During the 2011 session, the Virginia General Assembly created three port-related tax credits. In 2012, the Department of Taxation published guidelines related to the administration of these tax credits, including rules regarding the computation and carryover of credits, the establishment of criteria for qualifying taxpayers, the treatment of credits claimed by affiliated companies, and the application of any recapture provisions. The Department has subsequently published several updated versions to reflect legislative changes. The most recent guidelines were published on September 5, 2014.

Legislative History

2011 Legislation:

  • Created the Barge and Rail Usage Tax Credit (House Bill 2385 and Senate Bill 1282);
  • Created the International Trade Facility Tax Credit (Senate Bill 1136); and
  • Created the Port Volume Increase Tax Credit (House Bill 2531 and Senate Bill 1481).

2012 House Bill 1183 and Senate Bill 578:

  • Extended the sunset date of all three port-related tax credits;
  • Increased the jobs portion of the International Trade Facility Tax Credit; and
  • Extended the Barge and Rail Usage Tax Credit so that it may be claimed for qualified shipments of noncontainerized cargo.

2013 House Bill 1824:

  • Expanded the Port Volume Increase Tax Credit to include taxpayers that are agricultural entities and mineral and gas entities, in addition to manufacturing-related entities; and
  • Clarified the base year requirements for such entities.

2014 House Bill 873:

  • Changed the annual credit cap for the Barge and Rail Usage and International Trade Facility Tax Credits;
  • Decreased the cargo threshold for the International Trade Facility Tax Credit;
  • Expanded the type of cargo that qualifies for the port-related credits to include roll-on/roll-off cargo;
  • Allowed qualifying taxpayers to both the Port Volume Increase Tax Credit and the Barge and Rail Usage Tax Credit for the same cargo; and
  • Required the Department to provide specified tax credit information to the Virginia Port Authority.

The Department will continue to publish updated guidelines as necessary.

Final Updated Guidelines (Published September 5, 2014)

Legislative Documents

(Fiscal Impact Statements do not reflect the Governor's amendments.)

2014 HB 873 Text PDF Fiscal Impact Statement
2013 HB 1824 Text PDF Fiscal Impact Statement
2012 HB 1183 Text PDF Fiscal Impact Statement
2012 SB 578 Text PDF Fiscal Impact Statement
2011 HB 2385 Text PDF Fiscal Impact Statement
2011 SB 1282 Text PDF Fiscal Impact Statement
2011 SB 1136 Text PDF Fiscal Impact Statement
2011 HB 2531 Text PDF Fiscal Impact Statement
2011 SB 1481 Text PDF Fiscal Impact Statement

Prior Guidelines

Prior Updated Barge and Rail Usage Tax Credit Guidelines (PDF 64 KB) - updated December 7, 2012
Prior Updated International Trade Facility Tax Credit Guidelines (PDF 96 KB) - updated December 7, 2012
Prior Updated Port Volume Increase Tax Credit Guidelines (PDF 76 KB) - updated July 1, 2013
Prior Barge and Rail Usage Tax Credit Guidelines (PDF 64 KB) - published on April 17, 2012
Prior International Trade Facility Tax Credit Guidelines (PDF 96 KB) - published on April 17, 2012
Prior Port Volume Increase Tax Credit Guidelines (PDF 127 KB) - published on April 17, 2012