The following questions and answers will provide taxpayers with a basic understanding of the assessment of personal property tax.
Q. What types of personal property are taxable to individuals?
A. Automobiles, trucks, recreational vehicles, motorcycles, boats, boat trailers, utility trailers, and mobile homes.
Q. How is personal property assessed?
A. The Commissioner of the Revenue is required by law to assess vehicles by means of a recognized pricing guide. The pricing guide used by the City of Norton is the National Automobile Dealers Association (NADA) Official Used Car Guide and the Official Older Used Car Guide. Clean Trade-In value is used. If a vehicle is not listed in the guide, the assessment is based on a percentage of purchase cost or a percentage of the MSRP.
Wingate Appraisal Guide is the pricing guide used in determining assessments for mobile homes.
For most other personal property, the assessed value is based on a percentage of original cost.
Q. How is the amount of tax determined?
A. The personal property tax rate is established by the Norton City Council. The tax is figured by multiplying the property's assessed value by the tax rate. The current personal property rate is $2.05 per $100 of assessed value.
Mobile homes are assessed as personal property but are taxed at the real estate rate which is currently $ .80.
Personal property, mobile homes, and business equipment taxes are not prorated.
Q. When is my personal property tax bill due?
A. Personal property taxes are billed on an annual basis and are due on October 15.
Q. How does the City of Norton identify vehicles to be assessed?
A. The Virginia Department of Motor Vehicles (DMV) provides an annual update of all vehicles listed with a City of Norton garage jurisdiction.
- If you move to the City of Norton from another state, Virginia law requires you to register your vehicles with the Virginia Department of Motor Vehicles (DMV) within thirty days.
- If you have moved into the City of Norton from another locality in Virginia and have changed your garage jurisdiction with DMV that information will be provided to the City of Norton. If you have not changed your garage jurisdiction at DMV, contact the Commissioner of Revenue’s office immediately.
Q. I am active duty military, am I liable for personal property tax in the City of Norton?
A. If you are an active-duty member of the United States military who maintains a legal residence outside of Virginia and is residing in Virginia under military orders, your vehicle(s) may qualify for a military exemption. To qualify, a vehicle must be registered:
- Solely in the name of the active duty service member or
- Jointly in the names of the active duty service member and his or her spouse who share a household, or
- Solely in the name of the active duty service member’s spouse as long as he or
she resides with the active military member
Any service member or spouse requesting an exemption from personal property tax will be required to submit their military ID, Leave and Earnings Statement (LES), and documentation as to military orders and marital status (if spousal exemption is sought). Co-owned vehicles where the co-owner is other than a spouse are only exempted when both owners are on active duty and are residents of another state. Leased vehicles do not qualify for this exemption. Contact the COR’s office at (276) 679-0031.
Q. I am a full-time college student, am I liable for personal property tax in the City of Norton?
A. If you are a full-time student attending an institution of higher learning and the vehicle is registered in your name only, you would not be liable here if you are paying a personal property tax on the vehicle in your domicile. If the vehicle is registered jointly with or owned solely by a non-student you are liable for personal property tax in the City of Norton.