GENERAL INFORMATION

The City has a personal property tax relief program for eligible senior and permanently disabled City residents, many of whom are on fixed incomes. The City enacted the program to help these residents cope with the burden of paying property taxes and allows eligible residents to be exempt from payment of personal property tax on one vehicle. The following guidelines are effective:

ELIGIBILITY REQUIREMENTS

1. The vehicle, for which tax relief is requested, must be owned, or partially owned and used by or for the applicant. Leased vehicles do not qualify for tax relief.
2. The vehicle for which tax relief is requested must be currently assessed by the City at less than $30,000. Only one vehicle per household shall be granted tax relief.
3. The applicant must be at least 65 year of age or permanently and totally disabled on or before April 17, 2007. The applicant must provide proof of age (such as a copy of a valid driver’s license or birth certificate) or certification of disability if the applicant is under 65.

INCOME AND ASSET REQUIREMENTS – PERSONAL PROPERTY TAX RELIEF

1. The total combined income of the applicant and his/her spouse shall not have exceeded $20,000* for calendar year 2006.
2. The net combined financial worth (all assets, including vehicles) of the applicant and his/her spouse, excluding the value of the principle residence and lot up to one acre in the City, shall not exceed $75,000* as of December 31, 2006.

*Program limits are subject to change. If your income or assets are higher than the limits given here, you may call shortly before April 16 to determine if the limits have increased.

DISABLED PERSONS

Permanently and totally disabled persons must attach to the application or affidavit form, certification of their disability from the Social Security Administration Office, the Department of Veterans Affairs or the Railroad Retirement Board, or a sworn affidavit by two medical doctors licensed to practice in the Commonwealth of Virginia. The certification or affidavit must state that the applicant is unable to engage in any substantial gainful activity by reason of any medically determinable physical or mental impairment or deformity which can be expected to last for the duration of the applicant’s life.

VERIFICATION OF INCOME

All applicants must attach copies of documents to support income, e.g., Social Security statements (SSA1099), Railroad Retirement or Pension statements (1099R), wages (W-2), interest (1099Int) and dividend (1099Div) income, divorce agreements, leases, etc. Applicants filing Federal Income Tax Returns must provide a copy of the tax returns (with all attachments) by April 20, 2007.

FILING PROCEDURES

For the year 2007, applicants who have a complete application and supporting documentation on file and were granted tax relief under the program in 2006, are only required to file a "short form" application. All other applicants for personal property tax relief must file a complete application with supporting documentation (such as a copy of their 2006 tax return) on or before April 16, 2007.

PRORATION OF VEHICLE TAX RELIEF

An individual who changes vehicles during a year (such as trading in an old vehicle for a new one) may receive tax relief on the new vehicle for the remainder of the tax year during which the qualified participant meets the requirements of tax relief.

PLEASE NOTE:

The City Code requires that applicants who qualify for tax relief notify the Tax Services Office in the event of any financial changes or the death of the applicant during 2007 which affects their eligibility status. Examples of changes that need to be reported - (a) Change of residence, (b) Sale of the residential property in the City, (c) Death of the applicant(s), or (d) Changes in income or assets.

Changes in income, financial worth, ownership of the qualified vehicle, or other factors occurring during the year for which tax relief is sought that affect the applicant’s eligibility status, may adjust or eliminate any tax relief for the remainder of the tax year. Tax relief granted up to the date of any change that has affected the taxpayer’s eligibility for this program, is not affected.

INFORMATION AND ASSISTANCE

For applications, affidavits, and general information contact: Tax Services & Enforcement Branch
301 King Street, City Hall, Room 1700, Alexandria, VA 22314 or call 703-838-4572

 

Real Estate Tax Exemption or Deferral & Personal Property Tax Relief Application Form General Information/Instructions Application Form

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