Tax Type
Intangible Personal Property Tax
Description
Capital not otherwise taxed
Topic
Appropriateness of Audit Methodology
Property Subject to Tax
Date Issued
07-14-1986
July 14, 1986
Re: §58.1-1821 Application/Capital Not Otherwise Taxed
Dear *********************
This will reply to your letter of April 29, 1986 in which you seek relief of assessments of Virginia tax on capital not otherwise taxed against************** ("Taxpayer").
Facts
Taxpayer's capital account was audited in January 1980 for the years 1977, 1978 and 1979 and assessments were made on June 23, 1980 (for 1977) and April 23, 1981 (for 1978 and 1979). The department, by letter dated March 11, 1982, answered questions Taxpayer raised concerning the audit. By letter dated November 4, 1982, the department advised Taxpayer of its available administrative remedies. Because the department heard nothing further from the Taxpayer, the department took the actions necessary to collect the assessment and caused a Memorandum of Lien to be filed in April 1986. Taxpayer paid the assessment at that time.
Taxpayer protests the assessment of additional tax and interest but does not dispute the dates of the assessment.
Determination
§ 58.1-1821 (formerly 58-1118) of the Code of Virginia provides the right of appeal to the Tax Commissioner within 90 days from the date of assessment. § 58.1-1825 provides the right of appeal to court within three years from the date of assessment. (Until 1980, §58-1130, the predecessor to §58.1-1825, provided the right of appeal to court within two years from the thirty-first day of December of the year in which the assessment was made.)
Based on the facts presented and because the rights of appeal provided by the above-referenced statutes have expired, and because there are no other statutes which would provide appeal rights in these circumstances, I regret there is nothing further I can do in this matter. Accordingly, the assessments are valid.
Sincerely,
W. H. Forst
Tax Commissioner
Rulings of the Tax Commissioner