Disabled veterans vehicle property tax exemption virginia

Q: How do I avoid vehicle property tax in Virginia?

That said, you cant legally avoid paying car tax in Virginia. People have tried to avoid the car tax by registering their cars in different states or lying about their circumstances. However, doing so means you face fines of up to 25% of the initial tax rate with 5% interest each year it goes unpaid.

Table of Contents Show

Disabled Veterans
Military Exemption
Contact Information
Do disabled veterans pay vehicle registration in Virginia?
How do I avoid vehicle property tax in Virginia?
Is military exempt from vehicle sales tax in Virginia?
What benefits does Virginia give to disabled veterans?

Accessible Vehicle Exemptions
Any vehicle which has been specially equipped for the transport of a disabled individual may be exempted from personal property tax.
Disabled Veteran Exemptions
Individuals who are disabled veterans, who are considered by the Veterans Administration to have a 100% permanent and total service connected disability, may be exempt from taxation on 1 motor vehicle.
Elderly & Disabled Real Estate Exemptions
Learn about eligibility requirements to receive a tax exemption for real estate tax.
Land Use Exemptions
James City County provides for special valuation of real property tracts larger than 5 acres devoted to agricultural or horticultural uses and timberland tracts of 20 acres or more located in an Agricultural/Forestal District.
Military Exemptions
Active duty military personnel residing in James City County with a home of record other than Virginia may be eligible for an exemption from personal property tax.

Disabled Veterans

NEW for 2021 Disabled Veterans who qualify under the provisions of the Code of Virginia and Norfolk City Ordinances can receive an exemption on their personal property tax for one vehicle. The exemption is available to any eligible veteran who has either lost the use of one or both legs, an arm or a hand, or who is blind or permanently and totally disabled, and the disability is certified by the Department of Veterans Affairs as 100% service connected. Any veteran who qualifies will receive an exemption on a single vehicle owned and regularly used by the veteran. In order to qualify, each veteran will need a copy of a written statement from the Department of Veterans Affairs, designating or classifying that the veteran meets the requirements of the Code of Virginia, and that the disability is service connected.

Military Exemption

I am active duty military, so do I owe this tax?
If the vehicle is in your name only and you are Non-Virginia resident, you qualify for exemption. However, you must provide us with a current L.E.S. (Leave and Earnings Statement) or W-2. If you are taxed for multiple years, you must provide an LES or W-2 for each year.
I am active duty military and my spouse, who is not in the military, is listed on the vehicle. Do I still owe this tax?
On December 31, 2018, Congress enacted the Veterans Benefits and Transition Act. This federal legislation amends the service member Civil Relief Act to provide that the spouse of a service member may elect to use the same residence for tax purposes as that of the service member. This change became effective January 1, 2019. View (PDF).

To qualify for this exemption you must provide the following documentation.

Current LES or W-2. If you are being taxed for multiple years, we need an LES or W-2 for each year.
The active duty military member's Dependency Application/Record of Emergency Data (Page 2) document listing the spouse.

I am active duty military and I own a vehicle with someone other than my spouse that is not active duty. Do I still owe this tax?
Yes.
I am active duty military and I lease a vehicle. Do I still owe this tax?
Yes. Vehicles leased by the qualifying servicemember and/or spouse are eligible for a tax credit from Virginia on the first $20,000 of assessed value. The credit will be reflected on the personal property tax bill. Any remaining assessed value is fully taxable. This relief is available for personal use vehicles only.

Contact Information

You can email or fax the documentation along with the bill you received to the following:

Email Norfolk Military
Fax: 757-664-4109
810 Union Street
Norfolk, VA 23510

Last Updated: March 29, 2021

Background

Section 6 of Article X of the Constitution of Virginia was amended effective January 1, 2021 to establish the exemption from local property taxation for one vehicle (i.e. car or truck) used primarily by or for a 100% service-connected, totally and permanently Disabled Veteran. The vehicle may be owned (not leased) by the Disabled Veteran and/or their spouse.

Please read the requirements below to see if you qualify.

To receive an exemption, complete the Disabled Veterans Personal Property Tax Exemption application

[178KB] and provide the supporting documentation as described below.

Note: If the Disabled Veteran owns their home in the City of Harrisonburg please see the application and information at Disabled Veterans Real Property Tax Exemption.

Requirements

Disability

The United States Department of Veterans Affairs must have determined that the veteran has a 100% service-connected, total and permanent disability or a total disability rating based on individual unemployability due to a service-connected disability.
Documentation from the Department of Veteran Affairs must be provided with the first request.
To request a statement from the United States Department of Veteran Affairs confirming a 100% service-connected disability, you may submit a Department of Veterans Affairs Form 21-4138
[1.72MB].

Personal Property Ownership

The motor vehicle (i.e. car or truck) must be owned by the veteran and/or spouse.
After the initial application, each February the Disabled Veteran will be mailed a form on which he/she can designate a different vehicle to receive the exemption for that year.
Leased vehicles and vehicles owned by a business will not qualify.

Property Use

The vehicle must be used primarily by or for the veteran.

Note: The exemption does not also eliminate the vehicle license fee on the vehicle. Disabled Veterans are entitled to exemption of the vehicle license fee for only one (1) vehicle with disabled veteran's license plates.

Do disabled veterans pay vehicle registration in Virginia?

A veteran is eligible to receive one set of Disabled Veteran special plates for free if that veteran (1) has lost, or lost the use of, a leg, arm, or hand; (2) is blind; or (3) is permanently and totally disabled as certified by the VA.

How do I avoid vehicle property tax in Virginia?

That said, you can't legally avoid paying car tax in Virginia. People have tried to avoid the car tax by registering their cars in different states or lying about their circumstances. However, doing so means you face fines of up to 25% of the initial tax rate with 5% interest each year it goes unpaid.

Is military exempt from vehicle sales tax in Virginia?

Exemptions from the SUT Tax If you are titling your vehicle in Virginia for the first time and you hold a valid title or registration in your name by another state or a branch of the United States Armed Forces, you will not have to pay the SUT.

What benefits does Virginia give to disabled veterans?

Summary of Virginia Military and Veterans Benefits: Virginia offers special benefits for Service members, Veterans and their Families including a property tax exemption for disabled Veterans, education and tuition assistance, employment assistance, vehicle tags, as well as hunting and fishing license privileges.

disabled veterans vehicle property tax exemption virginia