{"formats":[{"name":"JSON","format":"json","url":"\/downloads\/2025\/code-json\/58.1-436.json"},{"name":"Plain Text","format":"text","url":"\/downloads\/2025\/code-text\/58.1-436.txt"},{"name":"XML","format":"xml","url":"\/downloads\/2025\/code-xml\/58.1-436.xml"},{"name":"HTML","format":"html","url":"\/downloads\/2025\/code-html\/58.1-436.html"}],"law_id":62315,"edition_id":1,"section_id":62315,"structure_id":13153,"section_number":"58.1-436","catch_line":"Tax credit for purchase of conservation tillage and precision agricultural application equipment","history":"1990, c. 416; 1996, c. 739; 2021, Sp. Sess. I, c. 272; 2024, cc. 212, 234.","full_text":"A\n\n1. For taxable years beginning on or after January 1, 2021, but before January 1, 2030, any corporation engaged in agricultural production for market which has in place a soil conservation plan approved by the local soil and water conservation district and is implementing a nutrient management plan developed by a certified nutrient management planner in accordance with \u00a7 10.1-104.2 by the required tax return filing date of the corporation shall be allowed a refundable credit against the tax imposed by \u00a7 58.1-400 in an amount equaling 25 percent of all expenditures made by such corporation for the purchase of equipment certified by the Virginia Soil and Water Conservation Board as reducing soil compaction such as a “no-till” planter, drill, or other equipment or equipment that provides more precise pesticide and fertilizer application or injection. For purposes of this section, equipment that reduces soil compaction includes equipment utilizing guidance systems to control traffic patterns that are designed to minimize the disturbance of soil in planting crops, including such planters, drills, or other equipment that may be attached to equipment already owned by the taxpayer.2\n\nVirginia Polytechnic Institute and State University and Virginia State University shall provide at the request of the Virginia Soil and Water Conservation Board technical assistance in determining appropriate specifications for certified equipment which would provide for more precise pesticide and fertilizer application to reduce the potential for adverse environmental impacts. The equipment shall be divided into the following categories:\n\t\t\t\ta. Sprayers for pesticides and liquid fertilizers;\n\t\t\t\tb. Pneumatic fertilizer applicators;\n\t\t\t\tc. Monitors, computer regulators, and height-adjustable booms for sprayers and liquid fertilizer applicators;\n\t\t\t\td. Manure applicators;\n\t\t\t\te. Tramline adapters; and\n\t\t\t\tf. Starter fertilizer banding attachments for planters.3\n\nThe amount of such credit under this subsection shall not exceed $17,500 in the year of purchase. If the amount of the credit exceeds the taxpayer’s liability for such taxable year, the excess shall be refunded by the Tax Commissioner. Tax credits shall be refunded by the Tax Commissioner on behalf of the Commonwealth for 100 percent of face value. Tax credits shall be refunded within 90 days after the filing date of the income tax return on which the taxpayer applies for the refund.4\n\nFor purposes of this subsection, the amount of any credit attributable to the purchase of equipment certified by the Virginia Soil and Water Conservation Board as reducing soil compaction or providing more precise pesticide and fertilizer application or injection by a partnership or S corporation shall be allocated to the individual partners or shareholders in proportion to their ownership or interest in the partnership or S corporation.B\n\n1. For taxable years beginning before January 1, 2021, any corporation engaged in agricultural production for market which has in place a nutrient management plan approved by the local soil and water conservation district by the required tax return filing date of the corporation shall be allowed a credit against the tax imposed by \u00a7 58.1-400 of an amount equaling 25 percent of all expenditures made by such corporation for the purchase of equipment certified by the Virginia Soil and Water Conservation Board as providing more precise pesticide and fertilizer application. Virginia Polytechnic Institute and State University and Virginia State University shall provide at the request of the Virginia Soil and Water Conservation Board technical assistance in determining appropriate specifications for certified equipment which would provide for more precise pesticide and fertilizer application to reduce the potential for adverse environmental impacts. The equipment shall be divided into the following categories:\n\t\t\ta. Sprayers for pesticides and liquid fertilizers;\n\t\t\tb. Pneumatic fertilizer applicators;\n\t\t\tc. Monitors, computer regulators, and height adjustable booms for sprayers and liquid fertilizer applicators;\n\t\t\td. Manure applicators;\n\t\t\te. Tramline adapters; and\n\t\t\tf. Starter fertilizer banding attachments for planters.2\n\nThe amount of such credit under subdivision 1 shall not exceed $3,750 or the total amount of the tax imposed by this chapter, whichever is less, in the year of purchase. If the amount of such credit exceeds the taxpayer’s tax liability for such taxable year, the amount which exceeds the tax liability may be carried over for credit against the income taxes of such corporation in the next five taxable years until the total amount of the tax credit has been taken. Credits granted to a partnership or electing small business corporation (S corporation) shall be passed through to the partners or shareholders, respectively.3\n\nFor purposes of this subsection, the amount of any credit attributable to the purchase of equipment certified by the Virginia Soil and Water Conservation Board as providing more precise pesticide and fertilizer application by a partnership or S corporation shall be allocated to the individual partners or shareholders in proportion to their ownership or interest in the partnership or S corporation.","order_by":null,"text":{"0":{"id":227320,"text":"1. For taxable years beginning on or after January 1, 2021, but before January 1, 2030, any corporation engaged in agricultural production for market which has in place a soil conservation plan approved by the local soil and water conservation district and is implementing a nutrient management plan developed by a certified nutrient management planner in accordance with \u00a7 10.1-104.2 by the required tax return filing date of the corporation shall be allowed a refundable credit against the tax imposed by \u00a7 58.1-400 in an amount equaling 25 percent of all expenditures made by such corporation for the purchase of equipment certified by the Virginia Soil and Water Conservation Board as reducing soil compaction such as a “no-till” planter, drill, or other equipment or equipment that provides more precise pesticide and fertilizer application or injection. For purposes of this section, equipment that reduces soil compaction includes equipment utilizing guidance systems to control traffic patterns that are designed to minimize the disturbance of soil in planting crops, including such planters, drills, or other equipment that may be attached to equipment already owned by the taxpayer.","type":"section","prefixes":["A"],"prefix":"A","entire_prefix":"A","prefix_anchor":"A","level":1,"next_prefix":"A2"},"1":{"id":227321,"text":"Virginia Polytechnic Institute and State University and Virginia State University shall provide at the request of the Virginia Soil and Water Conservation Board technical assistance in determining appropriate specifications for certified equipment which would provide for more precise pesticide and fertilizer application to reduce the potential for adverse environmental impacts. The equipment shall be divided into the following categories:\n\t\t\t\ta. Sprayers for pesticides and liquid fertilizers;\n\t\t\t\tb. Pneumatic fertilizer applicators;\n\t\t\t\tc. Monitors, computer regulators, and height-adjustable booms for sprayers and liquid fertilizer applicators;\n\t\t\t\td. Manure applicators;\n\t\t\t\te. Tramline adapters; and\n\t\t\t\tf. Starter fertilizer banding attachments for planters.","type":"section","prefixes":["A","2"],"prefix":"2","entire_prefix":"A2","prefix_anchor":"A2","level":2,"prior_prefix":"A","next_prefix":"A3"},"2":{"id":227322,"text":"The amount of such credit under this subsection shall not exceed $17,500 in the year of purchase. If the amount of the credit exceeds the taxpayer’s liability for such taxable year, the excess shall be refunded by the Tax Commissioner. Tax credits shall be refunded by the Tax Commissioner on behalf of the Commonwealth for 100 percent of face value. Tax credits shall be refunded within 90 days after the filing date of the income tax return on which the taxpayer applies for the refund.","type":"section","prefixes":["A","3"],"prefix":"3","entire_prefix":"A3","prefix_anchor":"A3","level":2,"prior_prefix":"A2","next_prefix":"A4"},"3":{"id":227323,"text":"For purposes of this subsection, the amount of any credit attributable to the purchase of equipment certified by the Virginia Soil and Water Conservation Board as reducing soil compaction or providing more precise pesticide and fertilizer application or injection by a partnership or S corporation shall be allocated to the individual partners or shareholders in proportion to their ownership or interest in the partnership or S corporation.","type":"section","prefixes":["A","4"],"prefix":"4","entire_prefix":"A4","prefix_anchor":"A4","level":2,"prior_prefix":"A3","next_prefix":"B"},"4":{"id":227324,"text":"1. For taxable years beginning before January 1, 2021, any corporation engaged in agricultural production for market which has in place a nutrient management plan approved by the local soil and water conservation district by the required tax return filing date of the corporation shall be allowed a credit against the tax imposed by \u00a7 58.1-400 of an amount equaling 25 percent of all expenditures made by such corporation for the purchase of equipment certified by the Virginia Soil and Water Conservation Board as providing more precise pesticide and fertilizer application. Virginia Polytechnic Institute and State University and Virginia State University shall provide at the request of the Virginia Soil and Water Conservation Board technical assistance in determining appropriate specifications for certified equipment which would provide for more precise pesticide and fertilizer application to reduce the potential for adverse environmental impacts. The equipment shall be divided into the following categories:\n\t\t\ta. Sprayers for pesticides and liquid fertilizers;\n\t\t\tb. Pneumatic fertilizer applicators;\n\t\t\tc. Monitors, computer regulators, and height adjustable booms for sprayers and liquid fertilizer applicators;\n\t\t\td. Manure applicators;\n\t\t\te. Tramline adapters; and\n\t\t\tf. Starter fertilizer banding attachments for planters.","type":"section","prefixes":["B"],"prefix":"B","entire_prefix":"B","prefix_anchor":"B","level":1,"prior_prefix":"A4","next_prefix":"B2"},"5":{"id":227325,"text":"The amount of such credit under subdivision 1 shall not exceed $3,750 or the total amount of the tax imposed by this chapter, whichever is less, in the year of purchase. If the amount of such credit exceeds the taxpayer’s tax liability for such taxable year, the amount which exceeds the tax liability may be carried over for credit against the income taxes of such corporation in the next five taxable years until the total amount of the tax credit has been taken. Credits granted to a partnership or electing small business corporation (S corporation) shall be passed through to the partners or shareholders, respectively.","type":"section","prefixes":["B","2"],"prefix":"2","entire_prefix":"B2","prefix_anchor":"B2","level":2,"prior_prefix":"B","next_prefix":"B3"},"6":{"id":227326,"text":"For purposes of this subsection, the amount of any credit attributable to the purchase of equipment certified by the Virginia Soil and Water Conservation Board as providing more precise pesticide and fertilizer application by a partnership or S corporation shall be allocated to the individual partners or shareholders in proportion to their ownership or interest in the partnership or S corporation.","type":"section","prefixes":["B","3"],"prefix":"3","entire_prefix":"B3","prefix_anchor":"B3","level":2,"prior_prefix":"B2"}},"ancestry":[{"id":13153,"edition_id":1,"name":"Tax Credits for Corporations","identifier":"13","label":"article","depth":4,"order_by":1,"parent_id":13152,"metadata":{},"date_created":"2026-06-26 03:44:21","date_modified":"2026-06-26 03:44:21","permalink":{"id":253497,"object_type":"structure","relational_id":13153,"identifier":"13","token":"58.1\/I\/3\/13","url":"\/58.1\/I\/3\/13\/","edition_id":1,"permalink":0,"preferred":1}},{"id":13152,"edition_id":1,"name":"Income Tax","identifier":"3","label":"chapter","depth":3,"order_by":1,"parent_id":12837,"metadata":{},"date_created":"2026-06-26 03:44:21","date_modified":"2026-06-26 03:44:21","permalink":{"id":253267,"object_type":"structure","relational_id":13152,"identifier":"3","token":"58.1\/I\/3","url":"\/58.1\/I\/3\/","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":59349,"structure_id":13153,"section_number":"58.1-430","catch_line":"Repealed","url":"\/58.1-430\/","token":"58.1\/I\/3\/13\/58.1-430","metadata":false},{"id":79747,"structure_id":13153,"section_number":"58.1-431","catch_line":"Repealed","url":"\/58.1-431\/","token":"58.1\/I\/3\/13\/58.1-431","metadata":false},{"id":87213,"structure_id":13153,"section_number":"58.1-432","catch_line":"Tax credit for purchase of conservation tillage equipment","url":"\/58.1-432\/","token":"58.1\/I\/3\/13\/58.1-432","metadata":false},{"id":78377,"structure_id":13153,"section_number":"58.1-433","catch_line":"Expired","url":"\/58.1-433\/","token":"58.1\/I\/3\/13\/58.1-433","metadata":false},{"id":84600,"structure_id":13153,"section_number":"58.1-433.1","catch_line":"Virginia Coal Employment and Production Incentive Tax Credit","url":"\/58.1-433.1\/","token":"58.1\/I\/3\/13\/58.1-433.1","metadata":false},{"id":72145,"structure_id":13153,"section_number":"58.1-434","catch_line":"Repealed","url":"\/58.1-434\/","token":"58.1\/I\/3\/13\/58.1-434","metadata":false},{"id":62315,"structure_id":13153,"section_number":"58.1-436","catch_line":"Tax credit for purchase of conservation tillage and precision agricultural application equipment","url":"\/58.1-436\/","token":"58.1\/I\/3\/13\/58.1-436","metadata":false},{"id":62397,"structure_id":13153,"section_number":"58.1-437","catch_line":"Repealed","url":"\/58.1-437\/","token":"58.1\/I\/3\/13\/58.1-437","metadata":false},{"id":83316,"structure_id":13153,"section_number":"58.1-438","catch_line":"Not effective","url":"\/58.1-438\/","token":"58.1\/I\/3\/13\/58.1-438","metadata":false},{"id":56216,"structure_id":13153,"section_number":"58.1-438.1","catch_line":"Tax credit for vehicle emissions testing equipment, clean-fuel vehicles and certain refueling property","url":"\/58.1-438.1\/","token":"58.1\/I\/3\/13\/58.1-438.1","metadata":false},{"id":62311,"structure_id":13153,"section_number":"58.1-439","catch_line":"Major business facility job tax credit","url":"\/58.1-439\/","token":"58.1\/I\/3\/13\/58.1-439","metadata":false},{"id":63680,"structure_id":13153,"section_number":"58.1-439.1","catch_line":"Repealed","url":"\/58.1-439.1\/","token":"58.1\/I\/3\/13\/58.1-439.1","metadata":false},{"id":76474,"structure_id":13153,"section_number":"58.1-439.10","catch_line":"Tax credit for purchase of waste motor oil burning equipment","url":"\/58.1-439.10\/","token":"58.1\/I\/3\/13\/58.1-439.10","metadata":false},{"id":85121,"structure_id":13153,"section_number":"58.1-439.11","catch_line":"Repealed","url":"\/58.1-439.11\/","token":"58.1\/I\/3\/13\/58.1-439.11","metadata":false},{"id":59921,"structure_id":13153,"section_number":"58.1-439.12","catch_line":"Riparian forest buffer protection for waterways tax credit","url":"\/58.1-439.12\/","token":"58.1\/I\/3\/13\/58.1-439.12","metadata":false},{"id":71239,"structure_id":13153,"section_number":"58.1-439.12:01","catch_line":"Credit for cigarettes manufactured and 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Families","url":"\/58.1-439.9\/","token":"58.1\/I\/3\/13\/58.1-439.9","metadata":false}],"previous_section":{"id":72145,"structure_id":13153,"section_number":"58.1-434","catch_line":"Repealed","url":"\/58.1-434\/","token":"58.1\/I\/3\/13\/58.1-434","metadata":false},"next_section":{"id":62397,"structure_id":13153,"section_number":"58.1-437","catch_line":"Repealed","url":"\/58.1-437\/","token":"58.1\/I\/3\/13\/58.1-437","metadata":false},"metadata":false,"official_url":"https:\/\/law.lis.virginia.gov\/vacode\/58.1-436\/","history_text":"

This law was first created in 1990. The record of its establishment is cataloged in chapter 416 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. Unfortunately, the 1990 \u201cActs\u201d aren\u2019t available online. It has been modified 2 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 1996, chapter 739<\/a>; in 2024, chapters 212<\/a> and 234<\/a>.<\/p>","references":false,"refers_to":[{"id":64547,"section_number":"10.1-104.2","catch_line":"Voluntary nutrient management training and certification program","order_by":null,"url":"\/10.1-104.2\/"},{"id":60955,"section_number":"58.1-400","catch_line":"Imposition of tax","order_by":null,"url":"\/58.1-400\/"}],"permalink":{"id":253523,"object_type":"law","relational_id":62315,"identifier":"58.1-436","token":"58.1\/I\/3\/13\/58.1-436","url":"\/58.1-436\/","edition_id":1,"permalink":0,"preferred":1},"url":"\/58.1-436\/","token":"58.1\/I\/3\/13\/58.1-436","dublin_core":{"Title":"Tax credit for purchase of conservation tillage and precision agricultural application equipment","Type":"Text","Format":"text\/html","Identifier":"\u00a7 58.1-436","Relation":"Code of Virginia"},"html":"\n\t\t\t\t\t\t

A.<\/span> 1. For taxable years beginning on or after January 1, 2021, but before January 1, 2030, any corporation<\/span> engaged in agricultural production for market which has in place a soil conservation plan approved by the local soil and water conservation district and is implementing a nutrient management plan developed by a certified nutrient management planner in accordance with \u00a7 10.1-104.2<\/a> by the required tax return filing date of the corporation<\/span> shall be allowed a refundable credit against the tax imposed by \u00a7 58.1-400<\/a> in an amount equaling 25 percent of all expenditures made by such corporation<\/span> for the purchase of equipment certified by the Virginia Soil and Water Conservation Board as reducing soil compaction such as a “no-till<\/span>” planter, drill, or other equipment or equipment that provides more precise pesticide and fertilizer application or injection. For purposes of this section, equipment that reduces soil compaction includes equipment utilizing guidance systems to control traffic patterns that are designed to minimize the disturbance of soil in planting crops, including such planters, drills, or other equipment that may be attached to equipment already owned by the taxpayer<\/span>. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

2.<\/span> Virginia Polytechnic Institute and State University and Virginia State University shall provide at the request of the Virginia Soil and Water Conservation Board technical assistance in determining appropriate specifications for certified equipment which would provide for more precise pesticide and fertilizer application to reduce the potential for adverse environmental impacts. The equipment shall be divided into the following categories:\n\t\t\t\ta. Sprayers for pesticides and liquid fertilizers;\n\t\t\t\tb. Pneumatic fertilizer applicators;\n\t\t\t\tc. Monitors, computer regulators, and height-adjustable booms for sprayers and liquid fertilizer applicators;\n\t\t\t\td. Manure applicators;\n\t\t\t\te. Tramline adapters; and\n\t\t\t\tf. Starter fertilizer banding attachments<\/span> for planters. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

3.<\/span> The amount of such credit under this subsection shall not exceed $17,500 in the year of purchase. If the amount of the credit exceeds the taxpayer<\/span>’s liability for such taxable year, the excess shall be refunded by the Tax Commissioner<\/span>. Tax credits shall be refunded by the Tax Commissioner<\/span> on behalf of the Commonwealth for 100 percent of face value. Tax credits shall be refunded within 90 days after the filing date of the income tax return on which the taxpayer<\/span> applies for the refund. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

4.<\/span> For purposes of this subsection, the amount of any credit attributable to the purchase of equipment certified by the Virginia Soil and Water Conservation Board as reducing soil compaction or providing more precise pesticide and fertilizer application or injection by a partnership or S corporation<\/span> shall be allocated to the individual<\/span> partners or shareholders in proportion to their ownership or interest in the partnership or S corporation<\/span>. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

B.<\/span> 1. For taxable years beginning before January 1, 2021, any corporation<\/span> engaged in agricultural production for market which has in place a nutrient management plan approved by the local soil and water conservation district by the required tax return filing date of the corporation<\/span> shall be allowed a credit against the tax imposed by \u00a7 58.1-400<\/a> of an amount equaling 25 percent of all expenditures made by such corporation<\/span> for the purchase of equipment certified by the Virginia Soil and Water Conservation Board as providing more precise pesticide and fertilizer application. Virginia Polytechnic Institute and State University and Virginia State University shall provide at the request of the Virginia Soil and Water Conservation Board technical assistance in determining appropriate specifications for certified equipment which would provide for more precise pesticide and fertilizer application to reduce the potential for adverse environmental impacts. The equipment shall be divided into the following categories:\n\t\t\ta. Sprayers for pesticides and liquid fertilizers;\n\t\t\tb. Pneumatic fertilizer applicators;\n\t\t\tc. Monitors, computer regulators, and height adjustable booms for sprayers and liquid fertilizer applicators;\n\t\t\td. Manure applicators;\n\t\t\te. Tramline adapters; and\n\t\t\tf. Starter fertilizer banding attachments<\/span> for planters. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

2.<\/span> The amount of such credit under subdivision 1 shall not exceed $3,750 or the total amount of the tax imposed by this chapter, whichever is less, in the year of purchase. If the amount of such credit exceeds the taxpayer<\/span>’s tax liability for such taxable year, the amount which exceeds the tax liability may be carried over for credit against the income taxes of such corporation<\/span> in the next five taxable years until the total amount of the tax credit has been taken. Credits granted to a partnership or electing small business corporation<\/span> (S corporation<\/span>) shall be passed through to the partners or shareholders, respectively. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

3.<\/span> For purposes of this subsection, the amount of any credit attributable to the purchase of equipment certified by the Virginia Soil and Water Conservation Board as providing more precise pesticide and fertilizer application by a partnership or S corporation<\/span> shall be allocated to the individual<\/span> partners or shareholders in proportion to their ownership or interest in the partnership or S corporation<\/span>. <\/i><\/a><\/p><\/section>","plain_text":" CODE OF VIRGINIA\n\nTAX CREDIT FOR PURCHASE OF CONSERVATION TILLAGE AND PRECISION AGRICULTURAL\nAPPLICATION EQUIPMENT (\u00a7 58.1-436)\n\nA. 1. For taxable years beginning on or after January 1, 2021, but before\nJanuary 1, 2030, any corporation engaged in agricultural production for market\nwhich has in place a soil conservation plan approved by the local soil and water\nconservation district and is implementing a nutrient management plan developed\nby a certified nutrient management planner in accordance with \u00a7 10.1-104.2 by\nthe required tax return filing date of the corporation shall be allowed a\nrefundable credit against the tax imposed by \u00a7 58.1-400 in an amount equaling\n25 percent of all expenditures made by such corporation for the purchase of\nequipment certified by the Virginia Soil and Water Conservation Board as\nreducing soil compaction such as a “no-till” planter, drill, or\nother equipment or equipment that provides more precise pesticide and fertilizer\napplication or injection. For purposes of this section, equipment that reduces\nsoil compaction includes equipment utilizing guidance systems to control traffic\npatterns that are designed to minimize the disturbance of soil in planting\ncrops, including such planters, drills, or other equipment that may be attached\nto equipment already owned by the taxpayer.\n\n 2. Virginia Polytechnic Institute and State University and Virginia State\n University shall provide at the request of the Virginia Soil and Water\n Conservation Board technical assistance in determining appropriate\n specifications for certified equipment which would provide for more precise\n pesticide and fertilizer application to reduce the potential for adverse\n environmental impacts. The equipment shall be divided into the following\n categories:\n \t\t\t\ta. Sprayers for pesticides and liquid fertilizers;\n \t\t\t\tb. Pneumatic fertilizer applicators;\n \t\t\t\tc. Monitors, computer regulators, and height-adjustable booms for sprayers\n and liquid fertilizer applicators;\n \t\t\t\td. Manure applicators;\n \t\t\t\te. Tramline adapters; and\n \t\t\t\tf. Starter fertilizer banding attachments for planters.\n\n 3. The amount of such credit under this subsection shall not exceed $17,500 in\n the year of purchase. If the amount of the credit exceeds the taxpayer’s\n liability for such taxable year, the excess shall be refunded by the Tax\n Commissioner. Tax credits shall be refunded by the Tax Commissioner on behalf\n of the Commonwealth for 100 percent of face value. Tax credits shall be\n refunded within 90 days after the filing date of the income tax return on\n which the taxpayer applies for the refund.\n\n 4. For purposes of this subsection, the amount of any credit attributable to\n the purchase of equipment certified by the Virginia Soil and Water\n Conservation Board as reducing soil compaction or providing more precise\n pesticide and fertilizer application or injection by a partnership or S\n corporation shall be allocated to the individual partners or shareholders in\n proportion to their ownership or interest in the partnership or S corporation.\n\nB. 1. For taxable years beginning before January 1, 2021, any corporation\nengaged in agricultural production for market which has in place a nutrient\nmanagement plan approved by the local soil and water conservation district by\nthe required tax return filing date of the corporation shall be allowed a credit\nagainst the tax imposed by \u00a7 58.1-400 of an amount equaling 25 percent of all\nexpenditures made by such corporation for the purchase of equipment certified by\nthe Virginia Soil and Water Conservation Board as providing more precise\npesticide and fertilizer application. Virginia Polytechnic Institute and State\nUniversity and Virginia State University shall provide at the request of the\nVirginia Soil and Water Conservation Board technical assistance in determining\nappropriate specifications for certified equipment which would provide for more\nprecise pesticide and fertilizer application to reduce the potential for adverse\nenvironmental impacts. The equipment shall be divided into the following\ncategories:\n\t\t\ta. Sprayers for pesticides and liquid fertilizers;\n\t\t\tb. Pneumatic fertilizer applicators;\n\t\t\tc. Monitors, computer regulators, and height adjustable booms for sprayers\nand liquid fertilizer applicators;\n\t\t\td. Manure applicators;\n\t\t\te. Tramline adapters; and\n\t\t\tf. Starter fertilizer banding attachments for planters.\n\n 2. The amount of such credit under subdivision 1 shall not exceed $3,750 or\n the total amount of the tax imposed by this chapter, whichever is less, in the\n year of purchase. If the amount of such credit exceeds the taxpayer’s\n tax liability for such taxable year, the amount which exceeds the tax\n liability may be carried over for credit against the income taxes of such\n corporation in the next five taxable years until the total amount of the tax\n credit has been taken. Credits granted to a partnership or electing small\n business corporation (S corporation) shall be passed through to the partners\n or shareholders, respectively.\n\n 3. For purposes of this subsection, the amount of any credit attributable to\n the purchase of equipment certified by the Virginia Soil and Water\n Conservation Board as providing more precise pesticide and fertilizer\n application by a partnership or S corporation shall be allocated to the\n individual partners or shareholders in proportion to their ownership or\n interest in the partnership or S corporation.\n\nHISTORY: 1990, c. 416; 1996, c. 739; 2021, Sp. Sess. I, c. 272; 2024, cc. 212,\n234.","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}}