I have old Virginia income tax assessments from 2010 and 2011 that I never appealed because I didn't live in Virginia at the time -- can I appeal them now, over a decade later?

Plain-English summary

A taxpayer had outstanding Virginia individual income tax assessments for failing to file returns for 2007, 2008, and 2017. After the Department used liens to collect part of what was owed, the taxpayer filed an application for correction in 2023 -- 13 to 16 years after the assessments were issued -- arguing he hadn't lived in Virginia since sometime in 2007.

A partial win on the facts, but time barred the rest. Based on the information the taxpayer provided, the Department abated the 2017 assessment and refunded what had been collected for that year. But the 2007 and 2008 assessments were issued in June 2010 and June 2011, respectively -- and Virginia strictly enforces a 90-day deadline from the date of an assessment to file an administrative appeal (Va. Code § 58.1-1821; 23 VAC 10-20-165 B 1). There's also a separate, harder backstop: a taxpayer generally has only three years from an assessment to file a "protective claim for refund" under Va. Code § 58.1-1824. Filing an appeal in 2023 blew past both deadlines by well over a decade.

Outcome. The Department held the 2007 and 2008 appeal time-barred. Because those two assessments had already been paid in full through the Department's collection liens, no refund or further action was available or required.

What this means for you

Anyone with old, unappealed Virginia tax assessments

The 90-day administrative appeal window (and the separate 3-year protective-refund-claim window) are strictly enforced -- Virginia doesn't have a general "I didn't know / I wasn't living there" exception that reopens the clock years or decades later. If you dispute an assessment, act within 90 days, not after the Department starts collecting.

Taxpayers facing collection liens for old, unfiled-return assessments

Once assessments are old enough that both the 90-day appeal window and the 3-year refund-claim window have passed, your only realistic path is showing the Department something that changes its mind informally (as happened here for the 2017 year) -- there's no formal appeal right left to invoke for time-barred years.

Common questions

Q: How long do I have to appeal a Virginia tax assessment?
A: 90 days from the date of the assessment (Va. Code § 58.1-1821), strictly enforced. There's a separate, longer 3-year window to file a protective refund claim (Va. Code § 58.1-1824), but both are hard deadlines.

Q: I didn't find out about an old assessment until years later -- does that reset the clock?
A: Not based on this ruling. The Department applied the strict 90-day and 3-year deadlines even though the taxpayer said he hadn't lived in Virginia since around the time the assessments were issued.

Q: What happened to the money already collected on the time-barred assessments?
A: Nothing -- since the appeal was time-barred and the assessments had already been paid in full through liens, the Department took no further action.

Citations and references

Statutes and regulations:

• Va. Code § 58.1-1821 -- 90-day window to apply for administrative relief from an assessment
• 23 VAC 10-20-165 B 1 -- strict enforcement of the 90-day appeal deadline
• Va. Code § 58.1-1824 -- 3-year window to file a protective claim for refund

Prior rulings referenced (described here, not linked): P.D. 12-54, P.D. 12-72, P.D. 14-110, and P.D. 14-135 -- cited by the Department as prior authority (not otherwise described in this letter).

Source

• Landing page: Virginia Laws, Rules & Decisions
• Ruling: P.D. 24-16

Original ruling text

March 13, 2024

Re: § 58.1-1821 Application: Individual Income Tax

Dear *:

This will respond to your letter in which you seek correction of the individual income assessments issued to * (the “Taxpayer”) for the taxable years ended December 31, 2007, 2008, and 2017.

FACTS

The Taxpayer had outstanding assessments for failing to file Virginia income tax returns for the 2007, 2008, and 2017 taxable years. After Department liens collected a portion of the assessments, the Taxpayer filed an application for correction, contending he has not lived in Virginia since sometime in 2007. Based on the information provided, the Department abated the assessment for the 2017 taxable year and refunded the amounts collected. This determination, therefore, will be limited to the assessments issued for the 2007 and 2008 taxable years.

DETERMINATION

Virginia Code § 58.1-1821 states that “[a]ny person assessed with any tax administered by the Department of Taxation may, within ninety days from the date of such assessment, apply for relief to the Tax Commissioner.” Title 23 of the Virginia Administrative Code (VAC) 10-20-165 B 1 provides that “[t]he Department strictly enforces the 90-day limitations period for filing a timely administrative appeal. A taxpayer must file a complete appeal within 90 calendar days after the date of assessment.”

In this instance, the assessments for the 2007 and 2008 taxable years were issued in June 2010 and June 2011, respectively. The Taxpayer filed this application in 2023, well after the 90-day limitations period. Further, the time to file a protective claim for refund under Virginia Code § 58.1-1824 expired three years after the assessments were issued. Accordingly, this application for correction is time-barred. A review of the Department’s records indicates that the assessments have been paid in full. Accordingly, no further action is required.

The Code of Virginia section and regulation cited are available online at www.tax.virginia.gov in the Laws, Rules, & Decisions section of the Department’s website. If you have any questions regarding this determination, you may contact * in the Office of Tax Policy, Appeals and Rulings, at (804) ***.

Sincerely,

Craig M. Burns

Tax Commissioner

AR/4665.X

Related Documents

12-54

12-72

14-110

14-135