$100 Tax on Vehicles Failing to Display Virginia License Plates

Requirements for Paying the $100 Out-of-State License Tax

The Commissioner of Revenue is charged with assessing the annual personal property tax and $100 out-of-state license.  The $100 out-of-state license tag fee shall be imposed upon the owners of motor vehicles which do not display current license plates and which are not exempted from the requirements of displaying such license plates.  Residents are to comply with these regulations based on the following:

The enforcement of Virginia Vehicle registration requirements lies with the Department of Motor Vehicles.

Exemptions from Paying the $100 Out-of-State License Tax

  • Taxpayers with Virginia plates
  • Taxpayers who have their vehicle titled and registered in Virginia within 30 days of moving here.
  • Owners of the following vehicles:
    • Active-Duty Military personnel and/or their spouses who have been exempted from the Personal Property tax.
    • Members of the U.S. Senate and Congress, taxicabs, and vehicles registered with the U.S. Department of State that have diplomatic license plates.
    • Those full-time students attending school in Virginia that have been exempted from Personal Property tax in Arlington. (Exception – if full-time students are gainfully employed — except in limited circumstances related to degree requirements of financial aid programs — they will be subject to the tag tax.

Other Situations

  • Full-time student living in Arlington using parents’ car with out-of-state plates: The vehicle owner is not exempted from the out-of-state license tax if the vehicle is garaged in Arlington for more than six months out of the year, or if the student is attending school outside of Virginia.
  • Living in Arlington for a short time but the vehicle is registered in another jurisdiction:  Any vehicle displaying out-of-state plates while garaged in Arlington must be registered with Arlington County and the owner is responsible for the $100 out-of-state license tax.

For questions, please call the Vehicle Personal Property Division at 703-228-3135.