SB836: License taxes; if locality imposes tax upon business, tax shall be based upon Va. taxable income.

SENATE BILL NO. 836

Offered January 11, 2017
Prefiled November 15, 2016
A BILL to amend and reenact § 58.1-3702 of the Code of Virginia, relating to license taxes; Virginia taxable income.
Patron-- Chase

Referred to Committee on Finance

Be it enacted by the General Assembly of Virginia:

1. That § 58.1-3702 of the Code of Virginia is amended and reenacted as follows:

§ 58.1-3702. Authority of counties, cities, and towns.

The provisions of this chapter shall be the sole authority for counties, cities, and towns for the levying of the license taxes described herein. Except as provided herein, the governing body of every county, city, and town that levies such license tax may impose the tax on the gross receipts or the Virginia taxable income of the business. Virginia taxable income shall be calculated pursuant to the provisions of § 58.1-322 or 58.1-402, whichever is applicable to the business. Throughout this chapter, except in § 58.1-3731, wherever the term "gross receipts" is used, the term "Virginia taxable income" shall be substituted whenever a county, city or town selects it as the base on which to levy the license tax.