Income tax, state; exemption for any income taxed as long-term capital gain for federal income tax. (SB428)

Introduced By

Sen. Mark Herring (D-Leesburg) with support from co-patron Sen. Steve Martin (R-Chesterfield)


Passed Committee
Passed House
Passed Senate
Signed by Governor
Became Law


Income taxes; recognition of income from capital gains.  Grants an income tax exemption for any gain taxed as a capital gain for federal income tax purposes, on or after January 1, 2010, that is related to a qualified investment of a technology and science start-up business made in the first three years in which the business was founded. Read the Bill »


Bill Has Passed


01/13/2010Prefiled and ordered printed; offered 01/13/10 10103716D
01/13/2010Referred to Committee on Finance
02/01/2010Impact statement from TAX (SB428)
02/03/2010Committee substitute printed 10104730D-S1
02/03/2010Reported from Finance with substitute (14-Y 1-N) (see vote tally)
02/04/2010Constitutional reading dispensed (40-Y 0-N) (see vote tally)
02/08/2010Read second time
02/08/2010Reading of substitute waived
02/08/2010Committee substitute agreed to 10104730D-S1
02/08/2010Engrossed by Senate - committee substitute SB428S1
02/09/2010Read third time and passed Senate (40-Y 0-N) (see vote tally)
02/14/2010Impact statement from TAX (SB428S1)
02/16/2010Placed on Calendar
02/16/2010Read first time
02/16/2010Referred to Committee on Finance
02/17/2010Assigned Finance sub: #2
02/24/2010Subcommittee recommends reporting with amendment(s) (10-Y 0-N)
03/01/2010Reported from Finance with amendment (22-Y 0-N) (see vote tally)
03/02/2010Read second time
03/03/2010Read third time
03/03/2010Committee amendment rejected
03/03/2010Floor substitute printed 10105812D-H1 (Nixon)
03/03/2010Substitute by Delegate Nixon agreed to 10105812D-H1
03/03/2010Amendment by Delegate Sickles rejected (36-Y 63-N)
03/03/2010VOTE: --- ADOPTION (36-Y 63-N) (see vote tally)
03/03/2010Engrossed by House - floor substitute SB428H1
03/03/2010Passed House with substitute (99-Y 0-N)
03/03/2010VOTE: --- PASSAGE (99-Y 0-N) (see vote tally)
03/03/2010House substitute agreed to by Senate (36-Y 2-N) (see vote tally)
03/03/2010Title replaced 10105812D-H1
03/05/2010Impact statement from TAX (SB428ER)
03/11/2010Bill text as passed Senate and House (SB428ER)
03/11/2010Signed by Speaker
03/13/2010Signed by President
04/13/2010Governor's recommendation received by Senate
04/20/2010Placed on Calendar
04/21/2010Senate concurred in Governor's recommendation (40-Y 0-N) (see vote tally)
04/21/2010House concurred in Governor's recommendation (95-Y 0-N)
04/21/2010VOTE: --- ADOPTION (95-Y 0-N) (see vote tally)
04/21/2010G Emergency clause added by Governor's recommendation
04/21/2010G Governor's recommendation adopted
04/21/2010Reenrolled bill text (SB428ER2)
04/21/2010Signed by Speaker as reenrolled
04/21/2010Signed by President as reenrolled
04/21/2010Enacted, Chapter 802 (effective 4/21/10)
04/21/2010G Acts of Assembly Chapter text (CHAP0802)


This bill was discussed on the floor of the General Assembly. Below is all of the video that we have of that discussion, 5 clips in all, totaling 12 minutes.


VaBIO writes:

This bill is designed to encourage private investment in small, advanced technology companies during the next three years. If a venture is successful and is eventually sold, the amount of the gain is excluded from the state's 5.75% tax.