CHAPTER 509

An Act to amend the Code of Virginia by adding a new section num-
bered 58-1162.1, relating to waiving the time limitation on the assess-
ment of omitted or additional State tazes.

[S 327]

Approved April 5, 1954

Be it enacted by the General Assembly of Virginia:

1. That the Code of Virginia be amended by adding a new section num-
bered 58-1162.1, as follows:

§ 58-1162.1. Waiver.—Where before the expiration of the time pre-
scribed in §§ 58-1160 and 58-1161 for the assessment of an omitted or
additional State tax, both the State Tax Commissioner and the taxpayer
have consented in writing to its assessment after such time, the tax may
be assessed at any time prior to the expiration of the period agreed upon.
The period so agreed upon may be extended by subsequent agreements in
writing made before the expiration of the period previously agreed upon.
An Act to amend and reenact § 58-77 of the Code of Virginia, relating to
definitions for purposes of liability for income taxes. 'S 345]

Approved April 5, 1954
Be it enacted by the General Assembly of Virginia:

ta That § 58-77 of the Code of Virginia be amended and reenacted as
ollows:

'§ 58-77. For the purpose of this chapter and unless otherwise re-
quired by the context:

(1) The word “taxpayer” includes any person, corporation, partner-
ship, trust or estate subject to a tax imposed by this chapter.

(2) The word “corporation” includes corporations, joint stock com-
panies, associations and all enterprises operated by trustees, the interest
in which is evidenced by shares of stock, whether with or without par, face
or nominal value.

(3) The word “partnership” includes all co-partnerships, whether gen-
eral or special, and whether limited or unlimited. It includes also all joint
enterprises.

(4) The word “individual” means all natural persons whether married
or unmarried and also all trusts, estates and fiduciaries acting for natural
persons. It does not include corporations or partnerships acting for or in
their own behalf.

(5) The words “taxable year” mean the calendar year or the fiscal
year ending during such calendar year upon the basis of which the net
income is computed under this chapter. The term “taxable year” includes,
in the case of a return made for a fractional part of a year under the pro-
visions of this chapter, the period for which such return is made.

(6) The words “fiscal year’ mean an accounting period of twelve
months ending on the last day of any month other than December.

(7) The word “fiduciary” means a guardian, trustee, executor, ad-
ministrator, committee, receiver or any other person, whether individual
or corporate, acting in any fiduciary capacity for any person, trust or estate.

(8) The word “resident” applies only to natural persons and includes,
for the purpose of determining liability to the taxes imposed by this
chapter upon the income of any taxable year every person domiciled in this
State on the last day of the taxable year and every other person who, for
more than six months of the taxable year, maintained his place of abode
within this State, whether domiciled in this State or not; provided, how-
ever, that any person who, during the taxable year, becomes a resident of
this State, whether domiciliary or actual, for purposes of income taxation,
by moving to this State from without this State during such taxable year,
shall be taxable on such proportion of his entire net income for the tazable
year as the number of months during which he was such resident of this
State bears to twelve months and his personal exemption shall be reduced
to an amount which bears the same ratio to the full exemption as the
number of months during which he was a resident of this State bears to
twelve months. No person to whom the foregoing proviso applies shall be
entitled to any credit on his income tax payable to this State for any income
tax paid to the State or other jurisdiction of his former domicile or actual
residence for that part of the taxable year during which he was a domi-
ciliary or actual resident of such other State or jurisdiction, notwithstand-
ing the provisions of Section 58-103. * Any person who, on or before the last
day of the taxable year, changes his place of abode to a place without this
State with the bona fide intention of continuing actually to abide per-
manently without this State shall be taxable as a resident for that portion
of the taxable year during which he was a resident of this State and his
personal exemption shall be reduced to an amount which bears the same
ratio to the full exemption as the number of months during which he was a
resident of this State bears to twelve months. The fact that a person who
has so changed his place of abode within six months from so doing again
abides within this State shall be prima facie evidence that he did not intend
permanently to have his place of abode without this State. Such person so
changing his place of abode and not intending permanently to continue it
without this State, and not having returned his income for taxation as a
resident of this State, for the purpose of having his income listed for taxa-
tion within this State, shall be deemed to have resided on the day when such
income should have been listed at his last place of abode within this State.
The fact that a person whose place of abode during the greater portion of
such twelve months has been within this State does not claim or exercise
the right to vote at public elections within this State shall not of itself, con-
stitute him a nonresident of this State within the meaning of this chapter.

(9) The word “dividend” means any distribution made by a corpo-
ration out of its earnings or profits to its shareholders or members, whether
such distribution be made in cash or in other property, other than stock in
the corporation.

(10) The word “include” when used in a definition contained in this
chapter shall not be deemed to exclude other things otherwise within the
meaning of the term defined.

2. This section, as hereby amended, shall apply to taxable years beginning
after December thirty-first, nineteen hundred and fifty-three.