Tax Type
Individual Income Tax
Description
Protective claim for refund
Topic
Payment and Refund
Date Issued
01-20-1987
January 20, 1987
Re: Virginia Code §58.1-1824 / Protective Claim for Refund
Individual Income Tax
Dear*****************
This is in response to my letters to you dated March 13, 198 and May 30, 1984, in which the department accepted********** protective claims for refunds for the above mentioned years. These claims were made pursuant to litigation pending before the Supreme Court of Virginia in the cases of David Paul Weaver v. Department of Taxation, John C. Smith v. Department of Taxation and Tilford A. Jones v. Department of Taxation.
On November 26, 1986 the Supreme Court of Virginia, in the case of Department of Taxation v. John C. Smith, et al., reversed the orders of the trial court and ruled in favor of the Department of Taxation. In so ruling, the court has upheld the department's long standing position that no credit is available against Virginia income tax for payments of taxes on the same income collected by Maryland under that state's "piggyback" local income tax. Therefore, since your client's claims for refund were made pursuant to and limited to the issue in the Weaver, Smith and Jones cases, your client's claims for refunds are hereby denied.
Under the provisions of Virginia Code §58.1-1824, your client has one year from the date of this determination to preserve his judicial remedies under Virginia Code §58.1-1825.
Sincerely,
W. H. Forst
Tax Commissioner
Rulings of the Tax Commissioner