{"formats":[{"name":"JSON","format":"json","url":"\/downloads\/2025\/code-json\/58.1-3510.json"},{"name":"Plain Text","format":"text","url":"\/downloads\/2025\/code-text\/58.1-3510.txt"},{"name":"XML","format":"xml","url":"\/downloads\/2025\/code-xml\/58.1-3510.xml"},{"name":"HTML","format":"html","url":"\/downloads\/2025\/code-html\/58.1-3510.html"}],"law_id":61304,"edition_id":1,"section_id":61304,"structure_id":15117,"section_number":"58.1-3510","catch_line":"Definition of merchants’ capital","history":"Code 1950, \u00a7\u00a7 58-266.1, 58-833; 1950, p. 155; 1956, c. 242; 1964, cc. 424, 472; 1968, c. 619; 1970, cc. 231, 547; 1974, cc. 196, 438; 1975, cc. 23, 621; 1976, cc. 521, 719; 1977, cc. 56, 320; 1978, cc. 772, 799, 817; 1979, cc. 565, 568, 570; 1980, cc. 318, 736; 1981, cc. 145, 419, 636; 1982, cc. 348, 548, 552, 554, 558, 633; 1983, cc. 544, 554; 1984, cc. 247, 675, 695; 1987, cc. 572, 591; 1989, c. 589; 1990, c. 151; 1997, c. 853; 2009, cc. 480, 692; 2011, cc. 405, 639.","full_text":"A\n\nMerchants’ capital is defined as follows: Inventory of stock on hand; daily rental vehicles as defined in § 58.1-1735; and all other taxable personal property of any kind whatsoever, except money on hand and on deposit and except tangible personal property not offered for sale as merchandise, which tangible personal property shall be reported and assessed as such.B\n\nFor purposes of this section, a repair and service operation (i) carried on as an integral part of and in conjunction with a business that is primarily mercantile and (ii) the principal sales of such business are subject to the tax imposed by Article 9 (§ 58.1-1734 et seq.) of Chapter 17 or to the tax imposed by Chapter 24 (§ 58.1-2400 et seq.) of this title shall be deemed a mercantile business, and all capital, as defined herein, including all repair parts, materials and supplies associated with such repair and service operation shall be deemed merchants’ capital.C\n\nFor purposes of valuing lottery tickets as part of a dealer’s inventory, cost shall include only the compensation payable to a licensed sales agent as provided by rules or regulations adopted by the Board consistent with the provisions of subdivision 11 of subsection A of § 58.1-4007. The value of lottery tickets shall not be based on the cost of the tickets to the merchant.","order_by":null,"text":{"0":{"id":223983,"text":"Merchants’ capital is defined as follows: Inventory of stock on hand; daily rental vehicles as defined in § 58.1-1735; and all other taxable personal property of any kind whatsoever, except money on hand and on deposit and except tangible personal property not offered for sale as merchandise, which tangible personal property shall be reported and assessed as such.","type":"section","prefixes":["A"],"prefix":"A","entire_prefix":"A","prefix_anchor":"A","level":1,"next_prefix":"B"},"1":{"id":223984,"text":"For purposes of this section, a repair and service operation (i) carried on as an integral part of and in conjunction with a business that is primarily mercantile and (ii) the principal sales of such business are subject to the tax imposed by Article 9 (§ 58.1-1734 et seq.) of Chapter 17 or to the tax imposed by Chapter 24 (§ 58.1-2400 et seq.) of this title shall be deemed a mercantile business, and all capital, as defined herein, including all repair parts, materials and supplies associated with such repair and service operation shall be deemed merchants’ capital.","type":"section","prefixes":["B"],"prefix":"B","entire_prefix":"B","prefix_anchor":"B","level":1,"prior_prefix":"A","next_prefix":"C"},"2":{"id":223985,"text":"For purposes of valuing lottery tickets as part of a dealer’s inventory, cost shall include only the compensation payable to a licensed sales agent as provided by rules or regulations adopted by the Board consistent with the provisions of subdivision 11 of subsection A of § 58.1-4007. The value of lottery tickets shall not be based on the cost of the tickets to the merchant.","type":"section","prefixes":["C"],"prefix":"C","entire_prefix":"C","prefix_anchor":"C","level":1,"prior_prefix":"B"}},"ancestry":[{"id":15117,"edition_id":1,"name":"Merchants' Capital Tax","identifier":"3","label":"article","depth":4,"order_by":1,"parent_id":14766,"metadata":{},"date_created":"2026-06-26 03:52:16","date_modified":"2026-06-26 03:52:16","permalink":{"id":257833,"object_type":"structure","relational_id":15117,"identifier":"3","token":"58.1\/III\/35\/3","url":"\/58.1\/III\/35\/3\/","edition_id":1,"permalink":0,"preferred":1}},{"id":14766,"edition_id":1,"name":"Tangible Personal Property, Machinery and Tools and Merchants' Capital","identifier":"35","label":"chapter","depth":3,"order_by":1,"parent_id":12704,"metadata":{},"date_created":"2026-06-26 03:49:48","date_modified":"2026-06-26 03:49:48","permalink":{"id":257733,"object_type":"structure","relational_id":14766,"identifier":"35","token":"58.1\/III\/35","url":"\/58.1\/III\/35\/","edition_id":1,"permalink":0,"preferred":1}},{"id":12704,"edition_id":1,"name":"Local Taxes","identifier":"III","label":"subtitle","depth":2,"order_by":1,"parent_id":12703,"metadata":{},"date_created":"2026-06-26 03:43:49","date_modified":"2026-06-26 03:43:49","permalink":{"id":256459,"object_type":"structure","relational_id":12704,"identifier":"III","token":"58.1\/III","url":"\/58.1\/III\/","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":57594,"structure_id":15117,"section_number":"58.1-3509","catch_line":"Merchants' capital subject to local taxation; rate limit","url":"\/58.1-3509\/","token":"58.1\/III\/35\/3\/58.1-3509","metadata":false},{"id":61304,"structure_id":15117,"section_number":"58.1-3510","catch_line":"Definition of merchants' capital","url":"\/58.1-3510\/","token":"58.1\/III\/35\/3\/58.1-3510","metadata":false},{"id":73746,"structure_id":15117,"section_number":"58.1-3510.01","catch_line":"Separate classification of merchants' capital of pharmaceutical wholesalers","url":"\/58.1-3510.01\/","token":"58.1\/III\/35\/3\/58.1-3510.01","metadata":false},{"id":75558,"structure_id":15117,"section_number":"58.1-3510.02","catch_line":"Separate classification of certain merchants' capital of wholesalers and retailers","url":"\/58.1-3510.02\/","token":"58.1\/III\/35\/3\/58.1-3510.02","metadata":false},{"id":58661,"structure_id":15117,"section_number":"58.1-3510.1","catch_line":"Repealed","url":"\/58.1-3510.1\/","token":"58.1\/III\/35\/3\/58.1-3510.1","metadata":false}],"previous_section":{"id":57594,"structure_id":15117,"section_number":"58.1-3509","catch_line":"Merchants' capital subject to local taxation; rate limit","url":"\/58.1-3509\/","token":"58.1\/III\/35\/3\/58.1-3509","metadata":false},"next_section":{"id":73746,"structure_id":15117,"section_number":"58.1-3510.01","catch_line":"Separate classification of merchants' capital of pharmaceutical wholesalers","url":"\/58.1-3510.01\/","token":"58.1\/III\/35\/3\/58.1-3510.01","metadata":false},"metadata":false,"official_url":"https:\/\/law.lis.virginia.gov\/vacode\/58.1-3510\/","history_text":"

The record of this law\u2019s original creation isn\u2019t available online. It has been modified 21 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 1956, chapter 242; in 1964, chapters 424 and 472; in 1968, chapter 619; in 1970, chapters 231 and 547; in 1974, chapters 196 and 438; in 1975, chapters 23 and 621; in 1976, chapters 521 and 719; in 1977, chapters 56 and 320; in 1978, chapters 772, 799, and 817; in 1979, chapters 565, 568, and 570; in 1980, chapters 318 and 736; in 1981, chapters 145, 419, and 636; in 1982, chapters 348, 548, 552, 554, 558, and 633; in 1983, chapters 544 and 554; in 1984, chapters 247, 675, and 695; in 1987, chapters 572 and 591; in 1989, chapter 589; in 1990, chapter 151; in 1997, chapter 853<\/a>; in 2009, chapters 480<\/a> and 692<\/a>; in 2011, chapters 405<\/a> and 639<\/a>.<\/p>","references":[{"id":86605,"section_number":"58.1-1100","catch_line":"Intangible personal property; segregated for state taxation","order_by":null,"url":"\/58.1-1100\/"},{"id":80254,"section_number":"58.1-3500","catch_line":"Defined and segregated for local taxation","order_by":null,"url":"\/58.1-3500\/"},{"id":73746,"section_number":"58.1-3510.01","catch_line":"Separate classification of merchants' capital of pharmaceutical wholesalers","order_by":null,"url":"\/58.1-3510.01\/"},{"id":75558,"section_number":"58.1-3510.02","catch_line":"Separate classification of certain merchants' capital of wholesalers and retailers","order_by":null,"url":"\/58.1-3510.02\/"},{"id":60347,"section_number":"58.1-3510.6","catch_line":"Short-term rental property tax","order_by":null,"url":"\/58.1-3510.6\/"}],"refers_to":[{"id":65522,"section_number":"58.1-1734","catch_line":"Title","order_by":null,"url":"\/58.1-1734\/"},{"id":54551,"section_number":"58.1-1735","catch_line":"Definitions","order_by":null,"url":"\/58.1-1735\/"},{"id":75504,"section_number":"58.1-2400","catch_line":"Title","order_by":null,"url":"\/58.1-2400\/"},{"id":74431,"section_number":"58.1-4007","catch_line":"Powers of the Board","order_by":null,"url":"\/58.1-4007\/"}],"permalink":{"id":257839,"object_type":"law","relational_id":61304,"identifier":"58.1-3510","token":"58.1\/III\/35\/3\/58.1-3510","url":"\/58.1-3510\/","edition_id":1,"permalink":0,"preferred":1},"url":"\/58.1-3510\/","token":"58.1\/III\/35\/3\/58.1-3510","dublin_core":{"Title":"Definition of merchants’ capital","Type":"Text","Format":"text\/html","Identifier":"\u00a7 58.1-3510","Relation":"Code of Virginia"},"html":"\n\t\t\t\t\t\t

A.<\/span> Merchants’ capital is defined as follows: Inventory of stock on hand; daily rental vehicles as defined in § 58.1-1735<\/a>; and all other taxable personal property of any kind whatsoever, except money on hand and on deposit and except tangible personal property not offered for sale as merchandise, which tangible personal property shall be reported and assessed as such. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

B.<\/span> For purposes of this section, a repair and service operation (i) carried on as an integral part of and in conjunction with a business that is primarily mercantile and (ii) the principal sales of such business are subject to the tax imposed by Article 9 (§ 58.1-1734<\/a> et seq.) of Chapter 17 or to the tax imposed by Chapter 24 (§ 58.1-2400<\/a> et seq.) of this title shall be deemed a mercantile business, and all capital, as defined herein, including all repair parts, materials<\/span> and supplies associated with such repair and service operation shall be deemed merchants’ capital. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

C.<\/span> For purposes of valuing lottery tickets as part of a dealer’s inventory, cost shall include only the compensation payable to a licensed sales agent as provided by rules or regulations adopted by the Board consistent with the provisions of subdivision 11 of subsection A of § 58.1-4007<\/a>. The value of lottery tickets shall not be based on the cost of the tickets to the merchant. <\/i><\/a><\/p><\/section>","plain_text":" CODE OF VIRGINIA\n\nDEFINITION OF MERCHANTS’ CAPITAL (\u00a7 58.1-3510)\n\nA. Merchants’ capital is defined as follows: Inventory of stock on hand;\ndaily rental vehicles as defined in § 58.1-1735; and all other taxable\npersonal property of any kind whatsoever, except money on hand and on deposit\nand except tangible personal property not offered for sale as merchandise, which\ntangible personal property shall be reported and assessed as such.\n\nB. For purposes of this section, a repair and service operation (i) carried on\nas an integral part of and in conjunction with a business that is primarily\nmercantile and (ii) the principal sales of such business are subject to the tax\nimposed by Article 9 (§ 58.1-1734 et seq.) of Chapter 17 or to the tax\nimposed by Chapter 24 (§ 58.1-2400 et seq.) of this title shall be deemed a\nmercantile business, and all capital, as defined herein, including all repair\nparts, materials and supplies associated with such repair and service operation\nshall be deemed merchants’ capital.\n\nC. For purposes of valuing lottery tickets as part of a dealer’s\ninventory, cost shall include only the compensation payable to a licensed sales\nagent as provided by rules or regulations adopted by the Board consistent with\nthe provisions of subdivision 11 of subsection A of § 58.1-4007. The value\nof lottery tickets shall not be based on the cost of the tickets to the\nmerchant.\n\nHISTORY: Code 1950, \u00a7\u00a7 58-266.1, 58-833; 1950, p. 155; 1956, c. 242; 1964, cc.\n424, 472; 1968, c. 619; 1970, cc. 231, 547; 1974, cc. 196, 438; 1975, cc. 23,\n621; 1976, cc. 521, 719; 1977, cc. 56, 320; 1978, cc. 772, 799, 817; 1979, cc.\n565, 568, 570; 1980, cc. 318, 736; 1981, cc. 145, 419, 636; 1982, cc. 348, 548,\n552, 554, 558, 633; 1983, cc. 544, 554; 1984, cc. 247, 675, 695; 1987, cc. 572,\n591; 1989, c. 589; 1990, c. 151; 1997, c. 853; 2009, cc. 480, 692; 2011, cc.\n405, 639.","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}}