Income tax, state; conformity with the Internal Revenue Code. (HB1935)

Introduced By

Del. Vivian Watts (D-Annandale) with support from co-patron Del. Kathleen Murphy (D-McLean)


Passed Committee
Passed House
Passed Senate
Signed by Governor
Became Law


Conformity of the Commonwealth's taxation system with the Internal Revenue Code; emergency. Advances Virginia's date of conformity with the Internal Revenue Code from December 31, 2019, to December 31, 2020. The bill deconforms from the suspension of the overall limitation on itemized deductions and the reduction in the medical expense deduction floor for taxable year 2017 and taxable years on and after January 1, 2019, and from the provisions of the federal Coronavirus Aid, Relief, and Economic Security Act (CARES Act) related to the net operating loss limitation and carryback, a loss limitation applicable to taxpayers other than corporations, the limitation on business interest, and certain loan forgiveness and other business financial assistance. The bill provides an individual and corporate income tax deduction or subtraction, as applicable, of up to $100,000 for Rebuild Virginia grants and certain amounts related to Paycheck Protection Program loans. The bill contains an emergency clause and is identical to SB 1146. Read the Bill »


03/15/2021: signed by governor


01/11/2021Prefiled and ordered printed with emergency clause; offered 01/13/21 21102183D
01/11/2021Referred to Committee on Finance
01/16/2021Impact statement from TAX (HB1935)
01/18/2021House committee, floor amendments and substitutes offered
01/18/2021Reported from Finance with substitute (14-Y 8-N) (see vote tally)
01/18/2021Committee substitute printed 21103005D-H1
01/19/2021Read first time
01/20/2021Passed by for the day
01/21/2021Passed by for the day
01/22/2021Passed by for the day
01/25/2021Passed by for the day
01/26/2021Passed by for the day
01/27/2021Passed by for the day
01/28/2021Passed by for the day
01/29/2021Passed by for the day
02/01/2021Passed by for the day
02/02/2021Passed by for the day
02/03/2021Passed by for the day
02/04/2021Read second time
02/04/2021Passed by temporarily
02/04/2021Floor substitute printed 21104437D-H2 (Watts)
02/04/2021Amendment by Delegate Watts withdrawn
02/04/2021Committee on Finance substitute rejected 21103005D-H1
02/04/2021Substitute by Delegate Watts agreed to 21104437D-H2
02/04/2021Emergency clause deleted
02/04/2021Engrossed by House - floor substitute HB1935H2
02/05/2021Pending question ordered
02/05/2021Constitutional reading dispensed
02/05/2021Read third time and passed House (55-Y 43-N)
02/05/2021VOTE: Passage (55-Y 43-N) (see vote tally)
02/05/2021Referred to Committee on Finance and Appropriations
02/05/2021Impact statement from TAX (HB1935H2)
02/05/2021Continued to 2021 Sp. Sess. 1 in Finance and Appropriations (16-Y 0-N) (see vote tally)
02/16/2021Senate committee, floor amendments and substitutes offered
02/16/2021Reported from Finance and Appropriations with substitute (13-Y 0-N) (see vote tally)
02/16/2021Committee substitute printed 21200244D-S1
02/16/2021Constitutional reading dispensed (37-Y 0-N) (see vote tally)
02/17/2021Read third time
02/17/2021Reading of substitute waived
02/17/2021Committee substitute agreed to 21200244D-S1
02/17/2021Reading of amendments waived
02/17/2021Amendments by Senator McDougle rejected (17-Y 22-N) (see vote tally)
02/17/2021Engrossed by Senate - committee substitute HB1935S1
02/17/2021Passed Senate with substitute (38-Y 1-N) (see vote tally)
02/18/2021Placed on Calendar
02/18/2021Senate substitute rejected by House 21200244D-S1 (5-Y 95-N)
02/18/2021VOTE: REJECTED (5-Y 95-N) (see vote tally)
02/19/2021Senate insisted on substitute (38-Y 0-N)
02/19/2021Senate requested conference committee
02/19/2021House acceded to request
02/19/2021Conferees appointed by House
02/19/2021Delegates: Watts, Torian, Knight
02/19/2021Conferees appointed by Senate
02/19/2021Senators: Howell, Barker, Newman
02/25/2021C Amended by conference committee
02/25/2021Conference substitute printed 21200691D-H3
02/25/2021Substitute bill reprinted 21200691D-H3
02/25/2021Conference report agreed to by House (94-Y 2-N)
02/25/2021VOTE: Agreed To (94-Y 2-N)
02/26/2021Impact statement from TAX (HB1935H2)
02/27/2021Conference report agreed to by Senate (38-Y 0-N)
02/27/2021Emergency clause added
03/09/2021Bill text as passed House and Senate (HB1935ER)
03/09/2021Signed by President
03/11/2021Signed by Speaker
03/15/2021Enrolled Bill communicated to Governor on March 15, 2021
03/15/2021G Governor's Action Deadline 11:59 p.m., March 31, 2021
03/15/2021G Approved by Governor-Chapter 117 (effective 3/15/21)
03/15/2021G Acts of Assembly Chapter text (CHAP0117)
05/18/2021Impact statement from TAX (HB1935ER)