Vehicle Tax Relief (PPTRA)

• A passenger car, motorcycle, pickup truck or panel truck that has a registered gross weight of less than 7,501 lbs. Effective tax year 2016, pickup trucks registered for personal use and weighing 7,501 pounds but not in excess of 10,000 pounds may qualify for tax relief.
• Owned by an individual, or leased by an individual under a contract requiring the individual to pay the personal property tax.
• Used no more than 50% of the time for business purposes.

Note – Motor homes, trailers, boats, and farm use vehicles do not qualify for tax relief.

If you can answer yes to any of the criteria listed below, your vehicle is considered predominantly used for business purposes and does not qualify for Personal Property Tax Relief. Therefore taxpayers are responsible for the full tax payment.

On April 22, 2026, the Arlington County Board approved a Resolution Allocating State Personal Property Tax Monies, commencing on January 1, 2026:

Qualifying personal use vehicles (conventional, clean fuel, and motor vehicles specially equipped to provide transportation for physically handicapped) shall receive 100% tax relief on the first $4,000 of value, and the balance of relief then being equally distributed for each dollar of value up to $20,000 in value. For any value of a qualifying vehicle in excess of $20,000, there shall be no tax relief. The relief to be equally “distributed” shall mean the funds provided by the Commonwealth specifically for such tax relief.

All other vehicles which do not meet the definition of “qualifying” will not be eligible for any form of tax relief under this program.

• The current tax rate is 5%, which amounts to $5 per every $100 of assessed value
• A 100 percent tax relief on the first $4,000 of the vehicle's value
• A 13 percent tax relief on the next $16,000 of the vehicles value, from $4,001-$20,000
• No tax relief for the portion of a vehicle's assessed value over $20,000

• The current tax rate is 5%, which amounts to $5 per every $100 of assessed value
• A 100 percent tax relief on the first $20,000 of the vehicle’s value
• No tax exemption for the portion of a vehicle’s assessed value over $20,000

*The leased vehicle(s) must meet the following criteria in order to be considered qualified:

• The lease must be in the name of the active duty servicemember and/or his or her spouse
• Neither party applying for the tax relief can be a Virginia resident and must be in Virginia due to military orders
• The lease document must require the lessee to pay the leasing company for any tax assessed against the vehicle