[Adopted 4-11-1994 as Ch. 62, Art. III of the 1994 Code]
State law references: Bank franchise tax, Code of Virginia, § 58.1-1200 et seq.; town tax, Code of Virginia, § 58.1-1209.
The following words, terms and phrases, when used in this article, shall have the meanings ascribed to them in this section, except where the context clearly indicates a different meaning:
- Is defined as provided in Code of Virginia, § 58.1-1201.
- NET CAPITAL
- A bank's net capital computed pursuant to Code of Virginia, § 58.1-1205.
Pursuant to the provisions of Code of Virginia, § 58.1-1200 et seq., there is hereby imposed upon each bank located within the boundaries of this Town a tax on net capital equalling 80% of the state rate of franchise tax set forth in Code of Virginia, § 58.1-1204.
If any bank located within the boundaries of this Town also has offices that are located outside the corporate limits of the Town, the tax shall be apportioned as provided by Code of Virginia, § 58.1-1211.
On or after January 1 of each year, but not later than March 1 of any such year, all banks whose principal offices are located within this Town shall prepare and file with the Commissioner of the Revenue a return as provided by Code of Virginia, § 58.1-1207, in duplicate, which shall set forth the tax on net capital computed pursuant to Code of Virginia, § 58.1-1200 et seq. The Commissioner of the Revenue shall certify a copy of the bank's return and schedules and shall forthwith transmit such certified copy to the State Department of Taxation.
If the principal office of a bank is located outside the corporate boundaries of this Town and such bank has branch offices located within this Town, in addition to the filing requirements set forth in Subsection A of this section, any bank conducting such branch business shall file with the Town Treasurer a copy of the real estate deduction schedule, apportionment and other items which are required by Code of Virginia, §§ 58.1-1207, 58.1-1211 and 58.1-1212.
Each bank, on or before June 1 of each year, shall pay into the Treasurer's office of this Town all taxes imposed pursuant to this article.
State law reference: Filing of return and payment of tax, Code of Virginia, § 58.1-1207.
Any bank which fails to file a return or pay the tax required by this article or fails to comply with any other provision of this article shall be subject to a penalty of 5% of the tax due. If the Commissioner of the Revenue is satisfied that such failure is due to providential or other good cause, such return and payment of tax shall be accepted exclusive of such penalty, but with interest determined in accordance with Code of Virginia, § 58.1-15.
State law reference: Penalty upon bank for failure to comply with law, Code of Virginia, § 58.1-1216.