58.1-202.1 - Payment of taxes by electronic funds transfer.
§ 58.1-202.1. Payment of taxes by electronic funds transfer.
A. In accordance with the limitations contained in subsection B, the TaxCommissioner shall have the authority to require, consistent with the cashmanagement policies of the Department of Treasury and the Department ofAccounts, taxpayers subject to the taxes imposed pursuant to Articles 10 (§58.1-400 et seq.) and 16 (§ 58.1-460 et seq.) of Chapter 3 of this title andChapter 6 (§ 58.1-600 et seq.) of this title to remit taxes by electronicfunds transfer. Electronic funds transfer shall be made by automatedclearinghouse debit transactions; however, the Tax Commissioner may authorizethe use of any other means which ensures the availability of such funds tothe Commonwealth on or before the due date of the tax.
B. A taxpayer required to remit any of the taxes enumerated in subsection Aof this section shall be required to remit such taxes by electronic fundstransfer if the average monthly liability for such taxes exceeds $20,000. The$20,000 threshold will apply to each of the taxes on a separate basis. TheTax Commissioner shall promulgate guidelines to determine eligibilitycriteria and periods. In developing such guidelines, the Department shallseek the counsel of interested groups including tax practitioners andrepresentatives of the business community.
C. All persons who act on a taxpayer's behalf to remit the tax imposedpursuant to Article 16 (§ 58.1-460 et seq.) of Chapter 3 of this title shallbe required to remit such withholding by electronic funds transfer if thepayment of individual income tax withholding is made on behalf of 100 or moretaxpayers. For the purposes of this subsection, electronic funds transfershall be made by automated clearinghouse credit payment transactions;however, the Tax Commissioner may authorize the use of any other means thatensures the availability of such funds to the Commonwealth on or before thedue date of the tax.
(1996, cc. 370, 449; 1997, c. 193; 2003, cc. 36, 39.)