Tag: Virginia Department of Taxation

What is a Pass-through Entity Tax? The Tax Cuts and Jobs Act of 2017 (TCJA) imposed a $10,000 limitation on the state and local tax (SALT) deduction for individuals who itemize deductions on their federal income tax return for tax years beginning after 2017 and before 2026. In response, many states have enacted a mandatory or elective pass-through entity (PTE) tax as a workaround to the SALT cap. The PTE tax allows eligible pass-through entities to deduct state taxes at… Read more ›

Virginia filers who experienced a tax liability in 2021 are eligible for a one-time tax rebate. The Virginia Department of Taxation announced that qualifying single filers may receive up to $250 and joint filers may receive up to $500 for the Virginia tax rebate. The Department defines a liability as “the amount of tax you owe throughout the year minus any credits like the credit for taxes you paid to another state or the credit for low-income individuals.” Eligible taxpayers… Read more ›