In addition to the deductions below, Virginia law allows for several subtractions from income that may reduce your tax liability .
If you claimed the criterion deduction on your federal income tax reelect, you must besides claim the standard discount on your Virginia return. Virginia standard deduction amounts are :
|Filing Status||Description||Standard Deduction|
|1||All Returns – Single||$4,500|
|2||All Returns – Married, Filing Jointly||$9,000|
|3||Form 760 (resident) – Married, filing separate returns||$4,500|
|3||Form 760PY (part-year resident) – Married, filing separate returns||$4,500*|
|3||Form 763 (nonresident) – Married, spouse has no income from any source||$4,500|
|4||Form 760 (resident)||N/A|
|4||Form 760-PY (part-year resident) – Married, filing separately on a combined return||$9,000*|
|4||Form 763 (nonresident) – Married, filing separate returns||$4,500|
* Part-year residents must prorate the standard deduction based on their time period of residency. For details, see the instructions for Form 760-PY.
Reading: Deductions | Virginia Tax
Beginning with your 2022 income taxes ( returns due in 2023 ), the criterion deduction will increase to :
|Filing Status||Description||Standard Deduction|
|1||All Returns – Single||$8,000|
|2||All Returns – Married, Filing Jointly||$16,000|
|3||Form 760 (resident) – Married, filing separate returns||$8,000|
|3||Form 760PY (part-year resident) – Married, filing separate returns||$8,000*|
|3||Form 763 (nonresident) – Married, spouse has no income from any source||$8,000|
|4||Form 760 (resident)||N/A|
|4||Form 760-PY (part-year resident) – Married, filing separately on a combined return||$16,000*|
|4||Form 763 (nonresident) – Married, filing separate returns||$8,000|
This increase depends on Virginia hitting sealed gross targets. If the targets aren ’ t met, the standard deduction will increase to $ 7,500 and $ 15,000, respectively .
Virginia Itemized Deductions
If you itemize your deductions on your federal income tax reelect, you must besides itemize them on your Virginia come back. Complete the Virginia Schedule A, and attach it to your return key. You can claim most of the same deductions on your Virginia return that you did on your federal schedule A .
Part-year residents should complete the calculation using only the deductions paid for while Virginia residents .
Married Couples Filing Separate Returns
If you filed a joint union income tax return, but your Virginia filing status is married, filing individually, you ’ ll indigence to divide your deductions between both spouses. generally, you can claim the deductions you personally paid for. If you can ’ t individually account for the deductions, you can allocate them based on the percentage of income for each spouse. For example, if your federal adjust arrant income ( FAGI ) represents 25 % of the copulate ‘s joint FAGI, then you may claim 25 % of the total enumerate deductions from federal Schedule A .
Child and Dependent Care Expenses
You may claim this subtraction on your Virginia return if you were eligible to claim a credit for child and dependent manage expenses on your federal retort. Enter the measure on which the federal credit for child and dependent manage is based. ( This is the amount on federal form 2441 that is multiplied by the decimal come – up to $ 8,000 for one pendent and $ 16,000 for 2 or more ). Do not enter the union credit come .
If you were unable to claim this deduction on your federal fall because your adjust arrant income exceeded the utmost amount allowed, you may still claim it on your Virginia return .
Example: Jon and Mary have three children in day manage. Both their incomes exceed the maximum federal child care expense sum of $ 6,000. Their actual child care expenses were $ 4,000. therefore, on their federal return, their child care credit was based on $ 4,000 ( from credit line 6 of Form 2441 ) .
Based on the information from form 2441, Jon and Mary will subtract $ 4,000 on their Virginia return – the expenses on which they based their credit .
Tip: The total of employment-related expenses that may be subtracted is limited to the sum actually used in computing the federal credit for child and pendent care expenses. As a general dominion, you are limited to a utmost of $ 3,000 for one child and $ 6,000 if you are claiming the expenses for two or more dependents, or the earned income of the spouse having the lowest income, whichever is less .
Caution: Filers frequently deduct their federal citation total by mistake, which results in a much lower deduction. Be sure to use the qualify expense sum for your Virginia subtraction .
Foster Care Deduction
Foster parents may claim a deduction of $ 1,000 for each child residing in their home under permanent wave foster care, as defined in the Code of Virginia, provided that they claim the foster child as a dependent on their federal and Virginia income tax returns .
Bone Marrow Screening Fee
enter the measure of the fee paid for an initial cover to become a possible cram kernel donor, provided you were not reimbursed for the fee and did not claim a deduction for the tip on your federal reelect .
Virginia College Savings Plan Prepaid Tuition Contract Payments and College Savings Trust Account Contributions
If you are under age 70 on or before Dec. 31 of the taxable year, enter the lesser of $ 4,000 or the amount contributed during the taxable class to each Virginia529 report ( Virginia 529 prepay, Virginia 529 invest, College America, CollegeWealth ). If you contributed more than $ 4,000 per score during the taxable year, you may carry ahead any undeducted amounts until the contribution has been in full deducted. however, if you are long time 70 or older on or before Dec. 31 of the taxable class, you may deduct the entire amount contributed during the taxable class. only the owner of record for an history may claim a discount for contributions made.
Continuing Teacher Education
A license chief or secondary school teacher may enter a deduction equal to 20 % of unreimbursed tutelage costs incurred to attend continuing teacher department of education courses that are required as a stipulate of employment, provided these expenses were not deducted from federal adjusted crude income .
Beginning with your 2022 Virginia income tax return ( reappearance filed in 2023 ), eligible educators may deduct up to $ 500 for :
- professional development courses, and
- purchase of qualifying equipment, supplies, and materials used directly in the service of students.
Qualifying items include :
- Computer equipment, software, and related services,
- Supplementary materials, and
- Other educational and teaching equipment.
To qualify for the subtraction, the educator must make the purchase themselves and not be reimbursed by their school or educational mental hospital. You can ’ triiodothyronine withhold any expenses that were besides deducted on your federal income tax rejoinder .
eligible educators are those who have worked for an accredit Virginia public or individual elementary or junior-grade school for at least 900 hours during the year, as a Virginia-licensed :
- student counselor,
- special needs personnel, or
- student aide.
Long-Term Health Care Premiums
enroll the total of premiums paid for long-run health care indemnity, provided you did not claim a tax write-off for long-run health care policy premiums on your federal recurrence. The Virginia discount for long-run health wish insurance premiums is wholly disallowed if you claimed a federal income tax subtraction of any measure for long-run health care insurance premiums paid during the taxable class .
Virginia Public School Construction Grants Program and Fund
record the sum of sum contributions to the Virginia Public School Construction Grants Program and Fund, provided that you have not claimed a deduction for this amount on your federal income tax tax return .
Tobacco Quota Buyout
Allows a deduction from taxable income for payments received in the preceding year in accord with the Tobacco Quota Buyout Program of the American Jobs Creation Act of 2004 to the extent included in federal adjusted gross income. For example, on your 2020 Virginia return you may deduct the part of such payments received in 2019 that is included in your 2019 federal adjusted gross income ; while payments received in 2020 may generate a deduction on your 2021 Virginia render. Individuals can not claim a discount for a payment that has been, or will be, subtracted by a pot unless the subtraction is shown on a Schedule VK-1 you received from an S-corporation. If you chose to accept payment in installments, the acquire from the installment received in the precede year may be deducted. If, however, you opted to receive a one requital, 10 % of the addition recognized for federal purposes in the year that the requital was received may be deducted in the follow year and in each of the 9 succeeding taxable years .
Sales Tax Paid on Certain Energy Efficient Equipment or Appliances
Allows an income tax deduction for 20 % of the sales tax paid on certain department of energy effective equipment or appliances, up to $ 500 per year. If filing a joint return, you may deduct up to $ 1,000 .
Organ and Tissue Donor Expenses
Allows a subtraction for unreimbursed expenses that are paid by a be organ and tissue donor that have not been taken as a medical discount on the taxpayer ‘s federal income tax restitution. The measure of the subtraction is the lesser of $ 5,000 or the actual amount paid by the taxpayer. If filing a joint revert, the deduction is limited to $ 10,000 or the actual measure paid .
Enter the remainder between 18 cents per mile and the charitable mileage tax write-off per mile allowed on federal Schedule A. If you used actual expenses for the charitable mileage deduction, and those expenses were less than 18 cents per mile, then you may use the difference between actual expenses and 18 cents per mile .
Virginia Bank Franchise Tax
A stockholder of a trust may be required to make certain adjustments to his or her federal adjusted crude income. such adjustments are required only if the stockholder invests in a savings bank that ( 1 ) is subject to the Virginia Bank Franchise Tax for department of state tax purposes ( Va. Code § 58.1-1207 ) and ( 2 ) has elected to be taxed as a minor business corporation ( S corporation ) for federal tax purposes. Complete the worksheet below to determine the come of your adaptation .
Computation of Virginia Bank Franchise Tax Deduction
A stockholder of a bank may be required to make certain adjustments to his or her federal adjusted gross income. Complete the worksheet below to determine the measure of your adjustment .
- If your allocable share of the income or gain of the bank was included in federal adjusted gross income, enter the amount here _____________________
- If your allocable share of the losses or deductions of the bank was included in federal adjusted gross income, enter the amount here. _____________________
- Enter the value of any distributions paid or distributed to you by the bank to the extent that such distributions were excluded from federal adjusted gross income. _____________________
- Add line b and Line c. _____________________
- Subtract line d from line a. This is your net deduction amount. If this amount is negative you must enter the amount on Schedule ADJ, line 8a and fill in the box marked “LOSS”. _____________________
Income from Dealer Disposition of Property
Allows an adaptation for sealed income from dealer dispositions of property made on or after Jan. 1, 2009. In the year of inclination the allowance will be a subtraction for addition attributable to installment payments to be made in future taxable years provided that ( one ) the gain arises from an installation sale for which federal jurisprudence does not permit the dealer to elect installation report of income, and ( two ) the dealer elects installation treatment of the income for Virginia purposes on or before the ascribable date prescribed by law for filing the taxpayer ‘s income tax come back. In subsequent taxable years the adjustment will be an addition for profit attributable to any payments made during the taxable class with respect to the disposition. In the years following the year of disposal, the taxpayer would be required to add back the come that would have been reported under the installment method acting. Each disposition must be tracked individually for purposes of this adjustment .
Prepaid Funeral, Medical, and Dental Insurance Premiums
You may be allowed a discount of payments for ( one ) a prepay funeral insurance policy that covers you or ( two ) medical or dental indemnity premiums for any person for whom you may claim a tax write-off for such premiums under federal income tax laws. To qualify for this subtraction, you must be age 66 or older with earned income of at least $ 20,000 for the taxable class and federal adjusted gross income not in excess of $ 30,000 for the taxable year. The deduction is not allowed for any share of premiums for which you have been reimbursed, have claimed a tax write-off for union income tax purposes, have claimed another Virginia income tax deduction or subtraction, or have claimed a federal income tax credit or any Virginia income tax credit.
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ABLEnow Account Contributions
Effective for taxable years beginning on or after January 1, 2016, you may claim a discount for the total contributed during the taxable year to an ABLEnow account entered into with the Virginia College Savings Plan. No discount is allowed if such contributions are deducted on the contributor ’ s federal income tax return. If the contribution to an ABLEnow account exceeds $ 2,000 the remainder may be carried forward and subtracted in future taxable years until the come has been fully deducted ; however, in no event shall the amount deducted in any taxable year exceed $ 2,000 per ABLEnow account. Deductions are subject to recapture in the taxable year or years in which distributions or refunds are made for any reason other than ( one ) to pay dependent disability expenses ; or ( two ) the beneficiary ’ s death. A contributor who is 70 or older is allowed a discount for the broad measure contributed to an ABLEnow account, less any amounts previously deducted ..
If you were not allowed to deduct commercial enterprise matter to on your federal income tax fall due to §163 ( j ) of the Internal Revenue Code, you may be able to subtract 20 % of it on your Virginia income tax restitution. Beginning with your 2022 individual income taxes ( returns due in 2023 ), the share you can deduct on your Virginia rejoinder will increase to 30 % .
Enclose an explanation for other deductions.