58.1-2424 - Credits against tax. - Virginia Statutes

§ 58.1-2424. Credits against tax.

A. Credit shall be granted for the amount of tax paid to another state on amotor vehicle purchased in another state at the time such vehicle is firstregistered in the Commonwealth, provided the purchaser provides proof ofpayment of such tax. However, no credit shall be granted for any tax paid toanother state if that state exempts from the tax vehicles sold to residentsof a state which does not give credit for the tax. Credit for taxes collectedunder the Virginia retail sales and use tax (§ 58.1-600 et seq.) shall beallowed against the tax levied for specially constructed or reconstructedvehicles and other motor vehicles subject to such tax.

B. Credit shall be granted any rentor subject to the additional tax on therental of a daily rental passenger car for a portion of the tangible personalproperty tax assessed by a Virginia locality on such car for a tax yearending after June 30, 1981. The amount of such credit shall be equal to theratio of the number of months in such tax year after June 30, to the totalnumber of months in the tax year. Any such credit may be carried over frommonth to month for a period of up to six months or until fully absorbed,whichever occurs first. To the extent any credit is claimed hereunder as toany tangible personal property tax properly assessed and not actually paidwhen due, such credit shall be subject to collection as an underpayment ofthe additional tax imposed under § 58.1-2402 A 4 as of the date the creditwas claimed, with penalties and interest as provided in § 58.1-2411.

(Code 1950, § 58-685.20; 1966, c. 587; 1974, c. 477; 1976, c. 610; 1981, c.145; 1984, c. 675; 1990, c. 163.)