Local Sales Tax Increase on Virginia Schools
(WFXR) – Nearly 50 localities throughout Virginia are asking voters to consider a one percent local sales tax increase to support building and renovating schools across the state. If passed, the ballot referendum would add a penny tax, generating funds for school capital projects. It will not, however, add taxes to groceries or hygiene products. The proposal offers local governments an alternative to address school infrastructure needs, circumventing reliance on property taxes or existing local revenue.
Southwest Virginia comprises 13 of the 47 total localities voting on this referendum. The following counties and cities will vote either in support of or against the one percent local sales tax increase:
- Alleghany County
- Buena Vista
- Covington
- Floyd County
- Franklin County
- Giles County
- Grayson County
- Lexington
- Martinsville
- Nelson County
- Pulaski County
- Radford
- Wythe County
Per Virginia Law, the funds cannot be utilized for everyday school expenses, such as teacher salaries, classroom supplies, or other operational costs.
Josette Bulova, policy communications coordinator with The Virginia Municipal League, indicates estimated revenues in the region would range from roughly $1.1 million annually in Alleghany County to $1.6 million in Floyd County. Wythe County leaders predict the one percent school tax would generate an additional $5 million to $6 million annually, earmarked for $72 million in school capital projects.
Approval of the referendum will not immediately instate the tax. Local governments must still adopt an ordinance establishing the additional tax. The vote requires a simple majority to pass, meaning more than 50 percent of votes must be in favor of or against the referendum.
Click here for the full Virginia Code regarding the proposed local sales tax increase.