If you live in the Central Virginia region, you’ll soon see an increase in the sales and use taxes you pay. Starting Thursday, Oct. 1, 2020, the sales and use tax rates go up by 0.7% for a total of 6%. This includes the 4.3% state tax, the new 0.7% regional state tax and the 1% local option tax.
The increase applies to sales made in the city of Richmond and the counties of Charles City, Chesterfield, Goochland, Hanover (including the town of Ashland), Henrico, New Kent and Powhatan.
The rate increase does not apply to food purchased for home consumption (such as groceries), or essential personal hygiene products. These are still taxed at the reduced rate of 2.5%.
For more information, including the sales and use tax rates in other parts of Virginia, see Retail Sales and Use Tax.