COMMISSIONER OF THE REVENUE
Personal Property Tax
| PRORATION
/ ASSESSMENTS The 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 on line at www.dmv.state.va.us or by phone at toll free 866-368-5463.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. If 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. Assessments 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 will be exempt from personal property tax. 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 also will be exempt from personal property tax. Military service members must supply a copy of their current Leave and Earnings Statements annually. When military persons retire and remain in Poquoson, their vehicle(s) will be subject to the personal property tax. All leased vehicles are taxable. 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, prescribes a five-year plan for phasing out the personal property tax bill for owners of qualifying personal-use vehicles valued between $1,000 and $20,000. For qualifying vehicles valued at $1000 and less, the State pays 100%. In 1998, the state rebated 12.5% of personal property tax paid; in 1999, the State paid 27.5%; in 2000, the State paid 47.5%; in 2001 and through 2005, the State paid 70%. For 2006 forward, the Virginia State Legislature changed the method of reimbursement to a fixed lump sum, meaning that for 2006, the Poquoson relief amount fell to 60%, 2007 was 55%, and 2008 was 50%. The reimbursement percentage may drop each year.
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:
For more information on the PPTRA, please call the Commissioner of the Revenue's office at (757) 868-3020. Personal Property Tax Rates in Poquoson Vehicles, trailers, motorcycles: $4.15 per $100 of assessed value (effective 2007 no city decals) RV's, campers, boats: $1.50 per $100 of assessed value |