A bit confused on the rules for claiming a personal exemption on a Virginia return. The Virginia law explicitly states "A deduction in the amount of $930 for each personal exemption allowable to the taxpayer for federal income tax purposes." (Code of Virginia § 58.1-322.03). Now a person claimed as a dependent on someone else's Federal return would not be eligible to claim a personal exemption for themselves on their Federal return (I'm aware the value of a personal exemption is $0 for Federal purposes). Given this, I would think that the dependent would therefore not be eligible to take the personal exemption on their own Virginia return. However, the Virginia tax form has 1 exemption hard coded into the form and, indeed, turbotax is deducting the personal exemption on the return. Boxes on the Virginia return indication the taxpayer is a dependent are appropriately checked. Any idea what I'm missing here?
I appreciate any clarity provided!
