8.01-184.1 - Declaratory judgment to adjudicate constitutional nexus. - Virginia Statutes

§ 8.01-184.1. Declaratory judgment to adjudicate constitutional nexus.

A. Circuit courts shall have original jurisdiction over civil actions seekingdeclaratory judgment where:

1. The party seeking declaratory relief is a business that (i) is organizedunder the laws of the Commonwealth or a sole proprietorship owned by aCommonwealth domiciliary, or (ii) has qualified to do business in theCommonwealth; and

2. The responding party is a government official of another state, orpolitical subdivision of another state, who asserts that the business inquestion is or was in the past obliged to collect sales or use taxes for suchstate or political subdivision based upon conduct of the business occurringwholly or partially within the Commonwealth.

B. Any business meeting the requirements and facing the circumstancesdescribed in subsection A shall be entitled to declaratory relief on theissue of whether the requirement of another state, or political subdivisionof another state, that the business collect and remit sales or use taxes tothat state, or political subdivision, in the factual circumstances of thebusiness' operations giving rise to the demand, constitutes an undue burdenon interstate commerce within the meaning of Article I, Section 8, Clause 3of the United States Constitution.

C. Any government official meeting the requirements of subdivision A 2 shallbe subject to the personal jurisdiction of Virginia circuit courts to theextent permitted by the Constitution of the United States. This subsectionshall govern personal jurisdiction in actions under this section, and shallconstitute authorization for purposes of § 8.01-330.

(2004, cc. 609, 647; 2005, cc. 736, 800.)