AMHERST COUNTY BUSINESS TAXES FY 2018-2019
(July 1, 2018 – June 30, 2019)

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Photo by Lee Luther Jr.

Local taxes in Amherst County are well below the national average, offering significant tax savings to companies and their employees.

Local taxes are paid each year to the County of Amherst, with very modest additional taxes paid if a business is located in the Town of Amherst. County taxes or the Town’s taxes are currently the only local taxes on businesses. There are no “special use district” taxes for fire protection, utilities, schools, etc.

Tax Category Tax Rate Calculation Example
Real Estate (land and building) $.61 per $100 of assessed value $1,000,000 assessed land & building value ÷ $100 = $10,000

$10,000 x $.61 = $6,100 taxes due year

Business Personal Property ( furniture, equipment used by non-manufacturers) 30% of $3.45 per $100 of original cost $1,000,000 original cost x 30% = $30,000 Assessed Value $30,000 x $3.45 = $10,300 taxes per year
Machinery and Tools (machinery and tools used by manufacturers) 25% of $2.00 per $100 of original cost $1,000,000 original cost ÷ $100 = $10,000

$10,000 x $2.00 = $20,000

$20,000 x 25% = $5,000 taxes per year

Merchants Capital (Inventory tax on retailers and wholesalers) 20% of $3.95 per $100 of original cost $1,000,000 original cost ÷ $100 = $10,000

$10,000 x $3.95 = $39,500

$39,500 x 20% = $7,900 taxes per year

Business License – County (gross receipts)

NOTE: For a complete listing of categories and rates see: Link

Contractors– $.13 per $100 of gross receipts

Services — $.31 per $100 of gross

$1,000,000 gross receipts ÷ $100 = $10,000

$10,000 x $.13 = $1,300 taxes due per year

$1,000,000 gross receipts ÷ $100 = $10,000

$10,000 x $.31 = $3,100 taxes per year

Business License – Town of Amherst (gross receipts) Contractors — $.16 per $100 of gross receipts

Professional Services — $.50 per $100 of gross receipts

Retailers –$.10 per $100 of gross receipts

$1,000,000 gross receipts ÷ $100 = $10,000

$10,000 x $.16 = $1,600 taxes per year

$1,000,000 gross receipts ÷ $100 = $10,000

$10,000 x $.50 = $5,000 taxes per year

$1,000,000 gross receipts ÷ $100 = $10,000

$10,000 x $.10 = $1,000 taxes per year

Virginia State Tax Information

Virginia Economic Development Partnership - Business Location and Site Selection Services - Economic DevelopmentDid you know?

  • Virginia’s corporate income tax has not been raised in forty years? At 6 percent, our rate is one of the lowest in the nation
  • In Virginia, a manufacturer’s inventory, furniture, fixtures, and corporate aircraft are not taxed, nor does a manufacturer pay a business license tax on gross receipts when the sales are at wholesale and occur at the place of manufacture.
  • Manufacturing companies also receive broad exemptions from state and local sales and use taxes on purchases used directly in production and in research and development.

Nationally recognized for its conservative fiscal practices, Virginia has one of the fairest and most stable tax structures of the 50 states.Both businesses and individuals carry their share of the tax load. The General Assembly has kept taxes on industry competitive and has eliminated many tax irritants. Virginia also offers a very modest local tax bill for industry. Items taxed at the state level are not taxed at the local level, with the exception of sales and use tax; and Virginia taxes new and existing industries equally.