76807758.1-3703Virginia Decodedhttps://vacode.org2016TaxationLocal TaxesLicense TaxesCounties, cities and towns may impose local license taxes and fees; limitation of authorityCode 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; 2011, cc. 25, 188; 2016, c. 487.City of Lynchburg v. ENGLISH CONST.081344675 S.E.2d 1972009-04-17https://www.courtlistener.com/opinion/1058361/city-of-lynchburg-v-english-const/ . . . provisions of Code § 58.1-3703.1 applicable to the City's appeal are: . . . <abbr title="Supreme Court of Virginia">SCV</abbr>CHESTERFIELD CABLEVISION v. CountyRecord No. 900717401 S.E.2d 6781991-03-01https://www.courtlistener.com/opinion/1312856/chesterfield-cablevision-v-county/ . . . privilege license taxation, provided by Code § 58.1-3703(B)(3), to which operators of a . . . <abbr title="Supreme Court of Virginia">SCV</abbr>Ford Motor Credit v. Chesterfield County092158707 S.E.2d 3112011-03-04https://www.courtlistener.com/opinion/1058078/ford-motor-credit-v-chesterfield-county/ . . . Code] § 58.1-3703.1." Code § 58.1-3703(A); see also Code § 58.1-3703.1(A). . . . <abbr title="Supreme Court of Virginia">SCV</abbr>Nielsen Co. v. Board of Arlington County1404222015-01-08https://www.courtlistener.com/opinion/2767477/nielsen-co-v-board-of-arlington-county/ . . . § 58.1-3700; 58.1-3703(A); see also Code . . . <abbr title="Supreme Court of Virginia">SCV</abbr>Arlington County v. Mutual Broadcasting Sys.9926622000-11-03https://www.courtlistener.com/opinion/1059564/arlington-county-v-mutual-broadcasting-sys/ . . . the business license tax pursuant to Code . . . <abbr title="Supreme Court of Virginia">SCV</abbr>County of Chesterfield v. BBC Brown BoveriRecord No. 870754380 S.E.2d 8901989-06-09https://www.courtlistener.com/opinion/1248183/county-of-chesterfield-v-bbc-brown-boveri/ . . . within the meaning of Code §§ 58.1-3507(A)[1] and 58.1-3703(B)(4).[2] . . . <abbr title="Supreme Court of Virginia">SCV</abbr>HAMPTON NISSAN LTD. v. City of Hampton950732466 S.E.2d 951996-01-12https://www.courtlistener.com/opinion/1060209/hampton-nissan-ltd-v-city-of-hampton/ . . . will be referred to as Hampton Nissan. . . . <abbr title="Supreme Court of Virginia">SCV</abbr>http://law.lis.virginia.gov/vacode/58.1-3703/22.1-26.1Agreements for satellite classrooms/22.1-26.1/58.1-3703.1Uniform ordinance provisions/58.1-3703.1/58.1-3706Limitation on rate of license taxes/58.1-3706//58.1-3703/58.1/III/37/58.1-370328.2-22845.1-161.6258.1-269058.1-370658.1-371458.1-371758.1-371858.1-372658.1-372758.1-372858.1-3729The governing body of any county, city or town may charge a fee for issuing a license in an amount not to exceed $ 100 for any locality with a population greater than 50,000, $ 50 for any locality with a population of 25,000 but no more than 50,000 and $ 30 for any locality with a population smaller than 25,000. For purposes of this section, population may be based on the most current final population estimates of the Weldon Cooper Center for Public Service of the University of Virginia. Such governing body may levy and provide for the assessment and collection of county, city or town license taxes on businesses, trades, professions, occupations and callings and upon the persons, firms and corporations engaged therein within the county, city or town subject to the limitations in (i) subsection C and (ii) subsection A of § 58.1-3706, provided such tax shall not be assessed and collected on any amount of gross receipts of each business upon which a license fee is charged. Any county, city or town with a population greater than 50,000 shall reduce the fee to an amount not to exceed $ 50 by January 1, 2000. The ordinance imposing such license fees and levying such license taxes shall include the provisions of § 58.1-3703.1.sectionAA1Any county, city or town by ordinance may exempt in whole or in part from the license tax (i) the design, development or other creation of computer software for lease, sale or license and (ii) private businesses and industries entering into agreements for the establishment, installation, renovation, remodeling, or construction of satellite classrooms for grades kindergarten through three on a site owned by the business or industry and leased to the school board at no costs pursuant to § 22.1-26.1.sectionBB1No county, city, or town shall impose a license fee or levy any license tax:sectionCC1 On any public service corporation or any motor carrier, common carrier, or other carrier of passengers or property formerly certified by the Interstate Commerce Commission or presently registered for insurance purposes with the Surface Transportation Board of the United States Department of Transportation, Federal Highway Administration, except as provided in § 58.1-3731 or as permitted by other provisions of law;sectionC1C12 For selling farm or domestic products or nursery products, ornamental or otherwise, or for the planting of nursery products, as an incident to the sale thereof, outside of the regular market houses and sheds of such county, city or town, provided such products are grown or produced by the person offering them for sale;sectionC2C22 On a manufacturer for the privilege of manufacturing and selling goods, wares and merchandise at wholesale at the place of manufacture;sectionC4C42 On a person engaged in the business of severing minerals from the earth for the privilege of selling the severed mineral at wholesale at the place of severance, except as provided in §§ 58.1-3712 and 58.1-3713;sectionC5C52 Upon a wholesaler for the privilege of selling goods, wares and merchandise to other persons for resale unless such wholesaler has a definite place of business or store in such county, city or town. This subdivision shall not be construed as prohibiting any county, city or town from imposing a local license tax on a peddler at wholesale pursuant to § 58.1-3718;sectionC6C62 Upon any person, firm or corporation for engaging in the business of renting, 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, rooming houses, and boardinghouses; however, any county, city or town imposing such a license tax on January 1, 1974, shall not be precluded from the levy of such tax by the provisions of this subdivision;sectionC7C72 On or measured by receipts for management, accounting, or administrative services provided on a group basis under a nonprofit cost-sharing agreement by a corporation which is an agricultural cooperative association under the provisions of Article 2 (§ 13.1-312 et seq.) of Chapter 3 of Title 13.1, or a member or subsidiary or affiliated association thereof, to other members of the same group. This exemption shall not exempt any such corporation from such license or other tax measured by receipts from outside the group;sectionC9C92 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;sectionC11C112 On any bank or trust company subject to taxation in Chapter 12 (§ 58.1-1200 et seq.) of this title;sectionC12C122 Upon a taxicab driver, if the locality has imposed a license tax upon the taxicab company for which the taxicab driver operates;sectionC13C132 On any blind person operating a vending stand or other business enterprise under the jurisdiction of the Department for the Blind and Vision Impaired, or a nominee of the Department, as set forth in § 51.5-98;sectionC14C142 [Repealed.]sectionC16C162 On any venture capital fund or other investment fund, except commissions and fees of such funds. Gross receipts from the sale and rental of real estate and buildings remain taxable by the locality in which the real estate is located provided the locality is otherwise authorized to tax such businesses and rental of real estate;sectionC19C192 On or measured by receipts of a qualifying transportation facility directly or indirectly owned or title to which is held by the Commonwealth or any 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 the Public-Private Transportation Act of 1995 (§ 33.2-1800 et seq.) or similar federal law.sectionC21C212For taxable years beginning on or after January 1, 2012, any locality may exempt, by ordinance, license fees or license taxes on any business that does not have an after-tax profit for the taxable year and offers the income tax return of the business as proof to the local commissioner of the revenue. Eligibility for this exemption shall be determined annually and it shall be the obligation of the business owner to submit the applicable income tax return to the local commissioner of the revenue.sectionEE1