CODE OF VIRGINIA

ALTERNATIVE METHOD OF ALLOCATION (§ 58.1-421)

If any corporation believes that the method of allocation or apportionment
hereinbefore prescribed as administered by the Department has operated or will
so operate as to subject it to taxation on a greater portion of its Virginia
taxable income than is reasonably attributable to business or sources within
this Commonwealth, it shall be entitled to file with the Department a statement
of its objections and of such alternative method of allocation or apportionment
as it believes to be proper under the circumstances with such detail and proof
and within such time as the Department may reasonably prescribe. If the
Department concludes that the method of allocation or apportionment theretofore
employed is in fact inapplicable or inequitable, it shall redetermine the
taxable income by such other method of allocation or apportionment as seems best
calculated to assign to the Commonwealth for taxation the portion of the income
reasonably attributable to business and sources within the Commonwealth, not
exceeding, however, the amount which would be arrived at by application of the
statutory rules for allocation or apportionment.

HISTORY: Code 1950, § 58-151.051; 1971, Ex. Sess., c. 171; 1984, c. 675.