State Tax Assessments (Bills)
You have a right to seek an informal review of any bill that you believe has been incorrectly issued, or of any refund that you believe was incorrectly denied. If you are not satisfied with the informal review, you have the right to file an appeal to the Tax Commissioner under Va. Code § 58.1-1821 and request that the bill be adjusted or the refund issued.
The assessment of tax, penalty, and interest is a formal act that starts time limitations on various appeal rights as well as authorizes various collection actions by the Virginia Department of Taxation. You have the right to file an appeal directly with the Tax Commissioner if you believe that the Department has incorrectly assessed tax, penalty, and interest. A complete appeal must be filed within 90 days of the date of assessment. This 90-day limitation period is strictly enforced. See 23 VAC 10-20-165 for a full explanation of the appeals process.
Although no special form is required, certain information is required. An optional Appeals Form is available for guidance in providing all required information, and you are encouraged to use it.
Once your appeal is received, collection activity by the Department will be suspended until the Tax Commissioner issues a final determination on the appeal. Interest on any unpaid balance determined to be due will continue to accrue while the appeal is pending.
Local Tax Assessments (Bills)
Any person assessed with a local license fee or tax, a local business tax (as defined in Va. Code § 58.1-3983.1), or a local mobile property tax (as defined in Va. Code § 58.1-3983.1), as a result of a final determination following an administrative appeal to the local assessing officer, may file an appeal with the Tax Commissioner. The appeal to the Tax Commissioner must be filed within 90 days of the date of the final determination by the local assessing officer. The appeal must contain all the information required for an administrative appeal under Va. Code § 58.1-1821. The taxpayer is required to provide the local assessing officer a copy of the appeal filed with the Tax Commissioner.
- See Va. Code § 58.1-3703.1 and 23 VAC 10-500-640 through 790 for the appeals process relating to assessments of the Business, Professional and Occupational License (BPOL) tax or fee.
- The appeals procedure for a local business tax assessment is established in Va. Code § 58.1-3983.1 and explained in the Local Business Tax Appeal Guidelines (P.D. 04-28).
- An explanation of the mobile property tax appeals process can be found in the Mobile Property Tax Appeal Guidelines (P.D. 05-81).