§ 58.1-3703. Counties, cities and towns may impose local license taxes andfees; limitation of authority.
A. The governing body of any county, city or town may charge a fee forissuing a license in an amount not to exceed $100 for any locality with apopulation greater than 50,000, $50 for any locality with a population of25,000 but no more than 50,000 and $30 for any locality with a populationsmaller than 25,000. For purposes of this section, population may be based onthe most current final population estimates of the Weldon Cooper Center forPublic Service of the University of Virginia. Such governing body may levyand provide for the assessment and collection of county, city or town licensetaxes on businesses, trades, professions, occupations and callings and uponthe persons, firms and corporations engaged therein within the county, cityor town subject to the limitations in (i) subsection C and (ii) subsection Aof § 58.1-3706, provided such tax shall not be assessed and collected on anyamount of gross receipts of each business upon which a license fee ischarged. Any county, city or town with a population greater than 50,000 shallreduce the fee to an amount not to exceed $50 by January 1, 2000. Theordinance imposing such license fees and levying such license taxes shallinclude the provisions of § 58.1-3703.1.
B. Any county, city or town by ordinance may exempt in whole or in part fromthe license tax (i) the design, development or other creation of computersoftware for lease, sale or license and (ii) private businesses andindustries entering into agreements for the establishment, installation,renovation, remodeling, or construction of satellite classrooms for gradeskindergarten through three on a site owned by the business or industry andleased to the school board at no costs pursuant to § 22.1-26.1.
C. No county, city, or town shall impose a license fee or levy any licensetax:
1. On any public service corporation or any motor carrier, common carrier, orother carrier of passengers or property formerly certified by the InterstateCommerce Commission or presently registered for insurance purposes with theSurface Transportation Board of the United States Department ofTransportation, Federal Highway Administration, except as provided in §58.1-3731 or as permitted by other provisions of law;
2. For selling farm or domestic products or nursery products, ornamental orotherwise, or for the planting of nursery products, as an incident to thesale thereof, outside of the regular market houses and sheds of such county,city or town, provided such products are grown or produced by the personoffering them for sale;
3. Upon the privilege or right of printing or publishing any newspaper,magazine, newsletter or other publication issued daily or regularly ataverage intervals not exceeding three months, provided the publication'ssubscription sales are exempt from state sales tax, or for the privilege orright of operating or conducting any radio or television broadcasting stationor service;
4. On a manufacturer for the privilege of manufacturing and selling goods,wares and merchandise at wholesale at the place of manufacture;
5. On a person engaged in the business of severing minerals from the earthfor the privilege of selling the severed mineral at wholesale at the place ofseverance, except as provided in §§ 58.1-3712 and 58.1-3713;
6. Upon a wholesaler for the privilege of selling goods, wares andmerchandise to other persons for resale unless such wholesaler has a definiteplace of business or store in such county, city or town. This subdivisionshall not be construed as prohibiting any county, city or town from imposinga local license tax on a peddler at wholesale pursuant to § 58.1-3718;
7. Upon any person, firm or corporation for engaging in the business ofrenting, as the owner of such property, real property other than hotels,motels, motor lodges, auto courts, tourist courts, travel trailer parks,campgrounds, bed and breakfast establishments, lodging houses, roominghouses, and boardinghouses; however, any county, city or town imposing such alicense tax on January 1, 1974, shall not be precluded from the levy of suchtax by the provisions of this subdivision;
8. [Repealed.]
9. On or measured by receipts for management, accounting, or administrativeservices provided on a group basis under a nonprofit cost-sharing agreementby a corporation which is an agricultural cooperative association under theprovisions of Article 2 (§ 13.1-312 et seq.) of Chapter 3 of Title 13.1, or amember or subsidiary or affiliated association thereof, to other members ofthe same group. This exemption shall not exempt any such corporation fromsuch license or other tax measured by receipts from outside the group;
10. On or measured by receipts or purchases by an entity which is a member ofan affiliated group of entities from other members of the same affiliatedgroup. This exclusion shall not exempt affiliated entities from such licenseor other tax measured by receipts or purchases from outside the affiliatedgroup. This exclusion also shall not preclude a locality from levying awholesale merchant's license tax on an affiliated entity on those sales bythe affiliated entity to a nonaffiliated entity, notwithstanding the factthat the wholesale merchant's license tax would be based upon purchases froman affiliated entity. Such tax shall be based on the purchase price of thegoods sold to the nonaffiliated entity. As used in this subdivision, the term"sales by the affiliated entity to a nonaffiliated entity" means sales bythe affiliated entity to a nonaffiliated entity where goods sold by theaffiliated entity or its agent are manufactured or stored in the Commonwealthprior to their delivery to the nonaffiliated entity;
11. On any insurance company subject to taxation under Chapter 25 (§58.1-2500 et seq.) of this title or on any agent of such company;
12. On any bank or trust company subject to taxation in Chapter 12 (§58.1-1200 et seq.) of this title;
13. Upon a taxicab driver, if the locality has imposed a license tax upon thetaxicab company for which the taxicab driver operates;
14. On any blind person operating a vending stand or other businessenterprise under the jurisdiction of the Department for the Blind and VisionImpaired, or a nominee of the Department, as set forth in § 51.5-98;
15. [Expired.]
16. [Repealed.]
17. On an accredited religious practitioner in the practice of the religioustenets of any church or religious denomination. "Accredited religiouspractitioner" shall be defined as one who is engaged solely in praying forothers upon accreditation by such church or religious denomination;
18. (a) On or measured by receipts of a charitable nonprofit organizationexcept to the extent the organization has receipts from an unrelated trade orbusiness the income of which is taxable under Internal Revenue Code § 511 etseq. For the purpose of this subdivision, "charitable nonprofitorganization" means an organization which is described in Internal RevenueCode § 501(c) (3) and to which contributions are deductible by thecontributor under Internal Revenue Code § 170, except that educationalinstitutions shall be limited to schools, colleges and other similarinstitutions of learning.
(b) On or measured by gifts, contributions, and membership dues of anonprofit organization. Activities conducted for consideration which aresimilar to activities conducted for consideration by for-profit businessesshall be presumed to be activities that are part of a business subject tolicensure. For the purpose of this subdivision, "nonprofit organization"means an organization exempt from federal income tax under Internal RevenueCode § 501 other than charitable nonprofit organizations;
19. On any venture capital fund or other investment fund, except commissionsand fees of such funds. Gross receipts from the sale and rental of realestate and buildings remain taxable by the locality in which the real estateis located provided the locality is otherwise authorized to tax suchbusinesses and rental of real estate;
20. On total assessments paid by condominium unit owners for common expenses."Common expenses" and "unit owner" have the same meanings as in §55-79.41; or
21. On or measured by receipts of a qualifying transportation facilitydirectly or indirectly owned or title to which is held by the Commonwealth orany political subdivision thereof or by the United States as described in §58.1-3606.1 and developed and/or operated pursuant to a concession under thePublic-Private Transportation Act of 1995 (§ 56-556 et seq.) or similarfederal law.
(Code 1950, § 58-266.1; 1950, p. 155; 1956, c. 242; 1964, c. 424; 1968, c.619; 1970, cc. 231, 547; 1974, cc. 196, 438; 1975, cc. 23, 621; 1976, cc.521, 719; 1977, c. 320; 1978, cc. 772, 799, 817; 1979, cc. 565, 568, 570;1980, cc. 318, 736; 1981, cc. 419, 636; 1982, cc. 348, 548, 552, 554, 558,633; 1983, c. 554; 1984, cc. 247, 675, 695; 1985, c. 531; 1987, cc. 617, 618,715; 1988, cc. 480, 499; 1989, c. 314; 1991, cc. 540, 572; 1993, cc. 65, 326,918; 1996, cc. 715, 720; 1997, cc. 62, 283, 903; 2000, c. 557; 2002, cc. 28,717; 2005, c. 103; 2006, c. 922; 2010, c. 648.)
§ 58.1-3703. Counties, cities and towns may impose local license taxes andfees; limitation of authority.
A. The governing body of any county, city or town may charge a fee forissuing a license in an amount not to exceed $100 for any locality with apopulation greater than 50,000, $50 for any locality with a population of25,000 but no more than 50,000 and $30 for any locality with a populationsmaller than 25,000. For purposes of this section, population may be based onthe most current final population estimates of the Weldon Cooper Center forPublic Service of the University of Virginia. Such governing body may levyand provide for the assessment and collection of county, city or town licensetaxes on businesses, trades, professions, occupations and callings and uponthe persons, firms and corporations engaged therein within the county, cityor town subject to the limitations in (i) subsection C and (ii) subsection Aof § 58.1-3706, provided such tax shall not be assessed and collected on anyamount of gross receipts of each business upon which a license fee ischarged. Any county, city or town with a population greater than 50,000 shallreduce the fee to an amount not to exceed $50 by January 1, 2000. Theordinance imposing such license fees and levying such license taxes shallinclude the provisions of § 58.1-3703.1.
B. Any county, city or town by ordinance may exempt in whole or in part fromthe license tax (i) the design, development or other creation of computersoftware for lease, sale or license and (ii) private businesses andindustries entering into agreements for the establishment, installation,renovation, remodeling, or construction of satellite classrooms for gradeskindergarten through three on a site owned by the business or industry andleased to the school board at no costs pursuant to § 22.1-26.1.
C. No county, city, or town shall impose a license fee or levy any licensetax:
1. On any public service corporation or any motor carrier, common carrier, orother carrier of passengers or property formerly certified by the InterstateCommerce Commission or presently registered for insurance purposes with theSurface Transportation Board of the United States Department ofTransportation, Federal Highway Administration, except as provided in §58.1-3731 or as permitted by other provisions of law;
2. For selling farm or domestic products or nursery products, ornamental orotherwise, or for the planting of nursery products, as an incident to thesale thereof, outside of the regular market houses and sheds of such county,city or town, provided such products are grown or produced by the personoffering them for sale;
3. Upon the privilege or right of printing or publishing any newspaper,magazine, newsletter or other publication issued daily or regularly ataverage intervals not exceeding three months, provided the publication'ssubscription sales are exempt from state sales tax, or for the privilege orright of operating or conducting any radio or television broadcasting stationor service;
4. On a manufacturer for the privilege of manufacturing and selling goods,wares and merchandise at wholesale at the place of manufacture;
5. On a person engaged in the business of severing minerals from the earthfor the privilege of selling the severed mineral at wholesale at the place ofseverance, except as provided in §§ 58.1-3712 and 58.1-3713;
6. Upon a wholesaler for the privilege of selling goods, wares andmerchandise to other persons for resale unless such wholesaler has a definiteplace of business or store in such county, city or town. This subdivisionshall not be construed as prohibiting any county, city or town from imposinga local license tax on a peddler at wholesale pursuant to § 58.1-3718;
7. Upon any person, firm or corporation for engaging in the business ofrenting, as the owner of such property, real property other than hotels,motels, motor lodges, auto courts, tourist courts, travel trailer parks,campgrounds, bed and breakfast establishments, lodging houses, roominghouses, and boardinghouses; however, any county, city or town imposing such alicense tax on January 1, 1974, shall not be precluded from the levy of suchtax by the provisions of this subdivision;
8. [Repealed.]
9. On or measured by receipts for management, accounting, or administrativeservices provided on a group basis under a nonprofit cost-sharing agreementby a corporation which is an agricultural cooperative association under theprovisions of Article 2 (§ 13.1-312 et seq.) of Chapter 3 of Title 13.1, or amember or subsidiary or affiliated association thereof, to other members ofthe same group. This exemption shall not exempt any such corporation fromsuch license or other tax measured by receipts from outside the group;
10. On or measured by receipts or purchases by an entity which is a member ofan affiliated group of entities from other members of the same affiliatedgroup. This exclusion shall not exempt affiliated entities from such licenseor other tax measured by receipts or purchases from outside the affiliatedgroup. This exclusion also shall not preclude a locality from levying awholesale merchant's license tax on an affiliated entity on those sales bythe affiliated entity to a nonaffiliated entity, notwithstanding the factthat the wholesale merchant's license tax would be based upon purchases froman affiliated entity. Such tax shall be based on the purchase price of thegoods sold to the nonaffiliated entity. As used in this subdivision, the term"sales by the affiliated entity to a nonaffiliated entity" means sales bythe affiliated entity to a nonaffiliated entity where goods sold by theaffiliated entity or its agent are manufactured or stored in the Commonwealthprior to their delivery to the nonaffiliated entity;
11. On any insurance company subject to taxation under Chapter 25 (§58.1-2500 et seq.) of this title or on any agent of such company;
12. On any bank or trust company subject to taxation in Chapter 12 (§58.1-1200 et seq.) of this title;
13. Upon a taxicab driver, if the locality has imposed a license tax upon thetaxicab company for which the taxicab driver operates;
14. On any blind person operating a vending stand or other businessenterprise under the jurisdiction of the Department for the Blind and VisionImpaired, or a nominee of the Department, as set forth in § 51.5-98;
15. [Expired.]
16. [Repealed.]
17. On an accredited religious practitioner in the practice of the religioustenets of any church or religious denomination. "Accredited religiouspractitioner" shall be defined as one who is engaged solely in praying forothers upon accreditation by such church or religious denomination;
18. (a) On or measured by receipts of a charitable nonprofit organizationexcept to the extent the organization has receipts from an unrelated trade orbusiness the income of which is taxable under Internal Revenue Code § 511 etseq. For the purpose of this subdivision, "charitable nonprofitorganization" means an organization which is described in Internal RevenueCode § 501(c) (3) and to which contributions are deductible by thecontributor under Internal Revenue Code § 170, except that educationalinstitutions shall be limited to schools, colleges and other similarinstitutions of learning.
(b) On or measured by gifts, contributions, and membership dues of anonprofit organization. Activities conducted for consideration which aresimilar to activities conducted for consideration by for-profit businessesshall be presumed to be activities that are part of a business subject tolicensure. For the purpose of this subdivision, "nonprofit organization"means an organization exempt from federal income tax under Internal RevenueCode § 501 other than charitable nonprofit organizations;
19. On any venture capital fund or other investment fund, except commissionsand fees of such funds. Gross receipts from the sale and rental of realestate and buildings remain taxable by the locality in which the real estateis located provided the locality is otherwise authorized to tax suchbusinesses and rental of real estate;
20. On total assessments paid by condominium unit owners for common expenses."Common expenses" and "unit owner" have the same meanings as in §55-79.41; or
21. On or measured by receipts of a qualifying transportation facilitydirectly or indirectly owned or title to which is held by the Commonwealth orany political subdivision thereof or by the United States as described in §58.1-3606.1 and developed and/or operated pursuant to a concession under thePublic-Private Transportation Act of 1995 (§ 56-556 et seq.) or similarfederal law.
(Code 1950, § 58-266.1; 1950, p. 155; 1956, c. 242; 1964, c. 424; 1968, c.619; 1970, cc. 231, 547; 1974, cc. 196, 438; 1975, cc. 23, 621; 1976, cc.521, 719; 1977, c. 320; 1978, cc. 772, 799, 817; 1979, cc. 565, 568, 570;1980, cc. 318, 736; 1981, cc. 419, 636; 1982, cc. 348, 548, 552, 554, 558,633; 1983, c. 554; 1984, cc. 247, 675, 695; 1985, c. 531; 1987, cc. 617, 618,715; 1988, cc. 480, 499; 1989, c. 314; 1991, cc. 540, 572; 1993, cc. 65, 326,918; 1996, cc. 715, 720; 1997, cc. 62, 283, 903; 2000, c. 557; 2002, cc. 28,717; 2005, c. 103; 2006, c. 922; 2010, c. 648.)
§ 58.1-3703. Counties, cities and towns may impose local license taxes andfees; limitation of authority.
A. The governing body of any county, city or town may charge a fee forissuing a license in an amount not to exceed $100 for any locality with apopulation greater than 50,000, $50 for any locality with a population of25,000 but no more than 50,000 and $30 for any locality with a populationsmaller than 25,000. For purposes of this section, population may be based onthe most current final population estimates of the Weldon Cooper Center forPublic Service of the University of Virginia. Such governing body may levyand provide for the assessment and collection of county, city or town licensetaxes on businesses, trades, professions, occupations and callings and uponthe persons, firms and corporations engaged therein within the county, cityor town subject to the limitations in (i) subsection C and (ii) subsection Aof § 58.1-3706, provided such tax shall not be assessed and collected on anyamount of gross receipts of each business upon which a license fee ischarged. Any county, city or town with a population greater than 50,000 shallreduce the fee to an amount not to exceed $50 by January 1, 2000. Theordinance imposing such license fees and levying such license taxes shallinclude the provisions of § 58.1-3703.1.
B. Any county, city or town by ordinance may exempt in whole or in part fromthe license tax (i) the design, development or other creation of computersoftware for lease, sale or license and (ii) private businesses andindustries entering into agreements for the establishment, installation,renovation, remodeling, or construction of satellite classrooms for gradeskindergarten through three on a site owned by the business or industry andleased to the school board at no costs pursuant to § 22.1-26.1.
C. No county, city, or town shall impose a license fee or levy any licensetax:
1. On any public service corporation or any motor carrier, common carrier, orother carrier of passengers or property formerly certified by the InterstateCommerce Commission or presently registered for insurance purposes with theSurface Transportation Board of the United States Department ofTransportation, Federal Highway Administration, except as provided in §58.1-3731 or as permitted by other provisions of law;
2. For selling farm or domestic products or nursery products, ornamental orotherwise, or for the planting of nursery products, as an incident to thesale thereof, outside of the regular market houses and sheds of such county,city or town, provided such products are grown or produced by the personoffering them for sale;
3. Upon the privilege or right of printing or publishing any newspaper,magazine, newsletter or other publication issued daily or regularly ataverage intervals not exceeding three months, provided the publication'ssubscription sales are exempt from state sales tax, or for the privilege orright of operating or conducting any radio or television broadcasting stationor service;
4. On a manufacturer for the privilege of manufacturing and selling goods,wares and merchandise at wholesale at the place of manufacture;
5. On a person engaged in the business of severing minerals from the earthfor the privilege of selling the severed mineral at wholesale at the place ofseverance, except as provided in §§ 58.1-3712 and 58.1-3713;
6. Upon a wholesaler for the privilege of selling goods, wares andmerchandise to other persons for resale unless such wholesaler has a definiteplace of business or store in such county, city or town. This subdivisionshall not be construed as prohibiting any county, city or town from imposinga local license tax on a peddler at wholesale pursuant to § 58.1-3718;
7. Upon any person, firm or corporation for engaging in the business ofrenting, as the owner of such property, real property other than hotels,motels, motor lodges, auto courts, tourist courts, travel trailer parks,campgrounds, bed and breakfast establishments, lodging houses, roominghouses, and boardinghouses; however, any county, city or town imposing such alicense tax on January 1, 1974, shall not be precluded from the levy of suchtax by the provisions of this subdivision;
8. [Repealed.]
9. On or measured by receipts for management, accounting, or administrativeservices provided on a group basis under a nonprofit cost-sharing agreementby a corporation which is an agricultural cooperative association under theprovisions of Article 2 (§ 13.1-312 et seq.) of Chapter 3 of Title 13.1, or amember or subsidiary or affiliated association thereof, to other members ofthe same group. This exemption shall not exempt any such corporation fromsuch license or other tax measured by receipts from outside the group;
10. On or measured by receipts or purchases by an entity which is a member ofan affiliated group of entities from other members of the same affiliatedgroup. This exclusion shall not exempt affiliated entities from such licenseor other tax measured by receipts or purchases from outside the affiliatedgroup. This exclusion also shall not preclude a locality from levying awholesale merchant's license tax on an affiliated entity on those sales bythe affiliated entity to a nonaffiliated entity, notwithstanding the factthat the wholesale merchant's license tax would be based upon purchases froman affiliated entity. Such tax shall be based on the purchase price of thegoods sold to the nonaffiliated entity. As used in this subdivision, the term"sales by the affiliated entity to a nonaffiliated entity" means sales bythe affiliated entity to a nonaffiliated entity where goods sold by theaffiliated entity or its agent are manufactured or stored in the Commonwealthprior to their delivery to the nonaffiliated entity;
11. On any insurance company subject to taxation under Chapter 25 (§58.1-2500 et seq.) of this title or on any agent of such company;
12. On any bank or trust company subject to taxation in Chapter 12 (§58.1-1200 et seq.) of this title;
13. Upon a taxicab driver, if the locality has imposed a license tax upon thetaxicab company for which the taxicab driver operates;
14. On any blind person operating a vending stand or other businessenterprise under the jurisdiction of the Department for the Blind and VisionImpaired, or a nominee of the Department, as set forth in § 51.5-98;
15. [Expired.]
16. [Repealed.]
17. On an accredited religious practitioner in the practice of the religioustenets of any church or religious denomination. "Accredited religiouspractitioner" shall be defined as one who is engaged solely in praying forothers upon accreditation by such church or religious denomination;
18. (a) On or measured by receipts of a charitable nonprofit organizationexcept to the extent the organization has receipts from an unrelated trade orbusiness the income of which is taxable under Internal Revenue Code § 511 etseq. For the purpose of this subdivision, "charitable nonprofitorganization" means an organization which is described in Internal RevenueCode § 501(c) (3) and to which contributions are deductible by thecontributor under Internal Revenue Code § 170, except that educationalinstitutions shall be limited to schools, colleges and other similarinstitutions of learning.
(b) On or measured by gifts, contributions, and membership dues of anonprofit organization. Activities conducted for consideration which aresimilar to activities conducted for consideration by for-profit businessesshall be presumed to be activities that are part of a business subject tolicensure. For the purpose of this subdivision, "nonprofit organization"means an organization exempt from federal income tax under Internal RevenueCode § 501 other than charitable nonprofit organizations;
19. On any venture capital fund or other investment fund, except commissionsand fees of such funds. Gross receipts from the sale and rental of realestate and buildings remain taxable by the locality in which the real estateis located provided the locality is otherwise authorized to tax suchbusinesses and rental of real estate;
20. On total assessments paid by condominium unit owners for common expenses."Common expenses" and "unit owner" have the same meanings as in §55-79.41; or
21. On or measured by receipts of a qualifying transportation facilitydirectly or indirectly owned or title to which is held by the Commonwealth orany political subdivision thereof or by the United States as described in §58.1-3606.1 and developed and/or operated pursuant to a concession under thePublic-Private Transportation Act of 1995 (§ 56-556 et seq.) or similarfederal law.
(Code 1950, § 58-266.1; 1950, p. 155; 1956, c. 242; 1964, c. 424; 1968, c.619; 1970, cc. 231, 547; 1974, cc. 196, 438; 1975, cc. 23, 621; 1976, cc.521, 719; 1977, c. 320; 1978, cc. 772, 799, 817; 1979, cc. 565, 568, 570;1980, cc. 318, 736; 1981, cc. 419, 636; 1982, cc. 348, 548, 552, 554, 558,633; 1983, c. 554; 1984, cc. 247, 675, 695; 1985, c. 531; 1987, cc. 617, 618,715; 1988, cc. 480, 499; 1989, c. 314; 1991, cc. 540, 572; 1993, cc. 65, 326,918; 1996, cc. 715, 720; 1997, cc. 62, 283, 903; 2000, c. 557; 2002, cc. 28,717; 2005, c. 103; 2006, c. 922; 2010, c. 648.)
