58.1-655 - Bad debts. - Virginia Statutes

§ 58.1-655. Bad debts.

In any return filed under the provisions of this chapter, the communicationsservices provider 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 thatare owed to the communications services provider and that have been found tobe worthless within the period covered by the return. The credit, however,shall not exceed the amount of the uncollected payment determined by treatingprior payments on each debt as consisting of the same proportion of payment,sales tax, and other nontaxable charges as in the total debt originally owedto the communications services provider. The amount of accounts for which acredit has been taken that are thereafter in whole or in part paid to thecommunications services provider shall be included in the first return filedafter such collection.

(2006, c. 780.)