CODE OF VIRGINIA

PENALTIES FOR FAILURE TO MAKE REPORT OR PAY TAX; REVOCATION OF LICENSE; RECOVERY
BY SUIT (§ 58.1-2507)

A. Every company failing to make the report required by § 58.1-2506 shall be
fined $ 50 for each day’s failure to make the report.

B. Upon the failure of any such company to pay the license tax within the time
required by this chapter, there shall be added to such tax a penalty of 10
percent of the amount of the tax and interest at a rate equal to the rate of
interest established pursuant to § 58.1-15 for the period between the due date
and the date of full payment. The Department shall notify the taxpayer of all
additional amounts owed, and the taxpayer shall pay such amounts within 30 days
of the date of the notice. If an overpayment is made, the Department shall issue
a refund of the amount of the overpayment to the taxpayer pursuant to subsection
B of § 58.1-2526. The Commission may suspend or revoke the company’s
license to do business in this Commonwealth pursuant to § 38.2-1040 upon
notification by the Department that the additional amounts due are not paid. The
Department shall proceed to recover the tax, penalty and interest (i) in the
same manner as is done for any other tax administered by the Department or (ii)
by proceedings brought to subject any bonds or other securities deposited by
such company with the Treasurer.

C. If such failure is due to providential or other good cause shown to the
satisfaction of the Department, such return or payment or return and payment may
be accepted exclusive of penalties; however, such company shall pay interest on
such tax as prescribed in subsection B.

HISTORY: Code 1950, § 58-498; 1952, c. 190; 1968, c. 13; 1978, c. 4; 1984, c.
675; 2003, c. 372; 2011, c. 850; 2013, cc. 29, 163.