Current through Register Vol. 41, No. 3, September 23, 2024
A.
Generally. The Virginia Retail Sales and Use Tax Act requires every individual,
partnership, corporation, etc., desiring to engage in or conduct business as a
dealer in Virginia to file an application for Certificate of Registration with
the Virginia Department of Taxation. Appropriate application forms are
available from the department. A separate application for a Certificate of
Registration is required for each place of business located in
Virginia.
B. Issuance of
Certificate of Registration.
1. Generally. The
Department of Taxation will review and approve an application for registration
and issue the dealer an official Certificate of Registration without charge for
the specific place of business noted in the application. The Certificate of
Registration is not transferable and is valid only for the designated dealer
and place of business. It must always be displayed conspicuously at the
designated place of business.
If a dealer ceases to conduct his business at the place
indicated on the Certificate of Registration, the certificate immediately
expires. The dealer is required to notify the Department of Taxation in writing
within 30 days and return the Certificate of Registration. However, if the
dealer wants to relocate his place of business in the state, he must inform the
department in writing and return the certificate so a revised certificate can
be issued. For successor upon sale of business, see
23VAC10-210-3090; for trustees,
etc., see 23VAC10-210-6010; for vending
machines, see
23VAC10-210-6040 through
23VAC10-210-6043.
2. Out-of-state dealers. Any
person who is liable only for the collection of the use tax may be issued a
Certificate of Registration. An out-of-state dealer who is required to obtain a
Certificate of Registration for the collection of the use tax only, or if not
so required, desires to obtain it as a service to his Virginia customers,
should write the Virginia Department of Taxation for an application form. He
should include in his letter a description of his business's relationship to
Virginia. See also
23VAC10-210-1090.
C. Changes in ownership or
corporation structure.
1. If a sole
proprietorship or a partnership changes to a corporation, the corporation must
apply for and obtain a Certificate of Registration.
2. If a corporation changes to a sole
proprietorship or to a partnership, the sole proprietorship or partnership must
apply for and obtain a Certificate of Registration.
3. If a partnership adds or drops a partner
and the partnership retains the same name and at least one of the original
partners, the new partnership is only required to inform the Department of
Taxation of the names of all partners under the change. If only the name of the
partnership changes, a revised Certificate of Registration will be issued. If
none of the partners in the old partnership remains a partner in the new
partnership, the new partnership must apply for and obtain a Certificate of
Registration.
4. If a partnership
becomes a sole proprietorship, the proprietor must apply for and obtain a
Certificate of Registration.
5. If
a sole proprietorship becomes a partnership, the partnership must apply for and
obtain a Certificate of Registration.
6. If a corporation changes its name without
change in corporate structure, a revised Certificate of Registration will be
issued.
7. If a subsidiary
corporation which is a registered Virginia dealer consolidates with its parent
corporation which is not a registered Virginia dealer, and the parent
corporation continues the Virginia place of business in the parent
corporation's name, the parent corporation must apply for and obtain a
Certificate of Registration.
8. If
a parent corporation which is a registered Virginia dealer forms a subsidiary
corporation, and transfers to the subsidiary corporation a Virginia place of
business, the subsidiary corporation must apply for and obtain a Certificate of
Registration.
9. If corporation "A"
which is a registered Virginia dealer merges with corporation "B" which is not
a registered Virginia dealer, and corporation "B" (the surviving corporation)
continues the Virginia place of business in "B's" name, corporation "B" must
apply for and obtain a Certificate of Registration.
10. If corporation "A" and corporation "B"
are both registered Virginia dealers, and they form corporation "C," which
continues the Virginia place or places of business, corporation "C" must apply
for and obtain a Certificate of Registration for each place of
business.
11. If corporation "A"
and corporation "B" are both registered Virginia dealers, and they merge into
one corporation under a name different from the name of corporation "A" and
different from the name of corporation "B," the merged corporation must apply
for and obtain a Certificate of Registration for each place of
business.
D. Combined
and consolidated returns.
1. Combined
registration. Any dealer who has two or more business locations for which
he/she is required to hold a certificate of registration within the same
locality may elect to file a single combined return to report and remit sales
and use tax for all locations within that locality. However, this election does
not eliminate the requirement that a certificate of registration be obtained
for each business location.
2.
Consolidated registration. Any dealer who has five or more business locations
for which he/she is required to hold a certificate of registration within the
state may request permission to file a consolidated return to report and remit
sales and use tax for all locations. By electing to file a single consolidated
return, a dealer agrees to separately account for and report sales and use tax
for each locality in which he has a business location(s) with such return. The
election to file a consolidated return does not eliminate the requirement that
a certificate of registration be obtained for each business location.
For dealers' returns, see
23VAC10-210-480.
§§ 58.1-203 and 58.1-613 of the Code of
Virginia.
