Business Tangible Property Tax Filing Due May 3 to Avoid a 10% Penalty

Posted on
04/20/2021
person completing tax paperwork


When it comes to business located in Fairfax County and the towns of Herndon, Vienna or Clifton, any business furniture and fixtures, machinery, tools and computer equipment located in the county or towns as of January 1 must be reported annually. To avoid a 10% penalty, the deadline to file is Monday, May 3.

Existing businesses who have previously filed with Fairfax County should have received an application by mail in January. All other/new businesses may download a copy of the form to submit their declaration . For all businesses, no payment is due at time of filing. Tax Bills are mailed in the summer and payment is due October 5.

TAX BASIS FOR BUSINESS TANGIBLE PROPERTY TAX

Assessed value of all business tangible property is determined by a set percentage based on the purchase year of the original expenditure.

Business furniture and fixtures, machinery and tools are assessed at 80% of the original cost for the first year of ownership and 10% less each succeeding year, until it reaches a floor of 20% in the seventh year, as follows:

  • 1st year of ownership is assessed at 80% of original cost
  • 2nd year of ownership is assessed at 70% of original cost
  • 3rd year of ownership is assessed at 60% of original cost
  • 4th year of ownership is assessed at 50% of original cost
  • 5th year of ownership is assessed at 40% of original cost
  • 6th year of ownership is assessed at 30% of original cost
  • 7th year of ownership is assessed at 20% of original cost

Computer equipment is assessed at 50% of the original cost the first year and a varying percentage each year after that until the fifth year of ownership, as follows:

  • 1st year of ownership is assessed at 50% of original cost
  • 2nd year of ownership is assessed at 35% of original cost
  • 3rd year of ownership is assessed at 20% of original cost
  • 4th year of ownership is assessed at 10% of original cost
  • 5th year of ownership is assessed at 2% of original cost
     

TAX RATE AND CALCULATION

The current tax rate is $4.57 per $100 of assessed value .

To calculate the tax on property assessed at $5,000, divide the assessed value by 100 and multiply by the tax rate ($5,000 divided by 100 multiplied by $4.57 = $228.50).
 

WE’RE HERE TO HELP

Get help at your convenience and schedule an appointment for help over the phone or by video.

You also may send an email. Finally, you may call 703-222-8234 (option 4), TTY 711, from 8 a.m. to 4:30 p.m. weekdays. You also may visit the Fairfax County Government Center for help in-person on Mondays, Wednesdays and Fridays from 9 a.m. to 3 p.m.

For more information or questions, contact the Fairfax County Department of Tax Administration .

Fairfax Virtual Assistant