N.Va. Sales Tax Referendum If passed, the Nov. 5 regional referendum would increase the non-food sales tax by half a cent to raise money for transportation.
Evolution of Virginia's Sales Tax
The sales tax rate grew to 4 ½ cents per dollar over 20 years. Northern Virginians will vote on whether to make it 5 cents.
• 1966: A 2 percent sales tax is created. Half of the money goes to the state general fund, and half goes to school systems based on school-age population.
• 1966: The state authorizes local governments to impose an additional 1 cent per dollar sales tax, which would be collected by the state and immediately returned to local treasuries. All jurisdictions do so.
• 1968: The state increases its portion of the original sales tax by 1 cent, doubling the amount of sales tax revenue that goes to the state's general fund.
• 1986: Sales tax is increased by a half-cent per dollar, with proceeds going to the newly created Transportation Trust Fund.
Sales Tax
