Personal Property Alternative Tax Rate: Disabled Veterans

Background

The Code of Virginia §§58.1-3506(A)(19) and 58.1-3506(B) permits Loudoun County to establish a separate tax rate for, one motor vehicle (i.e., car, truck or motorcycle) owned by a 100% service-connected, total and permanently disabled veteran.

The alternative rate for Disabled Veterans was first established for tax year 2017 at $0.01 by the Board of Supervisors. Subsequently, the rate is reviewed and set by the Board of Supervisors annually in January.

Please read the requirements below to see if you qualify.

To receive an exemption, complete the application and provide the supporting documentation as described below. You must file the 2019 Request for Personal Property Alternative Tax Rate and provide supporting documentation as described below.

The application and assistance is available during normal business hours at the Leesburg and Sterling offices. If you need assistance please email the Exemptions and Deferrals Division or call 703-737-8557.

Requirements

Disability

  • The United States Department of Veterans Affairs must have determined that the veteran has a 100% service-connected, total and permanent disability or a total disability rating based on individual unemployability due to a service-connected disability.
  • The effective date of the disability must be January 1 or earlier for the alternative tax rate to be applied for the year of the application.
  • Documentation from the Department of Veterans Affairs must be provided with the first request.
  • To request a statement from the United States Department of Veterans Affairs confirming a 100% service-connected disability, you may submit Virginia Form 21-4138.

Personal Property Ownership

  • The motor vehicle (i.e., car, truck or motorcycle) must be owned by the veteran requesting the alternative tax rate on January 1 of the taxable year. 
  • Once a vehicle has been selected to receive the alternative tax rate, another vehicle (i.e. a replacement vehicle or a vehicle purchased mid-year) cannot be selected until January 1 of the following year.
  • A vehicle co-owned by the veteran and his/her spouse or other individuals may receive the alternative tax rate. However, the reduced rate does not apply to a vehicle solely owned by a veteran's spouse or surviving spouse. 
  • Leased vehicles and vehicles owned by a business will not qualify.

 Property Use

The vehicle must be regularly used by the qualifying veteran.