During the 2011 session, the Virginia General Assembly created three port-related tax credits. In 2012, the Department of Taxation published guidelines related to the administration of these tax credits, including rules regarding the computation and carryover of credits, the establishment of criteria for qualifying taxpayers, the treatment of credits claimed by affiliated companies, and the application of any recapture provisions. The Department has subsequently published several updated versions to reflect legislative changes. The most recent guidelines were published on September 5, 2014.

Final Guidelines (Published Sept. 5, 2014)

Legislative History

2014 House Bill 873: 

  • Changed the annual credit cap for the Barge and Rail Usage and International Trade Facility Tax Credits;
  • Decreased the cargo threshold for the International Trade Facility Tax Credit;
  • Expanded the type of cargo that qualifies for the port-related credits to include roll-on/roll-off cargo;
  • Allowed qualifying taxpayers to both the Port Volume Increase Tax Credit and the Barge and Rail Usage Tax Credit for the same cargo; and
  • Required the Department to provide specified tax credit information to the Virginia Port Authority.

2013 House Bill 1824:

  • Expanded the Port Volume Increase Tax Credit to include taxpayers that are agricultural entities and mineral and gas entities, in addition to manufacturing-related entities; and
  • Clarified the base year requirements for such entities.

2012 House Bill 1183 and Senate Bill 578:

    • Extended the sunset date of all three port-related tax credits;
    • Increased the jobs portion of the International Trade Facility Tax Credit; and
    • Extended the Barge and Rail Usage Tax Credit so that it may be claimed for qualified shipments of noncontainerized cargo.

    2011 Legislation:

    Prior Guidelines