Local Option - Property Tax Assessment for Energy Efficient Buildings (Virginia)
Last modified on February 12, 2015.
Financial Incentive Program
|Name||Local Option - Property Tax Assessment for Energy Efficient Buildings|
|Incentive Type||Property Tax Incentive|
|Applicable Sector||Agricultural, Commercial, Industrial, Institutional, Low-Income Residential, Multi-Family Residential, Residential|
|Eligible Technologies||Comprehensive Measures/Whole Building|
|Energy Category||Energy Efficiency Incentive Programs|
|Program Administrator||Virginia Department of Taxation|
In March 2008, Virginia enacted legislation that would allow local jurisdictions to assess the property tax of energy efficient buildings at a reduced rate. Under this law, eligible energy-efficient buildings, not including the real property on which they are located, may be considered a separate class of property for local taxation purposes. Accordingly, the governing body of any county, city or town may, by ordinance, allow a special assessment of the property taxes for this class of property.
An energy-efficient building is defined as any building that exceeds the energy efficiency standards of the Virginia Uniform Statewide Building Code by 30%; meets performance standards of the Green Globes Green Building Rating System, the Leadership in Energy and Environmental Design (LEED) System or the EarthCraft House Program; or qualifies as an Energy Star home under federal Energy Star criteria.
Among the communities that have enacted an ordinance implementing this law include:
- City of Charlottesville (see Charlottesville's city code, Chapter 30, Article V, Division 4 for more information)
- County of Spotsylvania (see Ordinance No. 21-63 for more information on the five-year county tax exemption for energy efficient buildings)
- City of Virginia Beach (see Virginia Beach's Real Estate Assessments,Special Tax Rate, for more information)
|Contact Name||Taxpayer Assistance - Virginia|
|Department||Virginia Department of Taxation|
|Address||PO Box 1880|
Authorities (Please contact the if there are any file problems.)
|Authority 1:||Va. Code § 58.1-3221.2|
- Incentive and policy data are reviewed and approved by the N.C. Solar Center's DSIRE project staff.