PORTSMOUTH, Va. (WAVY) — Virginia’s car tax is widely considered the most-hated tax in the state, and it could be coming to an end soon.
Both candidates for the Virginia governor’s race have expressed their desire to eliminate the state’s car tax.
Republican Lt. Gov Winsome Earle-Sears recently announced her “Axe the Tax” initiative, which would end the state’s car tax as well as income taxes on tipped wages.
A campaign spokesperson for Democrat Abigail Spanberger said, “Abigail will work with both Democrats and Republicans to put Virginia on a real path towards eliminating the car tax once and for all.”
However, the state estimates an elimination of the state’s car tax would cost localities around $2.5 to 3 billion a year, a price that has some state lawmakers concerned.
“You got to wrestle through a way to deal with that. That doesn’t leave the localities holding the bag because it’s localities who pick up most of the cost. For example, your local police department or your local school divisions,” said Sen. Mark Warner.
In a statement sent to 10 On Your side, Sen. Tim Kaine said, “This is a complicated issue that requires delicate balancing, and it’s ultimately up to the General Assembly to make changes to the state tax code.”
Despite the hefty price, some residents in the Hampton Roads area are still in favor of eliminating the tax.
“I most certainly am in favor of whichever candidate wins to stop, to eliminate, to get rid of the personal property taxes on our cars. There’s other avenues, where a city can bring in that extra money so, I would say let’s end it and go from there,” said Portsmouth resident Michael Crowell.
