{"formats":[{"name":"JSON","format":"json","url":"\/downloads\/2025\/code-json\/58.1-621.json"},{"name":"Plain Text","format":"text","url":"\/downloads\/2025\/code-text\/58.1-621.txt"},{"name":"XML","format":"xml","url":"\/downloads\/2025\/code-xml\/58.1-621.xml"},{"name":"HTML","format":"html","url":"\/downloads\/2025\/code-html\/58.1-621.html"}],"law_id":56265,"edition_id":1,"section_id":56265,"structure_id":12899,"section_number":"58.1-621","catch_line":"Bad debts","history":"Code 1950, \u00a7 58-441.24; 1966, c. 151; 1974, c. 202; 1984, c. 675; 2005, c. 355.","full_text":"A\n\nIn any return filed under the provisions of this chapter, the dealer may credit, against the tax shown to be due on the return, the amount of sales or use tax previously returned and paid on accounts which are owed to the dealer and which have been found to be worthless within the period covered by the return. The credit, however, shall not exceed the amount of the uncollected sales price determined by treating prior payments on each debt as consisting of the same proportion of sales price, sales tax and other nontaxable charges as in the total debt originally owed to the dealer. The amount of accounts for which a credit has been taken that are thereafter in whole or in part paid to the dealer shall be included in the first return filed after such collection.B\n\nNotwithstanding any other provision of this section, a dealer whose volume and character of uncollectible accounts, including checks returned for insufficient funds, renders it impractical to substantiate the credit on an account-by-account basis, may, subject to the approval of the Department, utilize an alternative method of substantiating the credit.","order_by":null,"text":{"0":{"id":206066,"text":"In any return filed under the provisions of this chapter, the dealer may credit, against the tax shown to be due on the return, the amount of sales or use tax previously returned and paid on accounts which are owed to the dealer and which have been found to be worthless within the period covered by the return. The credit, however, shall not exceed the amount of the uncollected sales price determined by treating prior payments on each debt as consisting of the same proportion of sales price, sales tax and other nontaxable charges as in the total debt originally owed to the dealer. The amount of accounts for which a credit has been taken that are thereafter in whole or in part paid to the dealer shall be included in the first return filed after such collection.","type":"section","prefixes":["A"],"prefix":"A","entire_prefix":"A","prefix_anchor":"A","level":1,"next_prefix":"B"},"1":{"id":206067,"text":"Notwithstanding any other provision of this section, a dealer whose volume and character of uncollectible accounts, including checks returned for insufficient funds, renders it impractical to substantiate the credit on an account-by-account basis, may, subject to the approval of the Department, utilize an alternative method of substantiating the credit.","type":"section","prefixes":["B"],"prefix":"B","entire_prefix":"B","prefix_anchor":"B","level":1,"prior_prefix":"A"}},"ancestry":[{"id":12899,"edition_id":1,"name":"Retail Sales and Use Tax","identifier":"6","label":"chapter","depth":3,"order_by":1,"parent_id":12837,"metadata":{},"date_created":"2026-06-26 03:43:59","date_modified":"2026-06-26 03:43:59","permalink":{"id":254543,"object_type":"structure","relational_id":12899,"identifier":"6","token":"58.1\/I\/6","url":"\/58.1\/I\/6\/","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":63208,"structure_id":12899,"section_number":"58.1-600","catch_line":"Short title","url":"\/58.1-600\/","token":"58.1\/I\/6\/58.1-600","metadata":false},{"id":54017,"structure_id":12899,"section_number":"58.1-601","catch_line":"Administration of chapter","url":"\/58.1-601\/","token":"58.1\/I\/6\/58.1-601","metadata":false},{"id":78097,"structure_id":12899,"section_number":"58.1-602","catch_line":"Definitions","url":"\/58.1-602\/","token":"58.1\/I\/6\/58.1-602","metadata":false},{"id":75736,"structure_id":12899,"section_number":"58.1-602.1","catch_line":"Repealed","url":"\/58.1-602.1\/","token":"58.1\/I\/6\/58.1-602.1","metadata":false},{"id":81537,"structure_id":12899,"section_number":"58.1-603","catch_line":"(Contingent effective date) Imposition of sales 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exemption","url":"\/58.1-608.4\/","token":"58.1\/I\/6\/58.1-608.4","metadata":false},{"id":60740,"structure_id":12899,"section_number":"58.1-609","catch_line":"Repealed","url":"\/58.1-609\/","token":"58.1\/I\/6\/58.1-609","metadata":false},{"id":75872,"structure_id":12899,"section_number":"58.1-609.1","catch_line":"Governmental and commodities exemptions","url":"\/58.1-609.1\/","token":"58.1\/I\/6\/58.1-609.1","metadata":false},{"id":74403,"structure_id":12899,"section_number":"58.1-609.10","catch_line":"Miscellaneous exemptions","url":"\/58.1-609.10\/","token":"58.1\/I\/6\/58.1-609.10","metadata":false},{"id":64022,"structure_id":12899,"section_number":"58.1-609.11","catch_line":"Exemptions for nonprofit entities","url":"\/58.1-609.11\/","token":"58.1\/I\/6\/58.1-609.11","metadata":false},{"id":68864,"structure_id":12899,"section_number":"58.1-609.12","catch_line":"Reports to General Assembly on tax exemptions studies","url":"\/58.1-609.12\/","token":"58.1\/I\/6\/58.1-609.12","metadata":false},{"id":81042,"structure_id":12899,"section_number":"58.1-609.13","catch_line":"Exceptions to \u00a7 58.1-609.10","url":"\/58.1-609.13\/","token":"58.1\/I\/6\/58.1-609.13","metadata":false},{"id":81400,"structure_id":12899,"section_number":"58.1-609.14","catch_line":"(For contingent expiration date, see Editor's notes) Personal protective equipment exemption","url":"\/58.1-609.14\/","token":"58.1\/I\/6\/58.1-609.14","metadata":false},{"id":79573,"structure_id":12899,"section_number":"58.1-609.2","catch_line":"Agricultural exemptions","url":"\/58.1-609.2\/","token":"58.1\/I\/6\/58.1-609.2","metadata":false},{"id":69050,"structure_id":12899,"section_number":"58.1-609.3","catch_line":"Commercial and industrial 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holiday","url":"\/58.1-639.1\/","token":"58.1\/I\/6\/58.1-639.1","metadata":false}],"previous_section":{"id":69953,"structure_id":12899,"section_number":"58.1-620","catch_line":"Repossessions","url":"\/58.1-620\/","token":"58.1\/I\/6\/58.1-620","metadata":false},"next_section":{"id":81287,"structure_id":12899,"section_number":"58.1-622","catch_line":"Discount","url":"\/58.1-622\/","token":"58.1\/I\/6\/58.1-622","metadata":false},"metadata":false,"official_url":"https:\/\/law.lis.virginia.gov\/vacode\/58.1-621\/","history_text":"<p>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 1966, chapter 151; in 1974, chapter 202; in 1984, chapter 675; in 2005, chapter <a href=\"https:\/\/legacylis.virginia.gov\/cgi-bin\/legp604.exe?051+ful+CHAP0355\">355<\/a>.<\/p>","references":[{"id":71987,"section_number":"58.1-616","catch_line":"Payment to accompany dealer's return","order_by":null,"url":"\/58.1-616\/"}],"refers_to":false,"permalink":{"id":254765,"object_type":"law","relational_id":56265,"identifier":"58.1-621","token":"58.1\/I\/6\/58.1-621","url":"\/58.1-621\/","edition_id":1,"permalink":0,"preferred":1},"url":"\/58.1-621\/","token":"58.1\/I\/6\/58.1-621","dublin_core":{"Title":"Bad debts","Type":"Text","Format":"text\/html","Identifier":"\u00a7 58.1-621","Relation":"Code of Virginia"},"html":"\n\t\t\t\t\t\t<section id=\"A\"><p><span class=\"prefix-number\">A.<\/span> In any return filed under the provisions of this chapter, the dealer may credit, against the tax shown to be due on the return, the amount of sales or <span class=\"dictionary\">use<\/span> tax previously returned and paid on accounts which are owed to the dealer and which have been found to be worthless within the period covered by the return. The credit, however, shall not exceed the amount of the uncollected <span class=\"dictionary\">sales price<\/span> determined by treating prior payments on each debt as consisting of the same proportion of <span class=\"dictionary\">sales price<\/span>, sales tax and other nontaxable charges as in the total debt originally owed to the dealer. The amount of accounts for which a credit has been taken that are thereafter in whole or in part paid to the dealer shall be included in the first return filed after such collection. <a id=\"paragraph-206066\" class=\"section-permalink\" href=\"https:\/\/vacode.org\/58.1-621\/#A\"><i class=\"fa fa-link\"><\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t<section id=\"B\"><p><span class=\"prefix-number\">B.<\/span> Notwithstanding any other provision of this section, a dealer whose volume and character of uncollectible accounts, including checks returned for insufficient funds, renders it impractical to substantiate the credit on an account-by-account basis, may, subject to the approval of the <span class=\"dictionary\">Department<\/span>, utilize an alternative method of substantiating the credit. <a id=\"paragraph-206067\" class=\"section-permalink\" href=\"https:\/\/vacode.org\/58.1-621\/#B\"><i class=\"fa fa-link\"><\/i><\/a><\/p><\/section>","plain_text":"                                 CODE OF VIRGINIA\n\nBAD DEBTS (\u00a7 58.1-621)\n\nA. In any return filed under the provisions of this chapter, the dealer may\ncredit, against the tax shown to be due on the return, the amount of sales or\nuse tax previously returned and paid on accounts which are owed to the dealer\nand which have been found to be worthless within the period covered by the\nreturn. The credit, however, shall not exceed the amount of the uncollected\nsales price determined by treating prior payments on each debt as consisting of\nthe same proportion of sales price, sales tax and other nontaxable charges as in\nthe total debt originally owed to the dealer. The amount of accounts for which a\ncredit has been taken that are thereafter in whole or in part paid to the dealer\nshall be included in the first return filed after such collection.\n\nB. Notwithstanding any other provision of this section, a dealer whose volume\nand character of uncollectible accounts, including checks returned for\ninsufficient funds, renders it impractical to substantiate the credit on an\naccount-by-account basis, may, subject to the approval of the Department,\nutilize an alternative method of substantiating the credit.\n\nHISTORY: Code 1950, \u00a7 58-441.24; 1966, c. 151; 1974, c. 202; 1984, c. 675;\n2005, c. 355.","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}}