A Virginia Schedule VK-1 is issued by a pass-through entity (PTE), such as a partnership, S corporation, or LLC, to report your share of Virginia income, withholding, deductions, and credits. You'll use the information from your VK-1 when preparing your Virginia individual income tax return. Virginia's instructions also list VK-1 forms among the withholding documents taxpayers should gather before filing.
Enter Virginia withholding and income from Schedule VK-1
If your Schedule VK-1 shows Virginia withholding or Virginia-source income, enter that information in the Virginia Schedule K-1 section of your state return:
- Select State
- Three dots to Edit Virginia return
- Select Miscellaneous Forms
- Select VA Schedule K-1
Virginia withholding from VK-1 forms is reported with other Virginia withholding documents, such as Forms W-2 and 1099.
Enter credits reported on Schedule VK-1
If your Schedule VK-1 reports Virginia tax credits, enter each credit in the appropriate Virginia credit section:
- Select State
- Three dots to Edit Virginia return
- Select Credits
- Choose either Refundable Credits or Nonrefundable Credits
- Locate and enter the credit shown on your Schedule VK-1
The specific section you'll use depends on the type of credit reported by the pass-through entity.
Keep a copy of your VK-1
Virginia recommends keeping supporting tax documents, including VK-1 forms that show Virginia withholding, with your tax records. If you're filing a paper return, VK-1 forms showing Virginia withholding should be included with your return documentation.
What if my Schedule VK-1 includes a Pass-Through Entity Tax (PTET) credit?
Virginia continues to allow the Pass-Through Entity Elective Tax (PTET) Credit for eligible taxpayers. If your Schedule VK-1 reports a PTET credit, enter it in the Virginia credit section that corresponds to the credit type reported on the form.