Countywide Dialogue on Transportation: Sales Tax
A sales tax would require authority from the General Assembly. An additional 0.5% increase would generate approximately $83 million for the County.
- Tax on retail sales in Fairfax County
- There is currently a 1% local option sales tax that goes to the County general fund. The County receives the 1% local option of the 5% state rate.
- 0.5% increase to the current tax rate.
Potential Annual Revenue at Example Rate:
- $83 million
- An increase to the current rate requires General Assembly authorization.
- Could be bonded, depending on how it is implemented.
- Businesses, Fairfax County residents, and non-residents who make purchases in Fairfax County
Who Doesn't Pay?
- People who do not make purchases in Fairfax County
Effect on Household:
- $214 per year per household
- Assumption: Sales Tax generated in Fairfax County is $83,438,153 with 390,900 households in the county.