If you live in Northern Virginia or Hampton Roads, you are now subject to a big tax increase if you sell your home. The 2007 Virginia transportation bill allowed regional transportation authorities to impose this tax, which they quickly did. As a result, there is now a $2,000 tax on the sale of a typical $500,000 Northern Virginia home.
I have a letter in today’s DC Examiner urging the repeal of this “grantor’s tax”, which will likely be wasted in part on things such as a road-clogging trolley in Arlington’s stretch of the Columbia Pike, and explaining how it is unfair.
This new tax is part of the skyrocketing Virginia tax burden I discussed yesterday.
The power to levy these regional taxes is now being challenged before the Virginia Supreme Court.