Virginia Announces Changes to Issuing Tax Refunds

Created on Friday, 09 November 2012 07:05

Written by Dan Bottner

Virginia will begin to issue tax refunds via debit card or direct deposit only starting with refunds issued in 2013 for the 2012 tax year.  Virginia is making the change in hopes of saving money by reducing check printing and mailing costs.  The switch to debit cards will be more secure than mailing a check since it will be protected by federal and state banking laws.  It can also only by activated by using the holder’s personal information (SSN and DOB).  Direct deposit will still remain the fastest way to receive a tax refund so make sure you verify your account information with your tax preparer.  For more information check out the FAQs on the VA Department of Taxation’s website: http://www.tax.virginia.gov/site.cfm?alias=refunddebitcardfaq.

DC Employers may have New Filing Requirement...

Created on Friday, 10 August 2012 09:04

Written by Jobe Dupre

The District of Columbia has enacted legislation to require that, beginning with the 12-month period ending September 30, 2012, any employer required to file a District withholding return, but not required to collect and remit sales taxes, must file an annual use tax return.  The annual use tax return is due October 20, 2012.

Back to School - 529 Plans May be your Best Bet

Created on Monday, 20 August 2012 03:46

Written by Scott Reddersen

As schools across the Country begin to open their doors, students and parents are confronted with soaring costs for college education.   According to a report by the College Board, the annual cost at four-year private nonprofit colleges averaged $38,589 in 2011-2012, a 14% increase after inflation from five years earlier.  Over that same period, the in-state cost at four-year public colleges rose 20%, to an average of $17,131.  Mounting state deficits and a stagnant economy are placing pressure on state funds to support education, leading to increased costs for students.  Furthermore, Federal budget cuts targeting grant funding are making access to subsidies more exclusive than ever.

Parents of young children, with the luxury of time and ability to start saving, should consider beginning to save now in order to mitigate sky-rocketing costs.  State Qualified Tuition Programs, commonly referred to as 529 plans, are a tax-advantaged vehicle for college savings.

DC (Again!) Delays Muni Bond Income Tax

Created on Thursday, 28 June 2012 05:40

Written by Brian Wynne

DC has again passed legislation that further delays the taxation of non-DC municipal bond income.  The new legislation ensures that income from all municipal bonds will not be taxable for DC residents in 2012.  Starting in 2013, DC will subject municipal bonds from states other than DC acquired after January 1, 2013 to taxation.  DC will continue to exclude Metropolitan Washington Regional Airport Authority bonds and under federal law Virgin Islands, Guam, Puerto Rico and American Samoa bond income.  See the DC fact sheet for further information:

http://newsroom.dc.gov/show.aspx/agency/otr/section/2/release/23497