Countywide Dialogue on Transportation: Sales Tax on Service
What Can You Do?
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Funding - Read about
Fairfax County's additional funding options.
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Projects - View
types of unfunded transportation projects being considered for
Fairfax County.
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Engage
- View public meetings calendar, and
sign up to receive email updates for this project.
- Documents
- View maps and other related documents for this project.
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Survey-
Read overview summary of survey results
Definition:
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Tax on business transactions where work is performed for consumers or
other businesses. Examples include, but are not limited to, haircut,
repair, and dry cleaners’ services.
Current Rate:
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N/A – there is currently no sales tax on services in Fairfax county
Example Rate:
Potential Annual Revenue at Example Rate:
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$367.5 million - *based on November 2011 study by Chmura Economics
and Analytics
Requirements:
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General Assembly authorization
Bond Eligibility?
Who Pays?
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Anyone who consumes services in Fairfax County (residents and
non-residents).
Who Doesn't Pay?
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People that do not buy services in Fairfax County.
Effect on Household:
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$942 – this number is very overestimated because it assumes that only
Fairfax County households use services in Fairfax County.
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Assumption: Sales Tax on service generated in the state would be $12
billion, based on the County’s share of statewide sales tax,
estimated taxing on services could generate $368 million with 390,900
households in the County.