Due to the ongoing impacts of the global pandemic, the value of your vehicle may have increased. Therefore, the city has increased the amount of automatically applied Personal Property Tax (also known as car tax) Relief to offset our resident’s tax burden.

Understanding that the past two years have been financially stressful for our resident’s, Mayor Stoney will introduce legislation on Monday, May 23 requesting the due date for the payment of Personal Property Tax be extended to August 5, 2022.

The Mayor would like to express his appreciation for the support from the members of Richmond City Council for this extension, and especially to Council President Newbille for working to schedule a special meeting of the City Council on Tuesday, May 31 at 2:00 PM to vote on the legislation.

PAY YOUR PERSONAL PROPERTY TAXES ONLINE OR BY MAIL

Personal property tax bills have been mailed, are available online, and currently are due June 5, 2022. Taxpayers can either pay online by visiting RVA.gov or mail their payments. As June 5 falls on a Sunday, all payments postmarked on or before June 6 will not be subject to penalties and interest for late payment.

COVID-19 IMPACT TO VEHICLE VALUES FOR 2022

Valuations for all vehicle types have increased due to the supply chain impacts of COVID-19. The Department of Finance does not set the value of vehicles, but instead uses National Automobile Dealers Association (NADA) values to determine the amount due for personal property taxes in accordance with state law. As a result of increasing vehicle values, taxpayers may see a year-to-year increase in their amount due. However, the city has provided additional relief to reduce the impact to taxpayers.

FREEZING THE PPTRA RATE TO PROVIDE ADDITIONAL RELIEF

Most taxpayers receive personal property tax relief through the state’s Personal Property Tax Relief Act (PPTRA). However, given the rising values, the percentage of personal property bills these funds cover is reduced in 2022. To provide additional relief to those who automatically qualify, the city has elected to ‘freeze’ the PPTRA rate at the same rate as 2021. Effectively, the city is providing relief in addition to what the state provides. Depending on your vehicle’s value, you may save up to $150 more because the city is freezing the rate. It is estimated that by freezing the rate the city will provide Richmonders more than $8 million in additional relief.

If you have an issue or a question related to your personal property tax bill, call RVA311 by dialing 311 locally, visit RVA311.com, or download the RVA311 app on your Apple or Android device.

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