Income tax, state and corporate; business interest.

Virginia taxable income; business interest.Increases from 20 percent to 50 percent the Virginia individual and corporate income tax deduction for business interest disallowed asa deduction under § 163(j) of the Internal Revenue Code for taxable years beginning on and after January 1, 2022. The bill provides thatfor any taxpayer filing a separate return or as part of a combinedreturn who is part of a federal consolidated group that does not report an interest expense limitation under § 163(j) of the InternalRevenue Code on its federal consolidated return in the taxable year,the deduction allowed shall be 100 percent.