Quick answer: Loudoun County charges personal property tax, often called the car tax, on vehicles kept or registered in the county. For 2026, the rate for most cars and trucks is $3.09 per $100 of assessed value, with car tax relief on the first $20,000 for personal use vehicles. Bills are paid in halves on May 5 and October 5.
If you own a car in Ashburn or anywhere in Loudoun County, you pay personal property tax on it every year. Most people simply call it the car tax. Here is how it is calculated, when it is due and how to keep it as low as possible.
What the tax covers
Loudoun County taxes vehicles that are garaged, parked or stored in the county, or registered to a county address with the Virginia DMV. That includes cars, trucks, motorcycles, trailers, boats and campers.
Businesses also pay a separate tax on equipment, covered in our guide to Loudoun County business taxes.
The 2026 rate and how it is calculated
For 2026, the rate for most cars and trucks is $3.09 per $100 of assessed value, down from $4.15 in prior years. The general rate of $4.15 still applies to boats, motor homes and trailers. The tax is the assessed value divided by 100, times the rate.
| Example | Amount |
|---|---|
| Assessed value | $30,000 |
| Tax before relief ($30,000 ÷ 100 × $3.09) | $927.00 |
| Car tax relief | Reduces the tax on the first $20,000 of value |
The county sets assessed values each year using standard vehicle pricing guides, and the rate and relief percentage are set by the Board of Supervisors each year.
Car tax relief
Virginia’s car tax relief program reduces the tax on the first $20,000 of value for qualifying personal use vehicles. The relief percentage changes each year and is applied to your bill automatically.
Business owners: Relief only applies to vehicles used more than half the time for personal purposes. A vehicle used mainly for business pays the full tax, so make sure the county has the right use on file.
Filing and payment dates
| Date | What is due |
|---|---|
| February 1 | Annual personal property filing deadline |
| May 5 | First half of the year’s tax |
| October 5 | Second half of the year’s tax |
| December 5 | Supplemental bills for vehicles added late in the year |
When a due date falls on a weekend, it moves to the next business day. Late payments add penalties and interest, so it is worth setting up reminders or automatic payments.
Buying, selling or moving
- Loudoun prorates the tax by month. You owe for a month if the vehicle was in the county for more than half of it
- When you buy a car or move into the county, update your address with the DMV and the Commissioner of the Revenue so your bill is correct
- If you sell a car or move to another prorating locality, let the county know so the tax stops and any overpayment can be refunded
- If you live in an incorporated town such as Leesburg, the town may charge its own vehicle tax as well
Can you deduct it?
Yes, in two ways:
- On your personal return: the part of the tax based on value counts as a state and local tax deduction if you itemize, under the new higher SALT cap
- For a business vehicle: the business use share of the tax is a business expense
If you bought a new car with a loan, you may also qualify for the new car loan interest deduction.
→Related guideLoudoun County Business Taxes: BPOL, Business Property and Key DeadlinesIf you own a business, it covers the separate county tax on business equipment and the business license.Loudoun County car tax FAQs
What is the Loudoun County car tax relief percentage for 2026?
The county set the 2026 personal property tax relief at 41%. It applies to the tax on the first $20,000 of value for qualifying personal use vehicles and shows on your bill automatically.
Do active duty military members pay Loudoun County car tax?
Usually not, if they are Virginia nonresidents stationed here on military orders. The Servicemembers Civil Relief Act generally protects vehicles owned by the servicemember, alone or jointly with a spouse, but you must give the county proof.
Who pays the car tax on a leased vehicle?
The leasing company is billed as the owner and usually passes the cost to you. Relief can still apply if the vehicle is used mainly for personal purposes.
How does Loudoun County decide what my car is worth?
The county uses standard vehicle pricing guides as of January 1. If your car has unusually high mileage or damage, you can ask the Commissioner of the Revenue to review the value.
What happens if I pay the car tax late?
Late payments add a penalty plus interest. Setting up automatic payments or reminders for May 5 and October 5 is the easiest way to avoid them.
Questions about your bill?
Billing questions go to the Loudoun County Commissioner of the Revenue at 703-777-0100. For how the tax affects your return or your business, our individual tax preparation and state and local tax services in Ashburn can help.
This article is general information and not tax advice for your situation. Tax rules change, so talk with a qualified professional before making decisions.
