On May 10, 2018, the City of Williamsburg repealed local Ordinances 17-09, 17-10, and 17-16. Accordingly, effective July 1, 2018, there will be an additional one percent regional sales and use tax levied in the City of Williamsburg and the Counties of James City and York (the “Historic Triangle”).
This additional tax is authorized by Senate Bill 942 (2018 Acts of Assembly, Chapter 850). The total rate of the Retail Sales and Use Tax in these localities will increase to 7.0 percent, consisting of the 4.3 percent state tax, the 0.7 percent Hampton Roads regional tax, the new 1.0 percent Historic Triangle regional tax, and the 1.0 percent local option tax. The rate of tax on food purchased for home consumption is unaffected by the law change and will remain at the current 2.5 percent (1.5 percent state and 1 percent local) rate.
Details about this change can be found in Tax Bulletin 18-3.
If you have additional questions, go to www.tax.virginia.gov, or contact us at 804.367.8031 for individual income tax questions.