Administrative Code

Creating a Report: Check the sections you'd like to appear in the report, then use the "Create Report" button at the bottom of the page to generate your report. Once the report is generated you'll then have the option to download it as a pdf, print or email the report.

Virginia Administrative Code
Title 23. Taxation
Agency 10. Department of Taxation
Chapter 210. Retail Sales and Use Tax

23VAC10-210-762. Innovative high technology industries; application of research and development exemptions generally.

The exemption available for research activities is explained in detail at 23VAC10-210-3070 through 23VAC10-210-3074. To qualify for the exemption, tangible personal property must be used directly and exclusively in basic research or research and developmental activities in the experimental or laboratory sense. Generally, a research activity which has as its goal the advancement of existing knowledge or technology, the development of new uses for existing products, technology or processes, or the improvement of existing products, technology or processes will be entitled to the exemption. Thus, most research into innovative technologies or fields will qualify for the research exemption. However, the production of management studies and similar projects does not constitute exempt research under 23VAC10-210-3070 through 23VAC10-210-3074 as such projects do not involve experimental or laboratory research.

Statutory Authority

§§ 58.1-203, 58.1-609.5(6) and 58.1-609.5(7) of the Code of Virginia.

Historical Notes

Derived from VR630-10-49.2 § 3, eff. March 15, 1987, retroactive to December 1, 1986.

Website addresses provided in the Virginia Administrative Code to documents incorporated by reference are for the reader's convenience only, may not necessarily be active or current, and should not be relied upon. To ensure the information incorporated by reference is accurate, the reader is encouraged to use the source document described in the regulation.

As a service to the public, the Virginia Administrative Code is provided online by the Virginia General Assembly. We are unable to answer legal questions or respond to requests for legal advice, including application of law to specific fact. To understand and protect your legal rights, you should consult an attorney.