                                 CODE OF VIRGINIA

CONSTRUCTION CORPORATIONS; APPORTIONMENT (§ 58.1-419)

A. Construction companies which have elected to report income on the completed
contract basis shall apportion income within and without this Commonwealth in
the ratio that the business within the Commonwealth is to the total business of
the corporation.

B. All other construction corporations not reporting under the completed
contract method shall determine Virginia taxable income by reference to
&#xA7;&#xA7; 58.1-406 through 58.1-416.

C. Any eligible company, as defined in &#xA7; 58.1-405.1, may subtract the value
of its business within any qualified locality or qualified localities, as
defined in &#xA7; 58.1-405.1, during the taxable year from the numerator of the
ratio in subsection A. Such eligible company may make such modification for the
taxable year in which it first becomes eligible and for the six subsequent,
consecutive taxable years, except for any year in which the eligible
company&#8217;s (i) total, cumulative new capital investment falls below the
applicable initial threshold or (ii) number of new jobs falls below the
applicable initial threshold.

HISTORY: Code 1950, § 58-151.050:2; 1976, c. 436; 1981, c. 402; 1984, c. 675;
2018, cc. 801, 802.