Virginia Administrative Code
Title 23 - TAXATION
Agency 10 - DEPARTMENT OF TAXATION
Chapter 115 - FIDUCIARY INCOME TAX
Part II - Fiduciary Estimated Tax
Section 23VAC10-115-160 - Additions to the tax

A. In the case of an underpayment of any installment of estimated tax by an estate or trust, except as provided in 23VAC10-115-163, there shall be added to the income tax for the taxable year an amount determined at the underpayment rate established for interest under § 58.1-15 of the Code of Virginia, upon the amount of the underpayment (determined under 23VAC10-115-161) , for the period of the underpayment (determined under 23VAC10-115-162) . The amount of such addition to the tax shall be reported and paid at the time of filing the fiduciary income tax return for the taxable year.

B. For the purpose of computing the addition with respect to an underpayment of the final installment, the underpayment rate which applies to the third month following the end of the taxable year shall apply until the due date of the income tax return. For example, in the case of an estate or trust on a calendar year reporting for 1988, the underpayment rate in effect for the month of March, 1989, will apply through May 1, 1989, in computing the addition to the tax.