Business License Tax

• Businesses having less than $10,000 in gross receipts owe no tax.
• Businesses grossing between $10,001 and $50,000 pay a flat fee of $30.00.
• Businesses grossing between $50,001 and $100,000 pay a flat fee of $50.00.
• Businesses with gross receipts in excess of $100,000 will utilize a tax rate dependent on their business activities to determine the tax due.

The Arlington County Board has determined that certain classes of high technology businesses, as defined by Chapter 66 of the Arlington County Code, may qualify for reduced tax rates.  If a company believes it qualifies for those reduced rates, they should apply via CAPP, the Customer Assessment and Payment Portal.  

Instructions:

1. Confirm your business is located within a Technology Zone here.  
2. Log in to CAPP.
3. Click "Business License".
4. In the top right-hand corner, click "I Want To".
5. Click on "Apply Qualified Technology Business".

Although there are special situations where flat fees apply, such as for peddlers, itinerant vendors, beer and wine wholesalers, and a few other occupations, the reporting basis for most taxpayers is the previous year’s gross receipts for each business.  Please call the Business Tax Division at 703-228-3060 for questions.

Pursuant to Va. Code § 58.1-3732 (A)(4) and Virginia Administrative Code, extraordinary COVID-19 loans/grants such as Economic Injury Disaster Loans (EIDL), Paycheck Protection Program (PPP) loans, and AED’s Small Business Emergency GRANT program can be excluded from taxable gross receipts when filing your Business, Professional and Occupational License (BPOL) tax returns. PPP loans that are not yet forgiven are expressly excluded from gross receipts for purposes of computing County BPOL; Tax Commissioner PD 21-12.

Arlington County categorizes the various businesses subject to the business license tax into various classifications that determine the tax rate applicable to each type of business.  These classifications and rates are described in Chapter 11 of the county code.

How do I renew my business license?

Businesses must renew their business license(s) annually by filing, and paying if applicable, online via our Customer Assessment Payment Portal (CAPP) by March 1^st 11:59 PM EST.

How do I obtain a blank copy of the business license tax form?

The Commissioner of Revenue’s Office has discontinued the printing and mailing of Business License tax forms. You must register and file your returns online via our Customer Assessment Payment Portal (CAPP).

How do I obtain copy of my business license certificate?

As part of the Commissioner of Revenue’s commitment to quality service and continued efforts to go paperless, the printing and mailing of the Business License Tax Certificates has been discontinued. You can now view and print your certificate online through the convenient Customer Assessment & Payment Portal (CAPP).

To view and print your certificate please follow the instructions below:

1. Log in to https://capp.arlingtonva.us/ with your username and password.
2. Click on the “BLC Account Link” and click “Correspondence” tab. Here you can view the unread messages and letters associated with this account.
3. Go to “View Letters” to view all the correspondence associated with this account.
4. To print the Business License Certificate, click on the “Business License Certificate” link for the current tax period.

Can I get a filing deadline extension?

Businesses must renew their business license(s) annually by March 1^st 11:59 PM EST. No filing extensions will be granted. We recommend that you file timely online via our Customer Assessment Payment Portal (CAPP) and amend later if needed.

Can my late filing penalty be waived?

Late filings are subject to a 10% late filing penalty. To be considered for a waiver of late filing penalty, you must demonstrate that the failure to file timely was not the fault of the taxpayer. Virginia Code § 58.1-3916 and Arlington Code §11-20 states that to demonstrate lack of fault, the taxpayer must show both that he acted responsibly and that the failure was due to events beyond his control. Please refer to the Code and submit your request along with supporting evidence to business@arlingtonva.us.

I logged into CAPP and my balance is $0. Is my filing complete?

No, this is not a complete filing. When you log into CAPP, you must click on the BLC Account and file a return. Once you enter your gross receipts, the tax amount due will appear for payment. You must file a return, even if your gross receipts are zero, to avoid a possible statutory (estimated) assessment.

I am a contractor; do I need a business license?

All contractors doing business in Arlington County are required to have a business license. If your situs is in another VA jurisdiction or state, you are not required to file unless your gross receipts in Arlington exceed $25,000 annually per Virginia Code § 58.1-3715.

To obtain a business license, all contractors must register with the Virginia Department of Professional and Occupational Regulation (DPOR) and should provide a copy of their current state license, and a copy of the Contractor's Certification of Workers' Compensation Insurance Acknowledgement letter.

Are PPP Loans, Economic Injury Disaster Loan grants, and County grants included in “gross receipts” for purposes of computing BPOL taxes?

Pursuant to Virginia Code § 58.1-3732 (A)(4) and Virginia Administrative Code, extraordinary COVID-19 loans/grants such as Economic Injury Disaster Loans (EIDL), Paycheck Protection Program (PPP) loans, and AED’s Small Business Emergency GRANT program can be excluded from taxable gross receipts when filing your Business, Professional and Occupational License (BPOL) tax returns. PPP loans that are not yet forgiven are expressly excluded from gross receipts for purposes of computing County BPOL; Tax Commissioner PD 21-12.

If I registered my business on CAPP, does that mean I have a CAPP profile?  To manage your business tax accounts online, you must also "Register for CAPP". You will need the business tax account number for the business you registered, the last 4 of your EIN, and a Document Locator Number (which can be found in the lower left section of most correspondence from the Treasurer or the Commissioner of Revenue).

I own a business in Arlington and don't have a DLN (Document Locater Number).  If you are a business customer and do not have a DLN, please call the Business Tax Division at 703-228-3060.  

Have questions about CAPP, the Customer and Assessment Payment Portal?  Visit here.