23VAC10-210-850: Liability of corporate and partnership officers; penalty

A. Generally. Any corporate officer or partnership officer who willfully evades, or who fails to pay, collect or truthfully account for and remit sales and use tax is liable for a penalty equal to the amount of tax evaded, not collected, not paid or not accounted for and paid and shall also be guilty of a Class 1 misdemeanor.

Any corporate or partnership officer who willfully fails to file sales and use tax returns, maintain records or supply information is guilty of a Class 1 misdemeanor.

B. "Corporate or partnership officer," defined. A "corporate or partnership officer," as used in this regulation, means an officer or employee of a corporation or a member or employee of a partnership who has a duty to collect, pay, account for and remit, file returns, or retain and supply records relative to the sales and use tax and who:

1. Had knowledge of evasion of the tax or failure to collect, pay, account for and remit the tax or failure to file returns or retain and supply records; and

2. Had the authority to prevent such evasion or failure.