Virginia Application for International Trade Facility Tax Credit

Application for International Trade Facility Tax Credit
Form ITF - Application for International Trade Facility Tax Credit
Virginia
Form ITF

International Trade Facility Tax
Credit Recapture Form

Tax Year
___________

Use this form to determine if part or all of the International Trade Facility Tax Credit must be recaptured. Complete and mail
by April 1 each year for the 5 years following the year during which the credit originated.

Business Name

FEIN or SSN

Trading As

Office Use Only

Street Address

City, State, ZIP Code

Email Address (Optional)

Contact Name

Phone Number

Fax Number

PORT JOB TAX CREDIT RECAPTURE COMPUTATION
YEARS 2 – 6

Check this box and indicate the year if you are reporting employee totals for a prior year Port
Job Tax Credit. Complete Lines 1 - 3 and Schedule A.

Tax year of the original credit. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 
Filing Sequence:	

  2nd Year 

  3rd Year 

  4th Year 

  5th Year 

  6th Year

1.	 Number of qualified full-time employees reported in Year 1. . . . . . . . . . . . . . . . . . . 
2.	 Average number of full-time employees reported during the current year - Schedule A. . 
3.	 Credit Recapture - If Line 2 is greater than or equal to Line 1, no action is needed.
If Line 1 is greater than Line 2, the credit reported in Year 1 must be reduced.
Subtract Line 2 from Line 1. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 
NOTE: The Department will notify you regarding your adjusted carryforward and whether a bill will be forthcoming.

Declaration and Signature
I (we) the undersigned declare, under the penalties provided by law, that this form (including any accompanying schedules, statements,
and enclosures) has been examined by me (us) and is, to the best of my (our) knowledge and belief, a true, correct, and complete
application, made in good faith pursuant to the income tax laws of the Commonwealth of Virginia.
Authorized Signature

Printed Name

Preparer Name

Preparer Email Address (Optional)

Va. Dept. of Taxation  3101060  Rev. 07/25

Title

Date

Preparer Phone Number

Form ITF
Schedule A

List of Qualifying Full-Time Employees
Complete if applying for a Port Job Tax Credit

•	 Enclose a list of all full-time employees used to qualify for this credit.
•	 List must be in the format shown in the sample below.

Two or more affiliated companies may elect to aggregate the number of jobs created for qualified full-time employees as the
result of the establishment or expansion by the individual companies to qualify for this credit. "Affiliated companies" means
two or more companies related to each other such that one company owns at least 80% of the voting power of the other
(or others) or at least 80% of the voting power of two or more companies is owned by the same interests. For each month,
enter the total number of qualifying full-time employees on Schedule A.
Each qualifying full-time position must:
(a)	

be of indefinite duration, created by the taxpayer after establishing or expanding an international trade facility in
Virginia; and

(b)	

require a minimum of 35 hours per week for the entire year (minimum of 48 weeks); or

(c)	

require a minimum of 35 hours a week for the portion of the taxable year in which the employee was initially hired
for, or transferred to, the international trade facility in Virginia.

In addition to including your name as it appears on the Form ITF, your FEIN or Social Security Number, and the location of
your international trade facility, your list must include the following columns:
Columns A and B:	 Enter the name and Social Security Number of each qualifying employee. If claiming a qualifying
employee of an affiliated company (see paragraph above), make a notation beside each such employee
in Column A and enclose a separate schedule showing the corresponding affiliated company.
Column C:	

Enter the number of full months that the employee was employed in a qualifying position during the
credit year.

Column D:	

Enter a brief position description for the qualifying employee and provide the position number.

Column C

Column A
Employee Name
(Use Additional Schedules as
Necessary)

Column B
Social Security Number

Number of Full
Months Employed
During the Credit
Year

1

e
l
p

2
3
4
5
6
7

m
a
S

Column D
Brief Position Description / Number

Instructions for Form ITF
International Trade Facility Tax Credit Recapture Form
General Information
Effective for taxable years beginning on or after January 1,
2025, the International Trade Facility Tax Credit has expired.
No new tax credits are allowed, however, carryover credits
and recapture credits still apply.
There is a 10-year carryforward provision for any unused
credits. Unused credits may be claimed and carry forward
balances maintained on Schedules CR and 500CR.

Port Job Tax Credit
Credit Recapture
Part or all of the Port Job Tax Credit may be recaptured. If
the number of qualified full-time employees in any of the
5 years succeeding the credit year decreases below the
average number of qualified full-time employees employed
during the credit year, the credit is recaptured by recomputing
the credit which was earned for the original credit year using
the decreased number of qualified full-time employees and
subtracting the recomputed credit amount from the amount of
credit previously earned. If the average number of qualifying
full-time employees employed at an international trade
facility falls below the amount employed by the taxpayer
prior to claiming any credits in any of the 5  taxable years
succeeding the credit year, all credits earned with respect to
the international trade facility are recaptured. Any recapture
first reduces credits earned but not yet allowed and credits
allowed but carried forward before it increases a taxpayer’s
tax liability.

Definitions
International Trade Facility
An “international trade facility” is defined as a company that
is engaged in port-related activities, including, but not limited
to, warehousing, distribution, freight forwarding and handling,
and goods processing; uses maritime port facilities located
in the Commonwealth of Virginia; and transports at least
5% more cargo, measured in (i) 1 International Organization
for Standardization ocean container, with a minimum 20-foot
length, (ii) 16 tons of noncontainerized cargo, or (iii) 1 unit of
roll-on/roll-off cargo through any publicly or privately owned
cargo facility located within the Commonwealth through
which cargo is transported during the taxable year than was
transported by the company through such facilities during
the preceding taxable year. Export cargo must be loaded
on a barge or ocean-going vessel and import cargo must
be discharged from a barge or ocean-going vessel at such
facility.

Qualified Full Time Employee
A “qualified full-time employee” is defined as an employee
filling a new, permanent full-time position in an international
trade facility in the Commonwealth. A “new, permanent fulltime position” is defined as a job of indefinite duration, created
by the company as a result of the establishment or expansion
of an international trade facility in the Commonwealth,
requiring a minimum of 35 hours of work per week for the
entire normal year. A “normal year” is defined as at least 48
weeks in a calendar year. Seasonal and temporary positions;
jobs created by shifting a job function from elsewhere in
the Commonwealth; and positions ancillary to the principal
activities performed by employees at international trade
facilities do not qualify as new, permanent full-time positions.
No credit is allowed for the same jobs for which a Major
Business Facility Job Tax Credit was claimed pursuant to
Va. Code § 58.1-439.
No credit is permitted for any employee for whom a credit
under this section was previously earned by a related party
or trade or business under common control.

What to Enclose
Port Job Tax Credit Enclosure
Applicants filing for years 2-6 must complete Schedule A.

When to Submit Application
For each credit earned, you must submit an updated Form
ITF by April 1 each year for the 5 years following the year
during which the credit originated.
For any application received without a postmark, the date
received by the Department will be used to determine if the
application was received by the filing deadline.

Where to Submit Form ITF
Submit Form ITF and enclosures to the Virginia Department
of Taxation, ATTN: Tax Credit Unit, P.O. Box 715,
Richmond, VA 23218-0715 or fax it to (804) 774-3902.

What to Expect from the Department
If the Department needs additional information we will contact
you by May 1 and you will have until May 15 to respond. If
you have not received acknowledgement of your filed Form
ITF by May 31, call (804) 786-2992.

What Does the Taxpayer Need to Do

Where to Get Help

Upon receiving notification from the Department of any
adjusted credit amounts, taxpayers should update their
records for current and future filings.

Write to the Virginia Department of Taxation, ATTN: Tax
Credit Unit, P. O. Box 715, Richmond, VA 23218-0715 or
call (804) 786-2992.

Important Note:
•	

By providing an email address on the form, the taxpayer
consents to allow emailed communications from the
Virginia Department of Taxation related to this tax credit.
If the taxpayer does not wish to receive electronic
communications, do not enter an email address in the
spaces provided on the form.