VSCPA Makes Tax Appeals Recommendations to Virginia Department of Taxation

August 2, 2006

On August 2, 2006, the VSCPA Tax Appeals Task Force submitted proposed changes to a proposal from the Virginia Department of Taxation (TAX) on a new tax appeals process. The Task Force's comments represent an ongoing effort between the VSCPA and TAX to improve the appeals process in Virginia. The current hearing process only gives taxpayers the ability to resolve a dispute face-to-face at the Virginia tax commissioner's discretion.

In a letter to Virginia Tax Commissioner Janie E. Bowen, the VSCPA related several key items for further consideration before TAX submits the proposal into the regulatory drafting process. The VSCPA is in substantial agreement with the original document as drafted, and only offered enhancements to better position the provisions with taxpayers.

As a key element to enhance the effectiveness of the current appeals process, the VSCPA recommended that TAX formally adopt the guidelines as a regulation through procedures established under the Administrative Processes Act. The VSCPA also made several word change recommendations.

In addition to the proposed revisions, the VSCPA Tax Appeals Task Force would like the ability to have an appeals conference for appeals of local taxes before the tax commissioner. To make such a change, several provisions and/or definitions in the document would have to be changed, in addition to providing the locality with the ability to have a local representative present at the conference.

The VSCPA Tax Appeals Task Force was created to review several alternatives for the creation of an independent Virginia tax dispute resolution process, and has worked with TAX representatives over the past several months to make a revised process a reality. Learn more on the Task Force's actions, as well as the VSCPA's efforts to court Virginia's tax system.

For more information on the VSCPA's efforts in tax appeals, contact VSCPA Tax Appeals Task Force Chair Damon L. Desue, CPA.

For information about the VSCPA's legislative and regulatory efforts, contact VSCPA Government Affairs Director Erin Collins at (800) 733-8272.