Bulletin Number
VTB 90-2
Tax Type
General Provisions
Description
Interest Rates; Second Quarter 1990
Topic
Basis of Tax
Date Issued
03-01-1990
Second Quarter Interest Rates
1990
90-2
State and certain local interest rates are subject to change every quarter. The rates for the second quarter of 1990 will be 10% for tax overpayments and 11% for tax underpayments. These rates are unchanged from the rates for the first quarter of 1990.
Rate for Addition to Tax for Underpayments of Estimated Tax
Taxpayers whose taxable year ends on March 31, 1990: For the purpose of computing the addition to the tax for underpayment of Virginia estimated income taxes on Form 760C (for individuals, estates and trusts), Form 760F (for farmers and fishermen) or Form 500C (for corporations), the second quarter 11% underpayment rate will apply through the due date of the return, July 15, 1990.
Local Tax
Localities assessing interest on delinquent taxes pursuant to Va. Code § 58. 1-3916 may impose interest at a rate not to exceed the underpayment rates which are in effect for the applicable quarters of the second and subsequent years of delinquency. For the second quarter of 1990, the underpayment rate is 1 1%. Localities which have provided for refund of erroneously assessed taxes may provide by ordinance that such refund be repaid with interest at a rate which does not exceed the rate imposed by the locality for delinquent taxes.
Recent Interest Rates
Underpayment Overpayment Period Rate Period (Assessment) Refund)1 / 1 /83 -6/30/83 16% 1 / 1 /87 -9/30/87 9% 8%
7/ 1 /83 -12/31 /84 11 % 10/ 1 /87 -12/31 /87 10% 9%
1 / 1 /85 -6/30/85 13% 1 / 1 /88 -3/31 /88 11 % 10%
7/1/85 -12/31/85 11% 4/1/88 -9/30/88 10% 9%
1 / 1 /86 -6/30/86 10% 10/ 1 /88 -3/31 /89 11% 10%
7/1/86 -12/31/86 9% 4/1/89 -9/30/89 12% 11%
10/ 1 /89 -6/30/90 11% 10%
Questions about interest rates may be directed to the Taxpayer Assistance Section, office Services Division, Virginia Department of Taxation, P. O. Box 6-L, Richmond, Virginia 23282. or(804)367-8031 (Individual) or (804)367-8036 (Corporation)
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