{"formats":[{"name":"JSON","format":"json","url":"\/downloads\/2026\/code-json\/58.1-406.json"},{"name":"Plain Text","format":"text","url":"\/downloads\/2026\/code-text\/58.1-406.txt"},{"name":"XML","format":"xml","url":"\/downloads\/2026\/code-xml\/58.1-406.xml"},{"name":"HTML","format":"html","url":"\/downloads\/2026\/code-html\/58.1-406.html"}],"law_id":372264,"edition_id":2,"section_id":372264,"structure_id":52969,"section_number":"58.1-406","catch_line":"Allocation and apportionment of income","history":"Code 1950, \u00a7 58-151.035; 1971, Ex. Sess., c. 171; 1976, c. 436; 1979, c. 371; 1984, c. 675.","full_text":"Any corporation having income from business activity which is taxable both within and without the Commonwealth shall allocate and apportion its Virginia taxable income as provided in \u00a7\u00a7 58.1-407 through 58.1-420.\n\n","order_by":null,"text":{"0":{"id":1388007,"text":"Any corporation having income from business activity which is taxable both within and without the Commonwealth shall allocate and apportion its Virginia taxable income as provided in \u00a7\u00a7 58.1-407 through 58.1-420.","type":"section","prefixes":[""],"prefix":"","entire_prefix":"","prefix_anchor":"","level":1}},"ancestry":[{"id":52969,"edition_id":2,"name":"Taxation of Corporations","identifier":"10","label":"article","depth":4,"order_by":9,"parent_id":52888,"metadata":{"child_laws":34,"child_structures":0},"date_created":"2026-08-02 03:08:54","date_modified":"2026-08-02 12:35:52","permalink":{"id":1480361,"object_type":"structure","relational_id":52969,"identifier":"10","token":"58.1\/I\/3\/10","url":"\/58.1\/I\/3\/10\/","edition_id":2,"permalink":0,"preferred":1}},{"id":52888,"edition_id":2,"name":"Income Tax","identifier":"3","label":"chapter","depth":3,"order_by":3,"parent_id":52818,"metadata":{"child_laws":307,"child_structures":23},"date_created":"2026-08-02 03:07:22","date_modified":"2026-08-02 12:35:49","permalink":{"id":1480269,"object_type":"structure","relational_id":52888,"identifier":"3","token":"58.1\/I\/3","url":"\/58.1\/I\/3\/","edition_id":2,"permalink":0,"preferred":1}},{"id":52818,"edition_id":2,"name":"Taxes Administered by the Department of Taxation","identifier":"I","label":"subtitle","depth":2,"order_by":2,"parent_id":52815,"metadata":{"child_laws":762,"child_structures":68},"date_created":"2026-08-02 03:06:17","date_modified":"2026-08-02 12:35:49","permalink":{"id":1479077,"object_type":"structure","relational_id":52818,"identifier":"I","token":"58.1\/I","url":"\/58.1\/I\/","edition_id":2,"permalink":0,"preferred":1}},{"id":52815,"edition_id":2,"name":"Taxation","identifier":"58.1","label":"title","depth":1,"order_by":125,"parent_id":null,"metadata":{"child_laws":1793,"child_structures":194},"date_created":"2026-08-02 03:06:17","date_modified":"2026-08-02 12:35:49","permalink":{"id":1478961,"object_type":"structure","relational_id":52815,"identifier":"58.1","token":"58.1","url":"\/58.1\/","edition_id":2,"permalink":0,"preferred":1}}],"structure_contents":[{"id":372197,"structure_id":52969,"section_number":"58.1-400","catch_line":"Imposition of tax","url":"\/58.1-400\/","token":"58.1\/I\/3\/10\/58.1-400","metadata":false},{"id":372193,"structure_id":52969,"section_number":"58.1-400.1","catch_line":"Minimum tax on telecommunications companies","url":"\/58.1-400.1\/","token":"58.1\/I\/3\/10\/58.1-400.1","metadata":false},{"id":372194,"structure_id":52969,"section_number":"58.1-400.2","catch_line":"Taxation of electric suppliers, pipeline distribution companies, gas utilities, and gas suppliers","url":"\/58.1-400.2\/","token":"58.1\/I\/3\/10\/58.1-400.2","metadata":false},{"id":372195,"structure_id":52969,"section_number":"58.1-400.3","catch_line":"Minimum tax on certain electric suppliers","url":"\/58.1-400.3\/","token":"58.1\/I\/3\/10\/58.1-400.3","metadata":false},{"id":372196,"structure_id":52969,"section_number":"58.1-400.4","catch_line":"Minimum tax on home service contract providers","url":"\/58.1-400.4\/","token":"58.1\/I\/3\/10\/58.1-400.4","metadata":false},{"id":372212,"structure_id":52969,"section_number":"58.1-401","catch_line":"Exemptions and exclusions","url":"\/58.1-401\/","token":"58.1\/I\/3\/10\/58.1-401","metadata":false},{"id":372228,"structure_id":52969,"section_number":"58.1-402","catch_line":"Virginia taxable income","url":"\/58.1-402\/","token":"58.1\/I\/3\/10\/58.1-402","metadata":false},{"id":372241,"structure_id":52969,"section_number":"58.1-403","catch_line":"Additional modifications to determine Virginia taxable income for certain corporations","url":"\/58.1-403\/","token":"58.1\/I\/3\/10\/58.1-403","metadata":false},{"id":372252,"structure_id":52969,"section_number":"58.1-404","catch_line":"Reserved","url":"\/58.1-404\/","token":"58.1\/I\/3\/10\/58.1-404","metadata":false},{"id":372263,"structure_id":52969,"section_number":"58.1-405","catch_line":"Corporations transacting or conducting entire business within this Commonwealth","url":"\/58.1-405\/","token":"58.1\/I\/3\/10\/58.1-405","metadata":false},{"id":372262,"structure_id":52969,"section_number":"58.1-405.1","catch_line":"Eligibility of companies for apportionment modification; certification by the Virginia Economic Development Partnership Authority","url":"\/58.1-405.1\/","token":"58.1\/I\/3\/10\/58.1-405.1","metadata":false},{"id":372264,"structure_id":52969,"section_number":"58.1-406","catch_line":"Allocation and apportionment of income","url":"\/58.1-406\/","token":"58.1\/I\/3\/10\/58.1-406","metadata":{"court_decisions":{"0":{"name":" .\u202f.\u202f. Commonwealth of Virginia, Department of Taxation v. FJ .\u202f.\u202f. ","case_number":"0701232","citation":null,"date":"2024-11-12","url":"https:\/\/www.courtlistener.com\/opinion\/10272400\/commonwealth-of-virginia-department-of-taxation-v-fj-management-inc\/","abstract":" .\u202f.\u202f. COURT OF APPEALS OF VIRGINIA .\u202f.\u202f. ","court_html":"<abbr title=\"Court of Appeals\">COA<\/abbr>"},"1":{"name":"COM., DEPT. OF TAXATION v. Delta Air Lines","case_number":"Record 980824","citation":"513 S.E.2d 130","date":"1999-02-26","url":"https:\/\/www.courtlistener.com\/opinion\/1059794\/com-dept-of-taxation-v-delta-air-lines\/","abstract":" .\u202f.\u202f. 513 S.E.2d 130 (1999) .\u202f.\u202f. ","court_html":"<abbr title=\"Supreme Court of Virginia\">SCV<\/abbr>"}}}},{"id":372265,"structure_id":52969,"section_number":"58.1-407","catch_line":"How dividends allocated","url":"\/58.1-407\/","token":"58.1\/I\/3\/10\/58.1-407","metadata":{"court_decisions":{"0":{"name":" .\u202f.\u202f. Commonwealth of Virginia, Department of Taxation v. FJ .\u202f.\u202f. ","case_number":"0701232","citation":null,"date":"2024-11-12","url":"https:\/\/www.courtlistener.com\/opinion\/10272400\/commonwealth-of-virginia-department-of-taxation-v-fj-management-inc\/","abstract":" .\u202f.\u202f. COURT OF APPEALS OF VIRGINIA .\u202f.\u202f. ","court_html":"<abbr title=\"Court of Appeals\">COA<\/abbr>"},"1":{"name":"COM., DEPT. OF TAXATION v. Delta Air Lines","case_number":"Record 980824","citation":"513 S.E.2d 130","date":"1999-02-26","url":"https:\/\/www.courtlistener.com\/opinion\/1059794\/com-dept-of-taxation-v-delta-air-lines\/","abstract":" .\u202f.\u202f. 513 S.E.2d 130 (1999) .\u202f.\u202f. ","court_html":"<abbr title=\"Supreme Court of Virginia\">SCV<\/abbr>"},"2":{"name":"Corning Glass Works, Inc. v. Virginia Department of Taxation","case_number":"Record 900872","citation":"402 S.E.2d 35","date":"1991-03-01","url":"https:\/\/www.courtlistener.com\/opinion\/1217444\/corning-glass-works-inc-v-virginia-department-of-taxation\/","abstract":" .\u202f.\u202f. 402 S.E.2d 35 (1991) .\u202f.\u202f. ","court_html":"<abbr title=\"Supreme Court of Virginia\">SCV<\/abbr>"}}}},{"id":372266,"structure_id":52969,"section_number":"58.1-408","catch_line":"What income apportioned and how","url":"\/58.1-408\/","token":"58.1\/I\/3\/10\/58.1-408","metadata":{"court_decisions":{"0":{"name":" .\u202f.\u202f. Commonwealth of Virginia, Department of Taxation v. FJ .\u202f.\u202f. ","case_number":"0701232","citation":null,"date":"2024-11-12","url":"https:\/\/www.courtlistener.com\/opinion\/10272400\/commonwealth-of-virginia-department-of-taxation-v-fj-management-inc\/","abstract":" .\u202f.\u202f. COURT OF APPEALS OF VIRGINIA .\u202f.\u202f. ","court_html":"<abbr title=\"Court of Appeals\">COA<\/abbr>"},"1":{"name":"Department of Taxation v. Westmoreland Coal Co.","case_number":"Record 841635","citation":"366 S.E.2d 78","date":"1988-03-04","url":"https:\/\/www.courtlistener.com\/opinion\/1272233\/department-of-taxation-v-westmoreland-coal-co\/","abstract":" .\u202f.\u202f. 366 S.E.2d 78 (1988) .\u202f.\u202f. ","court_html":"<abbr title=\"Supreme Court of Virginia\">SCV<\/abbr>"},"2":{"name":"Virginia Department of Taxation v. R.J. Reynolds Tobacco","case_number":"201263","citation":null,"date":"2022-02-10","url":"https:\/\/www.courtlistener.com\/opinion\/6349284\/virginia-department-of-taxation-v-rj-reynolds-tobacco\/","abstract":" .\u202f.\u202f. PRESENT: All the Justices 1 .\u202f.\u202f. ","court_html":"<abbr title=\"Supreme Court of Virginia\">SCV<\/abbr>"},"3":{"name":" .\u202f.\u202f. Commonwealth of Virginia, Department of Taxation v. 1887 .\u202f.\u202f. ","case_number":"0598222","citation":null,"date":"2023-05-23","url":"https:\/\/www.courtlistener.com\/opinion\/9401156\/commonwealth-of-virginia-department-of-taxation-v-1887-holdings-inc\/","abstract":" .\u202f.\u202f. COURT OF APPEALS OF VIRGINIA .\u202f.\u202f. ","court_html":"<abbr title=\"Court of Appeals\">COA<\/abbr>"},"4":{"name":"The Corporate Executive Board Co. v. Dept. of Taxation","case_number":"171627","citation":null,"date":"2019-02-07","url":"https:\/\/www.courtlistener.com\/opinion\/4588244\/the-corporate-executive-board-co-v-dept-of-taxation\/","abstract":" .\u202f.\u202f. PRESENT: All the Justices .\u202f.\u202f. ","court_html":"<abbr title=\"Supreme Court of Virginia\">SCV<\/abbr>"},"5":{"name":"COM., DEPT. OF TAXATION v. 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","court_html":"<abbr title=\"Supreme Court of Virginia\">SCV<\/abbr>"}}}},{"id":372267,"structure_id":52969,"section_number":"58.1-409","catch_line":"Property factor","url":"\/58.1-409\/","token":"58.1\/I\/3\/10\/58.1-409","metadata":false},{"id":372268,"structure_id":52969,"section_number":"58.1-410","catch_line":"Valuation of property owned or rented","url":"\/58.1-410\/","token":"58.1\/I\/3\/10\/58.1-410","metadata":false},{"id":372280,"structure_id":52969,"section_number":"58.1-411","catch_line":"Average value of property","url":"\/58.1-411\/","token":"58.1\/I\/3\/10\/58.1-411","metadata":false},{"id":372291,"structure_id":52969,"section_number":"58.1-412","catch_line":"Payroll factor","url":"\/58.1-412\/","token":"58.1\/I\/3\/10\/58.1-412","metadata":false},{"id":372303,"structure_id":52969,"section_number":"58.1-413","catch_line":"When compensation deemed paid or accrued in this Commonwealth","url":"\/58.1-413\/","token":"58.1\/I\/3\/10\/58.1-413","metadata":false},{"id":372314,"structure_id":52969,"section_number":"58.1-414","catch_line":"Sales factor","url":"\/58.1-414\/","token":"58.1\/I\/3\/10\/58.1-414","metadata":false},{"id":372317,"structure_id":52969,"section_number":"58.1-415","catch_line":"When sales of tangible personal property deemed in the Commonwealth","url":"\/58.1-415\/","token":"58.1\/I\/3\/10\/58.1-415","metadata":false},{"id":372318,"structure_id":52969,"section_number":"58.1-416","catch_line":"(Contingent effective date \u2014 See Editor's note) When certain other sales deemed in the Commonwealth","url":"\/58.1-416\/","token":"58.1\/I\/3\/10\/58.1-416","metadata":false},{"id":372319,"structure_id":52969,"section_number":"58.1-417","catch_line":"Motor carriers; apportionment","url":"\/58.1-417\/","token":"58.1\/I\/3\/10\/58.1-417","metadata":false},{"id":372320,"structure_id":52969,"section_number":"58.1-418","catch_line":"Financial corporations; apportionment","url":"\/58.1-418\/","token":"58.1\/I\/3\/10\/58.1-418","metadata":false},{"id":372321,"structure_id":52969,"section_number":"58.1-419","catch_line":"Construction corporations; apportionment","url":"\/58.1-419\/","token":"58.1\/I\/3\/10\/58.1-419","metadata":false},{"id":372322,"structure_id":52969,"section_number":"58.1-420","catch_line":"Railway companies; apportionment","url":"\/58.1-420\/","token":"58.1\/I\/3\/10\/58.1-420","metadata":{"court_decisions":{"0":{"name":" .\u202f.\u202f. Commonwealth of Virginia, Department of Taxation v. FJ .\u202f.\u202f. ","case_number":"0701232","citation":null,"date":"2024-11-12","url":"https:\/\/www.courtlistener.com\/opinion\/10272400\/commonwealth-of-virginia-department-of-taxation-v-fj-management-inc\/","abstract":" .\u202f.\u202f. COURT OF APPEALS OF VIRGINIA .\u202f.\u202f. ","court_html":"<abbr title=\"Court of Appeals\">COA<\/abbr>"}}}},{"id":372323,"structure_id":52969,"section_number":"58.1-421","catch_line":"Alternative method of allocation","url":"\/58.1-421\/","token":"58.1\/I\/3\/10\/58.1-421","metadata":false},{"id":372329,"structure_id":52969,"section_number":"58.1-422","catch_line":"Manufacturing companies; apportionment","url":"\/58.1-422\/","token":"58.1\/I\/3\/10\/58.1-422","metadata":{"court_decisions":{"0":{"name":" .\u202f.\u202f. Commonwealth of Virginia, Department of Taxation v. 1887 .\u202f.\u202f. 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","court_html":"<abbr title=\"Court of Appeals\">COA<\/abbr>"}}}},{"id":372324,"structure_id":52969,"section_number":"58.1-422.1","catch_line":"Retail companies; apportionment","url":"\/58.1-422.1\/","token":"58.1\/I\/3\/10\/58.1-422.1","metadata":{"court_decisions":""}},{"id":372325,"structure_id":52969,"section_number":"58.1-422.2","catch_line":"Apportionment; taxpayers with enterprise data center operations","url":"\/58.1-422.2\/","token":"58.1\/I\/3\/10\/58.1-422.2","metadata":false},{"id":372326,"structure_id":52969,"section_number":"58.1-422.3","catch_line":"Debt buyers; apportionment","url":"\/58.1-422.3\/","token":"58.1\/I\/3\/10\/58.1-422.3","metadata":false},{"id":372327,"structure_id":52969,"section_number":"58.1-422.4","catch_line":"Property information and analytics firms","url":"\/58.1-422.4\/","token":"58.1\/I\/3\/10\/58.1-422.4","metadata":false},{"id":372328,"structure_id":52969,"section_number":"58.1-422.5","catch_line":"(Contingent effective date \u2014 See Editor's note) Internet root infrastructure providers","url":"\/58.1-422.5\/","token":"58.1\/I\/3\/10\/58.1-422.5","metadata":false},{"id":372330,"structure_id":52969,"section_number":"58.1-423","catch_line":"Income tax paid by commercial spaceflight entities","url":"\/58.1-423\/","token":"58.1\/I\/3\/10\/58.1-423","metadata":false}],"previous_section":{"id":372262,"structure_id":52969,"section_number":"58.1-405.1","catch_line":"Eligibility of companies for apportionment modification; certification by the Virginia Economic Development Partnership Authority","url":"\/58.1-405.1\/","token":"58.1\/I\/3\/10\/58.1-405.1","metadata":false},"next_section":{"id":372265,"structure_id":52969,"section_number":"58.1-407","catch_line":"How dividends allocated","url":"\/58.1-407\/","token":"58.1\/I\/3\/10\/58.1-407","metadata":{"court_decisions":{"0":{"name":" .\u202f.\u202f. Commonwealth of Virginia, Department of Taxation v. FJ .\u202f.\u202f. ","case_number":"0701232","citation":null,"date":"2024-11-12","url":"https:\/\/www.courtlistener.com\/opinion\/10272400\/commonwealth-of-virginia-department-of-taxation-v-fj-management-inc\/","abstract":" .\u202f.\u202f. COURT OF APPEALS OF VIRGINIA .\u202f.\u202f. ","court_html":"<abbr title=\"Court of Appeals\">COA<\/abbr>"},"1":{"name":"COM., DEPT. OF TAXATION v. Delta Air Lines","case_number":"Record 980824","citation":"513 S.E.2d 130","date":"1999-02-26","url":"https:\/\/www.courtlistener.com\/opinion\/1059794\/com-dept-of-taxation-v-delta-air-lines\/","abstract":" .\u202f.\u202f. 513 S.E.2d 130 (1999) .\u202f.\u202f. ","court_html":"<abbr title=\"Supreme Court of Virginia\">SCV<\/abbr>"},"2":{"name":"Corning Glass Works, Inc. v. Virginia Department of Taxation","case_number":"Record 900872","citation":"402 S.E.2d 35","date":"1991-03-01","url":"https:\/\/www.courtlistener.com\/opinion\/1217444\/corning-glass-works-inc-v-virginia-department-of-taxation\/","abstract":" .\u202f.\u202f. 402 S.E.2d 35 (1991) .\u202f.\u202f. ","court_html":"<abbr title=\"Supreme Court of Virginia\">SCV<\/abbr>"}}}},"metadata":{"court_decisions":{"0":{"name":" .\u202f.\u202f. Commonwealth of Virginia, Department of Taxation v. FJ .\u202f.\u202f. ","case_number":"0701232","citation":null,"date":"2024-11-12","url":"https:\/\/www.courtlistener.com\/opinion\/10272400\/commonwealth-of-virginia-department-of-taxation-v-fj-management-inc\/","abstract":" .\u202f.\u202f. COURT OF APPEALS OF VIRGINIA .\u202f.\u202f. ","court_html":"<abbr title=\"Court of Appeals\">COA<\/abbr>"},"1":{"name":"COM., DEPT. OF TAXATION v. 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Those modifications are as follows: in 1976, chapter 436; in 1979, chapter 371; in 1984, chapter 675.<\/p>","references":[{"id":372321,"section_number":"58.1-419","catch_line":"Construction corporations; apportionment","order_by":null,"url":"\/58.1-419\/"}],"refers_to":[{"id":372265,"section_number":"58.1-407","catch_line":"How dividends allocated","order_by":null,"url":"\/58.1-407\/"},{"id":372322,"section_number":"58.1-420","catch_line":"Railway companies; apportionment","order_by":null,"url":"\/58.1-420\/"}],"permalink":{"id":1480407,"object_type":"law","relational_id":372264,"identifier":"58.1-406","token":"58.1\/I\/3\/10\/58.1-406","url":"\/58.1-406\/","edition_id":2,"permalink":0,"preferred":1},"url":"\/58.1-406\/","token":"58.1\/I\/3\/10\/58.1-406","dublin_core":{"Title":"Allocation and apportionment of income","Type":"Text","Format":"text\/html","Identifier":"\u00a7 58.1-406","Relation":"Code of Virginia"},"html":"\n\t\t\t\t\t\t<section><p>Any <span class=\"dictionary\">corporation<\/span> having income from business activity which is taxable both within and without the Commonwealth shall allocate and apportion its Virginia taxable income as provided in \u00a7\u00a7&nbsp;<a class=\"law\" title=\"How dividends allocated\" href=\"\/58.1-407\/\">58.1-407<\/a> through <a class=\"law\" title=\"Railway companies; apportionment\" href=\"\/58.1-420\/\">58.1-420<\/a>.<\/p><\/section>","plain_text":"                                 CODE OF VIRGINIA\n\nALLOCATION AND APPORTIONMENT OF INCOME (\u00a7 58.1-406)\n\nAny corporation having income from business activity which is taxable both\nwithin and without the Commonwealth shall allocate and apportion its Virginia\ntaxable income as provided in \u00a7\u00a7 58.1-407 through 58.1-420.\n\nHISTORY: Code 1950, \u00a7 58-151.035; 1971, Ex. Sess., c. 171; 1976, c. 436; 1979,\nc. 371; 1984, c. 675.","edition":{"id":2,"name":"2026","slug":"2026","date_created":"2026-07-16 18:40:23","date_modified":"2026-08-02 15:14:36","current":1,"order_by":2,"last_import":"2026-08-02 12:37:30"}}