Acknowledging that inflation is having an impact on county residents, Prince William County’s supervisors extended the deadline for car taxes by 90 days.
The October 5 deadline for personal property taxes, commonly known as the car tax, has been extended until January 3, 2024. The tax in Prince William County applies to automobiles, trucks, motorcycles, trailers, and mobile homes, as well as business items, such as construction equipment, computers, and furniture.
The change comes as the tax rate goes back to 100 percent of the fair market value. The county uses J.D. Power to assess vehicle values. In 2022, it had been 80 percent of the value because car prices, both new and used, shot up during the pandemic as the U.S. experienced supply chain issues and computer chip shortages.
“The Board recognizes that the change from 80 to 100 percent ratio of fair market value, coupled with the declining percentage of tax relief from the fixed dollar amount provided by the Commonwealth of Virginia under the Personal Property Tax Relief Act, creates a hardship for taxpayers in this high inflationary environment and as taxpayers recover from the pandemic,” the county said in a news release.
Additionally, county staffers will look into the options of offering 5, 10, or 20 percent refunds. Prince William County will also look into whether to consider other pricing guides for the next tax year.
Personal property taxes in other Northern Virginia jurisdictions, including Fairfax and Loudoun counties and the city of Alexandria, are due October 5.
Feature image, stock.adobe.com
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