directly bill a consumer for electricity service, then the service provider shall be considered the “provider of billing services.”","type":"section","prefixes":["E"],"prefix":"E","entire_prefix":"E","prefix_anchor":"E","level":1,"prior_prefix":"D","next_prefix":"F"},"5":{"id":263325,"text":"The portion of the electric utility consumption tax relating to the local consumption tax replaces and precludes localities from imposing a license tax in accordance with § 58.1-3731 and the business, professional, occupation and license tax in accordance with Chapter 37 (§ 58.1-3700 et seq.) on electric suppliers subsequent to December 31, 2000, except as provided in subsection D. If the license fee rate imposed by a locality is less than the equivalent of the local consumption tax rate component of the consumption tax paid under subsection A of § 58.1-2900, the excess collected by the Commission shall constitute additional state consumption tax revenue and shall be remitted by the Commission to the state treasury. However, effective January 1, 2003, any locality that failed to comply with the requirements of this subsection by December 31, 2000, regarding the local license tax, shall receive the revenues generated on or after January 1, 2003, by the local consumption tax component paid under subsection A by the citizens of such locality. Such locality shall be entitled to the maximum amount as if the locality had imposed the license tax, in accordance with the provisions of § 58.1-3731 at the maximum rate allowed, provided that the governing body of such locality adopts an ordinance electing to receive such amounts.","type":"section","prefixes":["F"],"prefix":"F","entire_prefix":"F","prefix_anchor":"F","level":1,"prior_prefix":"E","next_prefix":"G"},"6":{"id":263326,"text":"The Department of Taxation may audit the books and records of any electric utility owned and operated by a municipality (or an association or agency of which the municipality is a member) to verify that the tax imposed by this chapter has been correctly determined and properly remitted to the Commission.","type":"section","prefixes":["G"],"prefix":"G","entire_prefix":"G","prefix_anchor":"G","level":1,"prior_prefix":"F","next_prefix":"H"},"7":{"id":263327,"text":"The State Corporation Commission may audit the books and records of any service provider or provider of billing services, except as provided in subsection G, to verify that the tax imposed by this chapter has been correctly determined and properly remitted to the Commission.","type":"section","prefixes":["H"],"prefix":"H","entire_prefix":"H","prefix_anchor":"H","level":1,"prior_prefix":"G"}},"ancestry":[{"id":15681,"edition_id":1,"name":"Electric Utility Consumption Tax","identifier":"29","label":"chapter","depth":3,"order_by":1,"parent_id":12730,"metadata":{},"date_created":"2026-06-26 03:57:49","date_modified":"2026-06-26 03:57:49","permalink":{"id":256423,"object_type":"structure","relational_id":15681,"identifier":"29","token":"58.1\/II\/29","url":"\/58.1\/II\/29\/","edition_id":1,"permalink":0,"preferred":1}},{"id":12730,"edition_id":1,"name":"Taxes Administered by Other Agencies","identifier":"II","label":"subtitle","depth":2,"order_by":1,"parent_id":12703,"metadata":{},"date_created":"2026-06-26 03:43:50","date_modified":"2026-06-26 03:43:50","permalink":{"id":255261,"object_type":"structure","relational_id":12730,"identifier":"II","token":"58.1\/II","url":"\/58.1\/II\/","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":85671,"structure_id":15681,"section_number":"58.1-2900","catch_line":"Imposition of tax","url":"\/58.1-2900\/","token":"58.1\/II\/29\/58.1-2900","metadata":false},{"id":73128,"structure_id":15681,"section_number":"58.1-2901","catch_line":"Collection and remittance of tax","url":"\/58.1-2901\/","token":"58.1\/II\/29\/58.1-2901","metadata":false},{"id":74081,"structure_id":15681,"section_number":"58.1-2902","catch_line":"Electric utility consumption tax relating to the special regulatory tax; when not assessed or assessed only in part","url":"\/58.1-2902\/","token":"58.1\/II\/29\/58.1-2902","metadata":false},{"id":60028,"structure_id":15681,"section_number":"58.1-2903","catch_line":"Use of electric utility consumption tax relating to special regulatory tax","url":"\/58.1-2903\/","token":"58.1\/II\/29\/58.1-2903","metadata":false}],"previous_section":{"id":85671,"structure_id":15681,"section_number":"58.1-2900","catch_line":"Imposition of tax","url":"\/58.1-2900\/","token":"58.1\/II\/29\/58.1-2900","metadata":false},"next_section":{"id":74081,"structure_id":15681,"section_number":"58.1-2902","catch_line":"Electric utility consumption tax relating to the special regulatory tax; when not assessed or assessed only in part","url":"\/58.1-2902\/","token":"58.1\/II\/29\/58.1-2902","metadata":false},"metadata":false,"official_url":"https:\/\/law.lis.virginia.gov\/vacode\/58.1-2901\/","history_text":"

This law was first created in 1999. The record of its establishment is cataloged in chapter 971<\/a> of that year\u2019s edition of \u201cActs of Assembly,\u201d the annual state publication listing all changes made to the Code of Virginia in that year. It has been modified 3 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 2000, chapters 427<\/a> and 614<\/a>; in 2001, chapters 748<\/a>, 829<\/a>, and 861<\/a>; in 2002, chapters 339<\/a> and 502<\/a>.<\/p>","references":[{"id":85671,"section_number":"58.1-2900","catch_line":"Imposition of tax","order_by":null,"url":"\/58.1-2900\/"},{"id":74081,"section_number":"58.1-2902","catch_line":"Electric utility consumption tax relating to the special regulatory tax; when not assessed or assessed only in part","order_by":null,"url":"\/58.1-2902\/"},{"id":54294,"section_number":"58.1-3731","catch_line":"Certain public service corporations; rate limitation","order_by":null,"url":"\/58.1-3731\/"},{"id":60760,"section_number":"58.1-3814","catch_line":"Water or heat, light and power companies","order_by":null,"url":"\/58.1-3814\/"},{"id":79891,"section_number":"58.1-400.3","catch_line":"Minimum tax on certain electric suppliers","order_by":null,"url":"\/58.1-400.3\/"}],"refers_to":[{"id":85671,"section_number":"58.1-2900","catch_line":"Imposition of tax","order_by":null,"url":"\/58.1-2900\/"},{"id":71581,"section_number":"58.1-3700","catch_line":"License requirement; requiring evidence of payment of business license, business personal property, meals and admissions taxes","order_by":null,"url":"\/58.1-3700\/"},{"id":54294,"section_number":"58.1-3731","catch_line":"Certain public service corporations; rate limitation","order_by":null,"url":"\/58.1-3731\/"}],"permalink":{"id":256429,"object_type":"law","relational_id":73128,"identifier":"58.1-2901","token":"58.1\/II\/29\/58.1-2901","url":"\/58.1-2901\/","edition_id":1,"permalink":0,"preferred":1},"url":"\/58.1-2901\/","token":"58.1\/II\/29\/58.1-2901","dublin_core":{"Title":"Collection and remittance of tax","Type":"Text","Format":"text\/html","Identifier":"\u00a7 58.1-2901","Relation":"Code of Virginia"},"html":"\n\t\t\t\t\t\t

A.<\/span> The provider of billing services<\/span> shall collect the tax from the consumer by adding it as a separate charge to the consumer’s monthly statement. Until the consumer pays the tax to such provider of billing services<\/span>, the tax shall constitute a debt of the consumer to the Commonwealth, localities, and the State Corporation Commission. If any consumer receives and pays for electricity but refuses to pay the tax on the bill that is imposed by § 58.1-2900<\/a>, the provider of billing services<\/span> shall notify the State Corporation Commission of the name and address of such consumer. If any consumer fails to pay a bill issued by a provider of billing services<\/span> including the tax that is imposed by § 58.1-2900<\/a>, the provider of billing services<\/span> shall follow its normal collection procedures with respect to the charge for electric service and the tax, and upon collection of the bill or any part thereof shall (i) apportion the net amount collected between the charge for electric service and the tax and (ii) remit the tax portion to the State Corporation Commission and the appropriate locality. After the consumer pays the tax to the provider of billing services<\/span>, the taxes collected shall be deemed to be held in trust by such provider until remitted to the State Corporation Commission and the appropriate locality.\n\t\t\tWhen determining the amount of tax to collect from consumers of an electric utility that is a cooperative which purchases, for the purpose of resale within the Commonwealth, electricity from a federal entity that made payments during such taxable period to the Commonwealth in lieu of taxes in accordance with a federal law<\/span> requiring such payments to be calculated on the basis of such federal entity’s gross proceeds from the sale of electricity, the provider of billing services<\/span> shall deduct from each of the respective tax amounts calculated in accordance with § 58.1-2900<\/a> an amount equal to the calculated tax amounts multiplied by the ratio that the total cost of the power, including facilities rental, supplied by said federal entity to said cooperative for resale within the Commonwealth bears to said cooperative’s total operating revenue within the Commonwealth for the taxable period. The State Corporation Commission may audit the records and books of said cooperative to verify that the tax imposed by this chapter has been correctly determined and properly remitted. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

B.<\/span> A provider of billing services<\/span> shall remit monthly to the Commission the amount of tax paid during the preceding month by the provider of billing services<\/span>’ consumers, except for (i) amounts added on the bills to utilities owned and operated by municipalities which are collected by the entity providing transmission directly to such utilities (or an association or agency of which the municipality is a member), which they shall remit directly to the Commission and (ii) the portion which represents the local consumption tax, which portion shall be remitted to the locality in which the electricity was consumed and shall be based on such locality’s license fee rate which it imposed. Amounts of the tax that are added on the bills to utilities owned and operated by municipalities, which are collected by the entity providing transmission directly to such utilities (or an association or agency of which the municipality is a member), shall be remitted monthly by such entity to the Commission, except that the portion which represents the local consumption tax shall be remitted to the locality in which the electricity was consumed and shall be based on such locality’s license fee rate which it imposed. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

C.<\/span> The electric utility consumption tax shall be remitted monthly, on or before the last day of the succeeding month of collection. Those portions of the electric utility consumption tax that relate to the state consumption tax and the special regulatory tax shall be remitted to the Commission; the portion that relates to the local consumption tax shall be remitted to the localities. Failure to remit timely will result in a ten percent penalty<\/span>. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

D.<\/span> Taxes on electricity sales in the year ending December 31, 2000, relating to the local license tax, shall be paid in accordance with § 58.1-3731<\/a>. Monthly payments in accordance with subsection C shall commence on February 28, 2001. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

E.<\/span> For purposes of this section, “service provider<\/span>” means the person who delivers electricity to the consumer and “provider of billing services<\/span>” means the person who bills a consumer for electric services rendered. If both the service provider<\/span> and another person separately and directly bill a consumer for electricity service, then the service provider<\/span> shall be considered the “provider of billing services<\/span>.” <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

F.<\/span> The portion of the electric utility consumption tax relating to the local consumption tax replaces and precludes localities from imposing a license tax in accordance with § 58.1-3731<\/a> and the business, professional, occupation and license tax in accordance with Chapter 37 (§ 58.1-3700<\/a> et seq.) on electric suppliers subsequent to December 31, 2000, except as provided in subsection D. If the license fee rate imposed by a locality is less than the equivalent of the local consumption tax rate component of the consumption tax paid under subsection A of § 58.1-2900<\/a>, the excess collected by the Commission shall constitute additional state consumption tax revenue and shall be remitted by the Commission to the state treasury. However, effective January 1, 2003, any locality that failed to comply with the requirements of this subsection by December 31, 2000, regarding the local license tax, shall receive the revenues generated on or after January 1, 2003, by the local consumption tax component paid under subsection A by the citizens of such locality. Such locality shall be entitled to the maximum amount as if the locality had imposed the license tax, in accordance with the provisions of § 58.1-3731<\/a> at the maximum rate allowed, provided that the governing body of such locality adopts an ordinance<\/span> electing to receive such amounts. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

G.<\/span> The Department<\/span> of Taxation may audit the books and records of any electric utility owned and operated by a municipality (or an association or agency of which the municipality is a member) to verify that the tax imposed by this chapter has been correctly determined and properly remitted to the Commission. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

H.<\/span> The State Corporation Commission may audit the books and records of any service provider<\/span> or provider of billing services<\/span>, except as provided in subsection G, to verify that the tax imposed by this chapter has been correctly determined and properly remitted to the Commission. <\/i><\/a><\/p><\/section>","plain_text":" CODE OF VIRGINIA\n\nCOLLECTION AND REMITTANCE OF TAX (\u00a7 58.1-2901)\n\nA. The provider of billing services shall collect the tax from the consumer by\nadding it as a separate charge to the consumer’s monthly statement. Until\nthe consumer pays the tax to such provider of billing services, the tax shall\nconstitute a debt of the consumer to the Commonwealth, localities, and the State\nCorporation Commission. If any consumer receives and pays for electricity but\nrefuses to pay the tax on the bill that is imposed by § 58.1-2900, the\nprovider of billing services shall notify the State Corporation Commission of\nthe name and address of such consumer. If any consumer fails to pay a bill\nissued by a provider of billing services including the tax that is imposed by\n§ 58.1-2900, the provider of billing services shall follow its normal\ncollection procedures with respect to the charge for electric service and the\ntax, and upon collection of the bill or any part thereof shall (i) apportion the\nnet amount collected between the charge for electric service and the tax and\n(ii) remit the tax portion to the State Corporation Commission and the\nappropriate locality. After the consumer pays the tax to the provider of billing\nservices, the taxes collected shall be deemed to be held in trust by such\nprovider until remitted to the State Corporation Commission and the appropriate\nlocality.\n\t\t\tWhen determining the amount of tax to collect from consumers of an electric\nutility that is a cooperative which purchases, for the purpose of resale within\nthe Commonwealth, electricity from a federal entity that made payments during\nsuch taxable period to the Commonwealth in lieu of taxes in accordance with a\nfederal law requiring such payments to be calculated on the basis of such\nfederal entity’s gross proceeds from the sale of electricity, the provider\nof billing services shall deduct from each of the respective tax amounts\ncalculated in accordance with § 58.1-2900 an amount equal to the calculated\ntax amounts multiplied by the ratio that the total cost of the power, including\nfacilities rental, supplied by said federal entity to said cooperative for\nresale within the Commonwealth bears to said cooperative’s total operating\nrevenue within the Commonwealth for the taxable period. The State Corporation\nCommission may audit the records and books of said cooperative to verify that\nthe tax imposed by this chapter has been correctly determined and properly\nremitted.\n\nB. A provider of billing services shall remit monthly to the Commission the\namount of tax paid during the preceding month by the provider of billing\nservices’ consumers, except for (i) amounts added on the bills to\nutilities owned and operated by municipalities which are collected by the entity\nproviding transmission directly to such utilities (or an association or agency\nof which the municipality is a member), which they shall remit directly to the\nCommission and (ii) the portion which represents the local consumption tax,\nwhich portion shall be remitted to the locality in which the electricity was\nconsumed and shall be based on such locality’s license fee rate which it\nimposed. Amounts of the tax that are added on the bills to utilities owned and\noperated by municipalities, which are collected by the entity providing\ntransmission directly to such utilities (or an association or agency of which\nthe municipality is a member), shall be remitted monthly by such entity to the\nCommission, except that the portion which represents the local consumption tax\nshall be remitted to the locality in which the electricity was consumed and\nshall be based on such locality’s license fee rate which it imposed.\n\nC. The electric utility consumption tax shall be remitted monthly, on or before\nthe last day of the succeeding month of collection. Those portions of the\nelectric utility consumption tax that relate to the state consumption tax and\nthe special regulatory tax shall be remitted to the Commission; the portion that\nrelates to the local consumption tax shall be remitted to the localities.\nFailure to remit timely will result in a ten percent penalty.\n\nD. Taxes on electricity sales in the year ending December 31, 2000, relating to\nthe local license tax, shall be paid in accordance with § 58.1-3731.\nMonthly payments in accordance with subsection C shall commence on February 28,\n2001.\n\nE. For purposes of this section, “service provider” means the person\nwho delivers electricity to the consumer and “provider of billing\nservices” means the person who bills a consumer for electric services\nrendered. If both the service provider and another person separately and\ndirectly bill a consumer for electricity service, then the service provider\nshall be considered the “provider of billing services.”\n\nF. The portion of the electric utility consumption tax relating to the local\nconsumption tax replaces and precludes localities from imposing a license tax in\naccordance with § 58.1-3731 and the business, professional, occupation and\nlicense tax in accordance with Chapter 37 (§ 58.1-3700 et seq.) on electric\nsuppliers subsequent to December 31, 2000, except as provided in subsection D.\nIf the license fee rate imposed by a locality is less than the equivalent of the\nlocal consumption tax rate component of the consumption tax paid under\nsubsection A of § 58.1-2900, the excess collected by the Commission shall\nconstitute additional state consumption tax revenue and shall be remitted by the\nCommission to the state treasury. However, effective January 1, 2003, any\nlocality that failed to comply with the requirements of this subsection by\nDecember 31, 2000, regarding the local license tax, shall receive the revenues\ngenerated on or after January 1, 2003, by the local consumption tax component\npaid under subsection A by the citizens of such locality. Such locality shall be\nentitled to the maximum amount as if the locality had imposed the license tax,\nin accordance with the provisions of § 58.1-3731 at the maximum rate\nallowed, provided that the governing body of such locality adopts an ordinance\nelecting to receive such amounts.\n\nG. The Department of Taxation may audit the books and records of any electric\nutility owned and operated by a municipality (or an association or agency of\nwhich the municipality is a member) to verify that the tax imposed by this\nchapter has been correctly determined and properly remitted to the Commission.\n\nH. The State Corporation Commission may audit the books and records of any\nservice provider or provider of billing services, except as provided in\nsubsection G, to verify that the tax imposed by this chapter has been correctly\ndetermined and properly remitted to the Commission.\n\nHISTORY: 1999, c. 971; 2000, cc. 427, 614; 2001, cc. 748, 829, 861; 2002, cc.\n339, 502.","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}}