Together, the Commonwealth of Virginia and the City of Virginia Beach have one of the fairest tax structures of the 50 states. Both businesses and individuals carry their share of the tax load, and the Commonwealth has not raised its corporate income tax rate of 6% since 1972. In addition, Virginia’s unemployment insurance rates and workers’ compensation costs are among the lowest in the nation. To encourage Advanced/High Performance Manufacturing, Virginia Beach is the only City in the Commonwealth of Virginia to eliminate the Machinery and Tools Tax.
Virginia Beach also caps its business license tax at a flat fee of $50 for a company's first two years of operations in the City.
| City of Virginia Beach Tax Rates |
| Real Estate |
$0.95 per $100 assessed value*
*Fiscal Year 2010-2011
|
Personal Property |
$3.70 per $100 assessed value |
Machinery & Tools |
$0.00 effective July 1, 2011 |
Business Property |
$3.70 per $100 assessed value
40% of original cost (Tangible Property) |
| Business License Tax (per $100 of gross receipts) |
Retailer .20
Contracting .16
Professional .58
Service .36
Wholesaler .12/
$100 of gross purchases |
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Last updated: Jan 2013