Chap. 46.—An ACT to amend and re-enact sections 31, 36, 36-a, 41 and 51 of
the tax Code of Virginia, in relation to income taxes. [S B 61]

Approved February 21, 1930

I. Be it enacted by the general assembly of Virginia, That sec-
tions thirty-one, thirty-six, thirty-six-a, forty-one and fifty-one of the
tax Code of Virginia, be amended and re-enacted so as to read as
follows:

Section 31. Information returns.—Every corporation subject
to the jurisdiction of this State shall, when required by the depart-
ment of taxation, render a correct return, duly verified under oath,
of its payments of dividends to residents of this State, stating the
name and address of each shareholder, the number of shares owned
by him, and the amount of dividends paid to him.

Every person, firm and corporation, subject to the jurisdiction of
this State, in whatever capacity acting, including lessees or mortgagors
of real or personal property, fiduciaries, and employers, making pay-
ment to another person, firm or corporation, of interest, rent, salaries,
wages, premiums, annuities, compensations, remunerations, emolu-
nents, or other fixed or determinable gains, profits, and income (other
han payments described in the next preceding paragraph), of twelve
aundred and fifty dollars or more in any taxable vear. or. in the caca
of such payments made by the Commonwealth of Virginia and its
political subdivisions, the officers or employees of this State or of its
political subdivisions having information as to such payments and
required to make returns in regard thereto by the regulations herein-
after provided for, shall render a true and accurate return to the de-
partment of taxation, under such regulations and in such form and
manner and to such extent as may be prescribed by it, setting forth
the amount of such gains, profits, and income, and the name and address
of the recipient of such payment. Such returns may be required, re-
gardless of amounts, in the case of payments of interest upon bonds,
mortgages, deeds of trust, or other similar obligations of corporations.
When necessary to make effective the provisions of this section the
name and address of the recipient of the income shall be furnished
upon demand of the person paying the income. The provisions of this
section shall not apply to the payment of interest on obligations of the
United States or of this State; nor shall the provisions of this section
be so construed as to require such information return as to the recipient
of any such payment as is hereinbefore described, where such recipient
is not subject to taxation under the income laws of this State.

Corporations and partnerships required to file annual information
returns shall file the same on or before April fifteenth of each year,
and individuals required to file annual information returns shall file the
same on or before June first of each year. In all cases such annual
information returns shall give such information for the calendar year
next preceding the calendar year in which they are required by this
chapter to be filed.

This section, as hereby amended, shall be in force for the taxable
year nineteen hundred and thirty and for every taxable year there-
after until otherwise provided by law.

Section 36. Personal exemptions allowed individuals.—The fol-
lowing exemptions shall be allowed to individuals reporting income as
required by this chapter:

In the case of an unmarried person, the personal exemption shall
be twelve hundred and fifty dollars; in the case of a husband and wife,
living together, and in the case of a widow or widowers with a de-
pendent minor child or dependent minor children, the personal ex-
emption shall be twenty-eight hundred dollars. For each person other
than the husband or wife dependent upon and entirely supported by
the taxpayer during the taxable year, the personal exemption shall be
four hundred dollars. A husband and wife living together shall re-
ceive but one personal exemption of twenty-eight hundred dollars
against their aggregate income, if a joint return is filed, but a husband
and wife not living together shall make separate returns, and a husband
and wife living together but having separate incomes may make sepa-
rate returns. In all cases where separate returns are made by the
husband and wife the personal exemption allowed upon each shall be
fourteen hundred dollars. If husband and wife living together elect to
file separate returns, each is required to file a return if his or her gross
income, as the case may be, amounted to fourteen hundred dollars or
more for the taxable year.

This section, as hereby amended, shall be in force for the taxable
year nineteen hundred and thirty and for every taxable year there-
after until otherwise provided by law.

Section 36-a. Further as to personal exemptions allowed indi-
viduals—A taxpayer who has had dependent upon him and who has
entirely supported during the taxable year a person bearing the rela-
tionship to the taxpayer of father or mother, son or daughter, or sister
or brother, shall be allowed a personal exemption of twenty-eight hun-
dred dollars. For each person dependent upon and entirely supported
by the taxpayer during the taxable year, the personal exemption shall
be increased four hundred dollars. But this section shall not apply to
any taxpayer who is given the personal exemption of twenty-eight
hundred dollars by section thirty-six of the tax Code of Virginia.

This section, as hereby amended, shall be in force for the taxable
year nineteen hundred and thirty and for every taxable year thereafter
until otherwise provided by law.

Section 41. Who must file individual income tax returns and
where.—Every individual having a gross income for the taxable year
of twelve hundred and fifty dollars or over, if unmarried, or if mar-
ried and not living with husband or wife, and every individual having
a gross income for the taxable year of twenty-eight hundred dollars
or over, if married and living with husband or wife, and every widow
or widower with a dependent minor child or dependent minor children
having a gross income for the taxable year of twenty-eight hundred
dollars or over, shall make under oath a return stating specifically the
items of his entire income and the items which he claims as deductions
and exemptions allowed by this chapter. }

Every resident individual who is required by this chapter to file
a return shall file his return with the commissioner of the revenue
for the county or city in which he resides, and every nonresident indi-
vidual who is required by this chapter to file a return shall file his re-
turn with the commissioner of ‘the revenue for the county or city in
which all or a part of his income from sources within this State was
derived. If the individual is unable to make his own return, the re-
turn shall be made by a duly authorized agent.

This section, as hereby amended, shall be in force for the taxable
year nineteen hundred and thirty and for every taxable year there-
after until otherwise provided by law.

Section 51. Fiduciary returns.—Every fiduciary (except receivers
appointed by authority of law in possession of part only of the prop-
erty of a taxpayer) shall make under oath a return for the person or
estate or trust for whom or for which he acts, as follows:

First. If he acts for a living person whose entire income from
whatever source derived is in his charge and the net income of such
individual is twelve hundred and fifty dollars or over if single, or if
married and not living with husband or wife, or twenty-eight hundred
dollars or over 1f married and living with husband or wife, or if a
widow or widower with a dependent minor child or dependent minor
children.

Second. If he acts (a) for an estate of a deceased person during
the period of administration or settlement, whether or not the income
of such estate during such period of administration or settlement is
properly paid or credited to any legatee, heir or other beneficiary ;
(b) for an estate or trust the income of which is accumulated in trust
for the beneht of unborn or unascertained persons, or persons with
contingent interests; or (c) for an estate or trust the income of which
is held for future distribution or is distributable in the discretion of
the fiduciary under the terms of the will or trust; and the net income
of such estate or trust is twelve hundred and fifty dollars or over.

Third. If he acts (a) for an estate or trust the income of which
is to be distributed to the beneficiaries periodically; or (b) as the
guardian of an infant whose income is to be held or distributed as the
court may direct; and any beneficiary of such estate or trust receives
or is entitled to a distributive share of the income of the estate or
trust of twelve hundred and fifty dollars or more. The return made
by a fiduciary shall state specifically the items of the gross income
and the deductions and exemptions allowed by this chapter. Under
such regulations as the department of taxation may prescribe, a return
made by one or two or more joint fiduciaries shall be a sufficient com-
plance with the above requirements. The fiduciary shall make oath
that he has sufficient knowledge of the affairs of the individuals, estate
or trust for whom or which he acts to enable him to make the return,
and that the same is, to the best of his knowledge and belief, true and
SOTreEct,

Fiduciaries required to make returns under this chapter shall be
subject to all the provisions of this chapter which apply to other tax-
payers, except that every fiduciary who is required by this chapter to
file a return shall file such return with the examiner of records having
jurisdiction in the county or city in which the fiduciary qualified, or
if there has been no qualification in this State, in the county or city
in which such fiduciary resides, does business, or has an office, or
wherein the beneficiary or any of them may reside. Fiduciary returns
shall be filed within the time required by this chapter for the filing of
individual returns, and for failure to file returns in time, fiduciaries
shall be subject to the same penalties as individuals.

Each examiner of records receiving returns shall make a report
thereof to the commissioner of the revenue for the county or city in
which the taxes are properly assessable, the form of which report shall
be prescribed by the department of taxation, and such commissioner
of the revenue shall assess the taxes upon his income book. The re-
ports aforesaid shall be filed by the examiner of records with the com-
missioner of the revenue on or before June first of each year. For
good cause shown, the department of taxation may extend the time
for the filing of such reports by examiners of records.
The provisions of section forty-six hereof shall be applicable to
all fiduciary returns of income, except that such returns shall be for-
warded to the department of taxation by each examiner of records as
soon as he files his report based thereon with the commissioner of the
revenue. :

This section, as hereby amended, shall be in force for the taxable
year nineteen hundred and thirty and for every taxable year thereafter
until otherwise provided by law.