765: Unified Nonresident Individual Income Tax Return (2025)
Virginia · Virginia Tax · Used for tax years 2025
Virginia Form 765 is a unified nonresident individual income tax return, also called a composite return, for qualified owners of a pass-through entity. It reports participants’ combined Virginia income, additions, subtractions, tax, payments, and credits to determine the amount o
Who files this form
Form 765 is Virginia’s unified nonresident individual income tax return, also called a composite return, for qualified owners of a pass-through entity (PTE).
The PTE must make a diligent effort to ensure that participating owners qualify. It must also have a signed statement from each participating owner authorizing it to act on the owner’s behalf and confirming the owner’s understanding and acceptance of the filing terms and conditions.
The supplied form does not explain the qualification rules or state when filing is mandatory.
What you'll need
- Participants’ Schedules VK-1: Use these to summarize income and Virginia additions and subtractions in Part II.
- Schedule L: Complete and enclose it with the return.
- Signed owner statements: The PTE must keep a statement from each participating owner granting authority and accepting the filing terms and conditions.
- Payment information: Gather estimated tax paid for the 2025 taxable year, including any prior-year overpayment credited to 2025, and any extension payment from Form 770IP.
- Schedule CR: Enclose it if reporting credits on Part I, Line 9.
- Schedule ADJS: Use it to report additions beyond two or subtractions beyond three.
- Form 760C, if applicable: Use it for the addition to tax reported on Part I, Line 15(a).
You will also need the PTE’s legal name, address, FEIN, and Virginia account number.
How to file
Complete Part II using participants’ Schedules VK-1, then transfer the indicated totals to Part I. Complete the tax, payment, credit, and balance calculations in Part I.
Complete and enclose Schedule L. An owner or authorized representative must sign the return and provide the requested identifying and contact information. Enclose payment if an amount is owed on Line 16.
The mailing address printed on the form is:
Virginia Department of Taxation
P.O. Box 760
Richmond, VA 23218-0760
The supplied text does not provide e-file instructions.
Common mistakes
- Leaving out Schedule L: The form specifically says to complete and enclose it.
- Omitting a prior-year credit: Include an overpayment credited from the prior tax year when entering 2025 estimated tax paid on Part I, Line 7.
- Not reporting extra additions or subtractions: Use Schedule ADJS for additions beyond two or subtractions beyond three. Include all amounts in the appropriate total and check the corresponding box.
- Using aggregate amounts without apportioning them: For Part II, Column B, multiply the Column A amount by the Virginia apportionment percentage on Part II, Line 2.
- Leaving out payment: The form directs you to enclose payment for the amount owed on Line 16.
Questions people ask
What does “aggregate” mean in Part II?
It means the sum of the participants’ amounts from Schedules VK-1 for the referenced line item.
Can an overpayment be applied to next year’s estimated tax?
Yes. Enter the amount you want credited to next year’s estimated tax on Part I, Line 13.
Where do I report tax credits?
Enter total credits from Schedule CR on Part I, Line 9, and enclose Schedule CR.
Can the Department of Taxation discuss the return with my preparer?
Yes. Check the authorization box near the signature area to allow the department to discuss the return with your preparer.