58.1-455 - Time of payment of corporation income taxes; penalty and interest for nonpayment.
§ 58.1-455. Time of payment of corporation income taxes; penalty and interestfor nonpayment.
A. Every corporation liable for income tax shall pay the same to theDepartment at the time fixed by law for filing the return. The full amount ofthe tax payable as shown on the face of the return shall be so paid. Acorporation may file its return and pay its tax in full in the closing daysof its taxable year provided it is able to prepare a complete return.
If any payment is not made in full when due, there shall be added to theentire tax or to any unpaid balance of the tax, a penalty of six percent ofthe amount thereof, if the failure is for not more than one month, with anadditional six percent for each additional month or fraction thereof duringwhich such failure to pay continues, not exceeding thirty percent in theaggregate. The entire tax or any unpaid balance of the tax, together withsuch penalty, will immediately become collectible. Interest upon such tax orany unpaid balance of the tax, and on the accrued penalty, shall be added ata rate determined in accordance with § 58.1-15, from the date the tax or anyunpaid balance of the tax was originally due until paid. In the case of anadditional tax assessed by the Department, if the return was made in goodfaith and the understatement of the amount in the return was not due to anyfault of the taxpayer, there shall be no penalty on the additional taxbecause of such understatement, but interest shall be added to the amount ofthe deficiency at a rate determined in accordance with § 58.1-15, from thetime the return was required by law to be filed until paid.
The penalty under this subsection shall not be applicable to any month orfraction thereof for which the corporation is subject to the penalty imposedunder § 58.1-450. In no event shall the total amount of penalty assessedunder this subsection and under § 58.1-450 exceed thirty percent in theaggregate.
B. If the understatement is false or fraudulent with intent to evade the tax,a penalty of 100 percent shall be added together with interest on the tax ata rate determined in accordance with § 58.1-15, from the time the return wasrequired by law to be filed until paid.
Nothing contained in this section shall prevent the taxpayer from applying tothe circuit court of the county or the city wherein the corporation islocated for a correction of the assessment made by the Department, with rightof appeal in the manner provided by law.
(Code 1950, § 58-151.093; 1971, Ex. Sess., c. 171; 1977, c. 396; 1984, c.675; 1989, cc. 629, 642; 1991, cc. 316, 331.)