Business Tangible Personal Property Tax (BPPT)
Virginia tax code requires all business owners, including home based businesses, to file a business tangible personal property return and current asset list annually.
- All property located in Loudoun County on January 1 and used or available for use in your business is taxable, such as furniture, fixtures, computer equipment, machinery, tools, and heavy equipment,
- This includes property owned by the business, property owned personally and used in the business on a full - or part-time basis, property received as a gift, property that is leased or rented, and property that is fully depreciated or expensed for federal tax purposes.
- Business tangible personal property taxes are billed semiannually and are due to be paid to the Loudoun County Treasurer by May 5 and October 5 of each year. Additional information regarding Loudoun's tax deadlines is available on the tax calendar.
- Each January, property owners will receive a reminder pertaining to business tangible personal property.
- You must submit your business tangible personal property information, along with a current asset list, to the Commissioner of Revenue by March 1.
- Submit your business property tax return online and include a current asset list in Excel .xls or .csv format.
- For each piece of business property or equipment, include the original purchase price, a brief description, and the year of purchase.
- Include all business property located in Loudoun County, even if fully depreciated for federal tax purposes.
- Do not include vehicles on this list.
- If ownership has changed, please notify the Commissioner of the Revenue's office as soon as possible so we can notify the new owner of the need to file a declaration.
- The Commissioner of the Revenue is responsible for the assessment of all personal property with taxable status in Loudoun County.
- Business tangible personal property assessments are derived by applying an assessment factor to the property's original capitalized cost.
- These factors vary according to year of purchase and represent the normal devaluation of property that occurs as equipment ages.
- Assessments begin at 50% of cost for items purchased in the immediate prior year and decrease by 10% per year to a minimum of 10% of cost for items purchased five or more years ago.
- The Loudoun County Board of Supervisors sets the personal property tax rates applied to these assessments.
- If your business is dissolved or discontinued subsequent to January 1, the tax is not prorated for the tax year in which the business is closed. The tax is also not prorated for the tax year in which an asset is sold or disposed of. The disposal of that asset should be reported in the asset list submitted with your next annual renewal.
If you have questions about business tax or require assistance, please call the business tax division at 703-777-0260.