                                 CODE OF VIRGINIA

REASSESSMENT AND REFUND UPON THE FILING OF AMENDED RETURN OR THE PAYMENT OF AN
ASSESSMENT (§ 58.1-1823)

Any person filing a tax return or paying an assessment required for any tax
administered by the Department may file an amended return with the Department
within the later of (i) three years from the last day prescribed by law for the
timely filing of the return; (ii) one year from the final determination date, as
defined in § 58.1-311.2, for any change or correction in the liability of the
taxpayer for any federal tax upon which the state tax is based, provided that
the refund does not exceed the amount of the decrease in Virginia tax
attributable to such federal change or correction; (iii) two years from the
filing of an amended Virginia return resulting in the payment of additional tax,
provided that the amended return raises issues relating solely to such prior
amended return and that the refund does not exceed the amount of the payment
with such prior amended return; (iv) two years from the payment of an
assessment, provided that the amended return raises issues relating solely to
such assessment and that the refund does not exceed the amount of such payment;
or (v) one year from the final determination of any change or correction in the
income tax of the taxpayer for any other state, provided that the refund does
not exceed the amount of the decrease in Virginia tax attributable to such
change or correction. If the Department is satisfied, by evidence submitted to
it or otherwise, that the tax assessed and paid upon the original return exceeds
the proper amount, the Department may reassess the taxpayer and order that any
amount excessively paid be refunded to him. The Department may reduce such
refund by the amount of any taxes, penalties and interest which are due for the
period covered by the amended return, or any past-due taxes, penalties and
interest which have been assessed within the appropriate period of limitations.
Any order of the Department denying such reassessment and refund, or the failure
of the Department to act thereon within three months shall, as to matters first
raised by the amended return, be deemed an assessment for the purpose of
enabling the taxpayer to pursue the remedies allowed under this chapter.

HISTORY: Code 1950, § 58-1118.1; 1972, c. 721; 1973, c. 446; 1979, c. 690;
1980, c. 633; 1984, c. 675; 1989, Sp. Sess., cc. 1, 2, 6; 1992, c. 678; 1994, c.
488; 1994, 1st Sp. Sess., cc. 2, 5; 1996, cc. 637, 654; 1998, cc. 358, 374;
2006, c. 234; 2010, c. 228; 2017, c. 444; 2020, c. 1030.