The Virginia Department of Taxation (TAX) said Wednesday that it will not be participating in the U.S. Internal Revenue Service’s (IRS) soft launch and an opening date for individual tax return and business tax return filing (corporate, pass-through entity and fiduciary) has not been decided.
The lack of a decision is likely related to the lack of guidance on Virginia’s conformity with the U.S. Internal Revenue Code (IRC) for tax year 2018. Currently, tax conformity is frozen as of Feb. 9, 2018. However, during the 2018 legislative session, the General Assembly specifically did not conform to the Tax Cuts & Jobs Act, leaving the majority of Virginia’s conformity-related tax law frozen at 2017.
Starting filing season without a decision on tax conformity could lead to costly, time-consuming amended returns and changes to tax software. To help the VSCPA get tax conformity passed quickly, visit vscpa.com/VoterVoice.