Virginia collects two types of taxes, an income tax from residents of the state and sales taxes on goods and services sold in the state, explains Bankrate. Property taxes in Virginia are collected by local authorities, and although Virginia charged a estate tax through 2007, as of 2015 it no longer does so.Continue Reading
As of 2015, Virginia's income taxes are charged according to income at four different rates, explains Banrate.com. The first tax bracket is for taxable income up to $3,000 a year, which is taxed at a rate of 2 percent. Taxable income between $3,001 and $5,000 is taxed at a rate of 3 percent, between $5,001 and $17,000 at a rate of 5 percent and any amount above this at a tax rate of 5.75 percent. Residents must file Form 760 and send in payment if owed by May 1 of the year following the tax year.
The state's sales and use tax percentage is 4.3, reports Bankrate. An additional 1 percent local tax throughout the state raises the compounded sales tax rate to 5.3 percent. Some areas in the northern part of the state charge an additional .7 percent sales tax, raising the compounded sales tax rate in these places to 6 percent. These rates do not apply to food items, which are taxed at a rate of 1.5 percent by the state before adding local taxes.Learn more about Taxes