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North King Street in Historic Downtown Leesburg

Frequently Asked Questions

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General Information
Town Vehicle Decals
How To Pay Personal Property Taxes
Registering for Personal Property Tax
Penalties, Fines and Delinquent Accounts
Exemptions from Personal Property Tax
Documentation Required for Exemption
How Taxes Are Calculated 
Assessments and Appeals
Personal Property Tax Relief Act (PPTRA)
Adjusting and/or Closing an Account
Questions?
  

General Information
All motor vehicles parked, stored or garaged (having status) in the Town of Leesburg, including vehicles with out-of-state plates, must be registered for the Town's annual personal property tax. All motor vehicles, such as trailers, registered to a Town address with the Virginia Department of Motor Vehicles must also be registered with the Town. Personal property taxes are assessed based on the calendar year or any portion of the year during which a vehicle is liable for the tax. Annual personal property tax bills are mailed in late August/early September with a due date of October 5. (“Motor vehicles” include all automobiles, trucks, taxicabs, motor vehicles with specially designed equipment for disabled persons, motorcycles, boats, trailers, campers, and other recreational vehicles.)

  • Titling and registering your vehicle with the Virginia Department of Motor Vehicles (DMV) does not automatically register the vehicle with the Town of Leesburg.

  • Loudoun County personal property taxes are due twice a year on May 5 and October 5. The Town of Leesburg personal property taxes 2013 are due by Monday October 7, 2013.

    If you do not receive the bill by mail, you must contact Town of Leesburg Finance Department at 703-771-2726. Failure to receive the bill will not relieve you of the obligation to file and pay taxes by the due date. It is the citizen’s responsibility to ensure the personal property tax billing information is correct and all updates must be made through the Loudoun County Commissioner of Revenue.
     

    Town Vehicle Decals
    Any person who must register a vehicle for personal property tax must also purchase and display a Town decal as proof of registration with the Town and payment of Personal Property Tax.  Effective September 1, 2011, the Town of Leesburg will have permanent decals that are valid as long as the vehicle is owned by the purchaser and all personal property taxes are current.  For more information on how to purchase or transfer a decal, please see the Vehicle Decals page.

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    How to Pay Personal Property Taxes
    The Town of Leesburg offers several convenient options for paying your personal property taxes, including online payments.  For information about all of the payment options available, please see the Finance Department's Personal Property Tax Payment Options page.

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    Registering for Personal Property Tax
    All residents of the Town of Leesburg must register within 30 days of moving into the Town or purchasing a vehicle in the Town. You may register your vehicle by:

    • Bringing your valid state registration card, vehicle title or bill of sale, and your driver’s license to our office at 25 West Market Street, Leesburg VA 20176 from 8:30am until 5pm, Monday through Friday, except Town holidays; or
    • Printing the registration form and mailing it with a copy of your valid state registration card, a copy of the vehicle title or bill of sale, and payment for the Town Decal to Town of Leesburg, 25 West Market Street, Leesburg VA 20176.

    Note:  The vehicle must be registered with Loudoun County before the Town can register your vehicle.   Upon purchasing a vehicle, Virginia DMV or the dealership is not responsible for registering with Loudoun County or the Town of Leesburg.  Registering a vehicle and/or requesting a Town decal can not be done on line.  You can download the registration form (above), complete and return for processing.  A decal will be mailed to you.   

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    Penalties, Fines and Delinquent Accounts
    The owner of any vehicle parked, stored or garaged in the Town that does not display a valid Town decal is subject to a $40 fine for each violation of Town’s tax ordinances. Town police and parking enforcement officers may issue tickets on public property or on private property (including parking lots) with the consent of the property owner.

    Payments received after the due date are subject to a 10% penalty and interest.

    The Town of Leesburg vigorously enforces collection of delinquent taxes through tax liens and garnishments. The Town also utilizes other delinquent tax collection action including DMV stops and the Virginia Set-Off-Debt program in which the Town may claim the taxpayer’s State Income Tax Refunds. The taxpayer is responsible for collection costs.

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    Exemptions from the Personal Property Tax
    The following persons are fully or partially exempted from paying the personal property tax and decal fee but must still register their vehicles, file the annual filing by exception letter (FBE), and display valid decals:

    • Military personnel who are on extended active duty and who are not residents of Virginia, if the vehicle is owned (not leased) by and registered solely in the name of the active duty person, are exempt from both the decal fee and personal property tax. Military personnel who are on active duty and are residents of Virginia are exempt from the decal fee but not the personal property tax.
    • Vehicles owned by or co-owned with the spouses of military personnel on extended active duty who are not residents of Virginia. The vehicle must be solely registered to the spouse or co-registered to the spouse and the active duty military member. Vehicles co-owned with other family members or non-related persons will not qualify for the exemption.
    • Members of the United States Congress and their spouses are exempt from both the decal fee and personal property tax.
    • Recognized foreign diplomats and their immediate families are exempt from both the decal fee and personal property tax.
    • Disabled American veterans whose vehicles display current Virginia disabled veteran license plates are exempt from the decal fee but not the personal property tax.
    • Members of the Virginia National Guard whose vehicles display current Virginia National Guard license plates pay only half the decal fee but are not exempt from the personal property tax.

    Please note that the following property is not eligible for this exemption and is therefore fully taxable.

    • Leased vehicles;
    • Property used in a trade or business; and
    • Property co-owned with any person who does not qualify for tax exemption.

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    Documentation Required for Exemption
    In some cases, in order to receive the relevant personal property tax and/or decal fee exemption, you must provide staff with documentation of your tax exempt status. The type of documentation required depends upon the category of exemption requested.

    For vehicles owned solely by active duty military members, please provide:

    • A copy of the member's military identification card; and
    • A copy of the current Leave and Earning Statement (LES)

    For vehicles owned or co-owned by the spouse of an active duty military member, please provide:

    • A copy of the member's military identification card;
    • A copy of the member's current LES; and
    • A copy of either the marriage certificate or the spouse's military dependent identification card

    For vehicles owned by recognized foreign diplomats and their immediate families, please provide:

    • A copy of your Personal Identification Card issued by the United States Department of State;

    Other types of exemption are validated through Virginia DMV records and/or information provided by the US Congress.

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    How Taxes Are Calculated
    Personal Property Tax: The Town of Leesburg calculates personal property taxes using assessment provided by the Loudoun County Commissioner of Revenue. Any questions about the assessed value of property should be directed to Loudoun County.

    The Personal Property Tax rate is $1.00 per $100 (1%) of the assessed value of the vehicle.

    • If a vehicle is subject to the taxes in Leesburg for a full calendar year, the tax amount is determined by multiplying the tax rate by the assessed value.
    • If a vehicle is subject to the taxes in Leesburg for less than a full calendar year, the assessed value is prorated for the number of months the vehicle is subject to taxes. The tax amount is then determined by multiplying the tax rate by the prorated assessed value.
    • If the Town is notified that a vehicle is moved out of the Town or disposed of, the Town will adjust the personal property tax assessment accordingly.

    NOTE: Vehicles subject to Personal Property Tax may also qualify for Personal Property Tax Relief (PPTRA), which covers a percentage of the personal property taxes due on the first $20,000 in assessed value for personal vehicles. This percentage is subject to change each year.

  • For an estimate on the tax on your personal vehicle, see the calculation examples below if you know the vehicle’s assessed value. Please note that actual personal property tax bills are calculated based on the Loudoun County assessment and not the vehicle “sticker price.” Examples do not include the annual $25.00 license (decal) fee.

    Example for a Personal Vehicle Assessed at $20,000 or less. 
        Assessed value of the vehicle is $10,225 
        Apply the $1.00 tax rate per $100 value: ($1.00 x $10,225/$100) =  $102.25 
        Calculate personal property tax relief (PPTR) for 2011 at 52%: 52% x $102.25 = $53.17 
        Reduce the tax by the relief amount: $102.25 - $53.17 = $49.08 
        Annual tax amount: $49.08. 

    Example for a Personal Vehicle Assessed at More Than $20,000. 
        Assessed value of the vehicle is $20,336 
        Apply the 2011 tax rate per $100 value: ($1.00 x $20,336/$100) = $203.36 
        Calculate personal property tax relief (PPTR) on first $20,000 of value for 2011 at 52%: 
        52% x $20,000/$100 = $104.00 
        Reduce the tax by the relief amount: $203.36 - $104.00 = $99.36 
        Annual tax amount: $99.36.

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    Assessments and Appeals
    How Vehicles are Assessed: Assessments are appraised at 100% of the property’s fair market value by Loudoun County Commissioner of the Revenue.

    Appealing an Assessment, Damage or Malfunction, and High Mileage: Appeals must be submitted to Loudoun County Commissioner of the Revenue.

    Loudoun County Commissioner of the Revenue
    Phone: 703-777-0260
    Hours: Monday-Friday
    8:30 a.m. - 5:00 p.m.

    1 Harrison Street SE,
    1st Floor
    Leesburg, VA 20175
    Fax: 703-777-0263

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    Personal Property Tax Relief Act (PPTRA)
    Through the Personal Property Tax Relief Act of 1998 (PPTRA), the Commonwealth of Virginia grants partial relief of the personal property tax levied on the first $20,000 of the assessed value for qualifying vehicles. In 2004, the General Assembly passed legislation capping PPTRA relief at $950 million for the entire State, beginning with the year 2006. The legislation also ended reimbursement for prior year taxes on September 1, 2006, and authorized the Town to remove the State credit and bill vehicle owners for the entire tax.

    Each locality must annually recalculate relief to equitably distribute the locality’s PPTRA reimbursement from the State.

    To qualify, a vehicle must:

    • Have a registered gross weight less than 7,501 pounds;
    • Be owned by an individual or leased by an individual under a contract requiring the individual to pay the personal property tax; and
    • Be used less than 50% for business purposes.

    Motor homes, trailers and farm use vehicles do not qualify for tax relief.

    Does your vehicle qualify for car tax relief?

    If you can answer YES to any of the following questions, your motor vehicle is considered by State law to have a business use and does NOT qualify for car tax relief.

    • Is more than 50% of the mileage for the year used as a business expense for Federal Income Tax purposes or reimbursed by an employer?
    • Is more than 50% of the depreciation associated with the vehicle deducted as a business expense for Federal Income Tax purposes?
    • Is the cost of the vehicle expensed pursuant to Section 179 of the Internal Revenue Service Code?
    • Is the vehicle leased by an individual and the leasing company pays the tax without reimbursement form the individual?

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    Adjusting and/or Closing an Account
    NOTE: All changes to vehicle status (purchases, trades, moves, sales, donations, etc.) should be promptly reported to the Town of Leesburg, Loudoun County and Virginia DMV.

    If you have moved out of the Town, you must:

    • Remove the decal from the vehicle.
    • Provide the change in status to Loudoun County

    Disposing of a Vehicle: In the event that the vehicle you currently have registered is traded, sold, donated, stolen or totaled, you must:

    • Remove the decal from the vehicle.
    • Provide the change in status to Loudoun County.

    NOTE: A temporary absence from the Town does not exonerate you from paying the taxes.

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    Questions?
    To obtain additional Personal Property Tax information or for questions, use our online form or send a detailed e-mail to pptax@leesburgva.gov. Email responses will be sent within 48 hours of the inquiry.

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  • Last updated: 8/30/2013 11:56:30 AM