TAX & LICENSE / STATE TAX SYSTEM

State Income Tax

VIRGINIA

Residents of Virginia are required to file an individual income tax return if their gross income is over the filing threshold. The adjusted gross income for the Commonwealth of Virginia is calculated in the same way as the federal adjusted gross income plus any Virginia additions and minus any Virginia subtractions. Virginia adjusted gross income does not include standard or itemized deductions, the child and dependent care expense deduction, or personal exemptions. If your income is below the filing threshold for your filing status but Virginia income tax was withheld from any payments you received, it is possible to file a return to apply for a full refund of the Virginia individual income tax withheld.

For questions or further details on taxation in Virginia, contact the following offices:

Virginia Department of Taxation
804-367-8031
www.tax.virginia.gov

 

NORTH CAROLINA

North Carolina imposes a state income tax on a variable scale that takes into consideration the taxpayer’s filing status and income level. The tax rate varies from 6 to 7.75 percent. Exemptions and credits apply, depending upon each taxpayer’s individual situation. For more information on income tax in North Carolina, contact:

North Carolina Department of Revenue
877-252-3052
www.dor.state.nc.us

 

State Sales Tax

VIRGINIA
The Commonwealth of Virginia imposes a minimum of 4 percent sales tax, although an addition 1 percent represents taxation from local jurisdictions so the tax may be slightly higher than 5 percent in certain localities. Local jurisdictions may also levy a tax on food, lodging, and entertainment at 1.5%. Your local Commission of Revenue can provide the exact tax rate in your city or county. Virginia returns one-third of the state sales tax to the localities in support of education. The amount of state tax that each locality receives is based on the school age population. Local taxes are distributed for general operating purposes and are based on the amount of sales in that locality.

 

NORTH CAROLINA

North Carolina imposes a 4.75 percent state sales tax, although local jurisdictions can add additional sales taxes. Sales taxes are collected by the retailer and paid by the consumer. Use taxes are paid directly by residents to the Department of Revenue on items that were purchased out-of-state (such as catalog or Internet sales) where tax was not collected, and the items are being used in North Carolina. The use tax is the same as the sales tax would have been if the item had been purchased in North Carolina and is included on the income tax form.

Sales Tax Holiday
Clothing, footwear, and school supplies that sell for less than $100 per item and computers, printers, printer supplies, and educational software that sells for less than $3,500 per item are exempt from sales taxes between 12:01 A.M. on the first Friday in August and 11:59 P.M. the following Sunday. For more information on the Sales Tax Holiday or general questions about sales and use taxes, contact:

Sales & Use Tax
877-242-3052
www.dor.state.nc.us

 

Property Tax

VIRGINIA

Property tax is assessed on all taxable real and personal property. Although laws differ between localities, the definition of “real property” includes real estate (both business and residential), mobile homes, boats, unregistered automobiles, motorcycles, trailers, business equipment and airplanes. Personal property tax rates range from $3.50 to $4.50 per $100 of assessed value. To confirm the rate in your locality, contact the Commissioner of Revenue.

Commissioners of the Revenue

Chesapeake
306 Cedar Road
757-382-6455
www.cityofchesapeake.net

City of Hampton
One Franklin Street
757-727-6183
http://hampton.gov

Isle of Wight County
17090 Monument Circle
757-365-6222
www.co.isle-of-wight.va.us

James City County
101 Mounts Bay Road
757-253-6695
www.jamescitycountyva.gov

Newport News
2400 Washington Avenue
757-926-8752
12912 Jefferson Avenue
757-886-7671
www.nngov.com/commissioner-of-the-revenue

City of Norfolk
810 Union Street
757-664-7890
www.norfolk.gov
City of Poquoson
500 City Hall Avenue
757-868-3020
www.ci.poquoson.va.us

City of Portsmouth
801 Crawford Street
757-393-8771
www.portsmouthva.gov

City of Suffolk
442 West Washington Street
757-514-4260
www.suffolkva.us

City of Virginia Beach
2401 Courthouse Drive
757-385-4251
www.vbgov.com

City of Williamsburg
401 Lafayette Street
757-220-6150
www.williamsburgva.gov

York County
120 Alexander Hamilton Boulevard
757-890-3381
www.yorkcounty.gov/revenue

 

NORTH CAROLINA

Property taxes in North Carolina are collected by the counties. For almost all the segments of the property tax, January 1 is the tax lien date. An individual owning property as of that date is liable for property taxes in the county where the property is located. The primary exception to this rule is motor vehicle property tax, payable after vehicle registration. For further information regarding property tax, contact your local assessor in the property tax office. The Department of Revenue’s Property Tax Division is also a good source of information:

State Property Tax Division
877-308-9103
www.dor.state.nc.us

Currituck County
153 Courthouse Road
Currituck 252-232-2381
www.co.currituck.nc.us

Camden County
117 North NC343
Camden 252-338-6363
www.camdencountync.gov

Chowan County
305 West Freemason Street
Edenton 252-482-8334
www.chowancounty-nc.gov

Gates County
200 Court Street
Gatesville 252-357-2411
www.gatescounty.govoffice2.com

Hertford County
115 Justice Drive
Winton 252-358-7815
www.hertfordcountync.gov

Pasquotank County
203 East Main Street
Elizabeth City 252-335-4580
www.co.pasquotank.nc.us

Perquimans County
128 North Church Street
Hertford 252-426-8484
www.co.perquimans.nc.us

 

Federal Income Tax

Internal Revenue Service
Information 800-829-1040
www.irs.gov