Personal Property Tax
Prorate / AssessmentsThe City of Poquoson prorates personal property tax (except for business personal property), meaning you pay tax based on the number of months you own the property in Poquoson. If you buy or sell property during the year, it will be subject to a prorated tax.
If you have moved, the Commonwealth of Virginia requires that you directly inform the Virginia Department of Motor Vehicles of your new address and garage jurisdiction (*). You may accomplish this online HERE, or by phone at 804-497-7100.
Effective July 1, 1998, the Code of Virginia, Title 58.1-3511 was amended to allow localities to assess personal property tax on motor vehicles, travel trailers and boats which are registered in Virginia but normally garaged, docked or parked in another state. Taxes are to be assessed by the Virginia locality where the vehicle is registered.
Moved out of VirginiaIf you have moved out of Virginia, you must provide proof of registration or personal property tax paid in the new state of residence in order to prorate your tax bill. The bill will be prorated using the date registered in the new state.
Assessment BasisAssessments are based on the "clean loan value" in the January edition of the NADA Official Used Car Guide.
(*) The garage jurisdiction indicates the city/county where the vehicle is normally garaged, which may or may not be the same as the mailing address. The garage jurisdiction may determine the situs for personal property tax.
MilitaryThe Federal Soldier's and Sailor's Civil Relief Act exempts active duty military personnel from personal property tax in any state other than their state of legal residence. Therefore, vehicles registered in the active duty, non-Virginia resident military person's name alone will be exempt from personal property tax. Military service members must supply a copy of their current Leave and Earnings Statements annually.
Beginning in 2009, because of the "Military Spouses Residency Relief Act" signed by President Obama on November 11, 2009, vehicles jointly titled with military spouses whose legal residence is the same as the military service member or solely titled to the spouse whose legal residence is the same as the military service member also will be exempt from personal property tax. Please see the link below for the spouse exemption application.
Military Spouses Residency Relief Act Application
When military persons retire and remain in Poquoson, their vehicle(s) will be subject to the personal property tax. All vehicles owned by military individuals who claim Virginia as their legal state of residence are subject to personal property tax, regardless of where the vehicle is physically located.
Personal Property Tax ReliefThe Personal Property Tax Relief Act (PPTRA) of 1998, approved by the General Assembly on April 24, 1998, allows a percentage of tax relief on personal property tax bills for owners of qualifying personal-use vehicles valued below $20,001. The reduction percentage varies and may decrease each year. For qualifying vehicles in Poquoson valued at $1,000 and less, the tax relief pays 100%. Vehicles with antique Virginia license plates registered in Poquoson also qualify for 100% tax relief.
Use this calculator to compute your personal property tax bill for a qualified vehicle.
Qualifying vehicles are those used predominantly for non-business purposes and owned or leased by natural persons. A vehicle is ineligible for the program if:
- More than 50% of the mileage for the year is for business purposes and is deducted for federal income tax purposes or reimbursed by an employer; or
- More than 50% of the depreciation associated with the vehicle is deducted as a business expense; or
- The cost of the vehicle is expensed pursuant to Section 179 of the Internal Revenue Code [which by definition required 50% or greater of business use]; or
- The vehicle has a gross weight of more than 10,001 lbs.; or
- The vehicle is registered in a business name; Partnership; Corporation; or LLC (Limited Liability Company); or
- It is a Motor Home