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Level 7
February 25, 2026
Question

Conformity addition in Virginia

  • February 25, 2026
  • 1 reply
  • 15 views

Client sold a rental house that had been nearly fully depreciated. Unrecaptured Section 1250 Gain = $57,365. Long term gain $236,919. Virginia added a conformity addition of $7908. How is that calculated? What about Conformity Subtraction just below?

1 reply

sjrcpa
Level 15
February 26, 2026

Theoretically it is the difference between federal depreciation and VA depreciation.

This in turn makes the federal gain different than the VA gain.

The more I know the more I don’t know.
GretaAuthor
Level 7
February 26, 2026

That is odd. The federal depreciation was over 27.5 years, started 25 yrs ago. There should not be a difference with the state. May I just wipe out this addition by putting the same amount under a subtraction?

Accountant-Man
Level 13
February 26, 2026

Is VA a non-resident state?

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