Culpeper regulators are considering using Virginia’s new district authority to tax cigarettes and meals.
Culpeper is considering a new government agency that would allow the county to tax cigarettes, meals, admissions, and housing like cities and towns.
In the past, Culpeper County has attempted to get a meal tax off through a voter referendum, but it has always failed, according to John Egertson, the county administrator. The new law, introduced by Senator Emmett Hanger, R-Mount Solon, removes the obligation for counties to hold a referendum to pass a meal tax.
Egertson told the Board of Supervisors at a meeting last week that the city had taken over many of the county’s restaurants in the 2012 border adjustment around Montanus Drive.
Local officials are already talking about introducing a temporary occupancy tax on local AirBnb locations, he said.
“The big one would be the cigarette tax if the county were interested in implementing it,” said Egertson.
The new legislation allows Virginia counties to levy up to 40 cents per pack and a food tax of up to 6 cents starting July 1, 2021. The law gives counties the ability to collect the tax through the finance officer and the treasurer’s offices. Have the state collect it on their behalf, or do it through a regional agency such as Northern Virginia.
The Virginia Association of Counties and the Commissioners of the Revenue Association of Virginia prefer the local or regional approach, said Culpeper County Commissioner of the Revenue Terry Yowell.