Localities; authority to levy taxes. (HB785)

Introduced By

Del. Vivian Watts (D-Annandale) with support from co-patron Del. Terry Kilgore (R-Gate City)


Passed Committee
Passed House
Passed Senate
Signed by Governor
Became Law


Local tax authority. Modifies or eliminates several restrictions that apply to taxes imposed by counties, and establishes a new restriction on cigarette taxes imposed by any locality. The bill authorizes most counties to impose an admissions tax, not to exceed a 10 percent rate. Under current law, only certain counties may impose an admissions tax. The bill eliminates the limit on the rate of transient occupancy tax that a county may impose. The bill requires that any revenue attributable to a rate over two percent but not exceeding five percent must be dedicated to tourism marketing. Under current law, all counties may impose a transient occupancy tax of up to two percent, and certain counties may impose it up to a higher maximum rate. The bill authorizes any county to impose a cigarette tax up to a maximum rate of 40 cents per pack. It also provides that any locality that imposes such tax at a rate higher than 40 cents per pack may not increase such rate. The provisions related to the cigarette tax have a delayed effective date of July 1, 2021. Under current law, only certain counties may impose a cigarette tax, and cities and towns may impose such tax with no limit on the rate. The bill authorizes any county to impose a food and beverage tax of up to six percent and eliminates the requirement that a county hold a referendum before imposing such tax. Under current law, all counties may impose the tax after a referendum but the rate may not exceed four percent. This bill is identical to SB 588. Read the Bill »


Bill Has Passed


01/07/2020Prefiled and ordered printed; offered 01/08/20 20104813D
01/07/2020Referred to Committee on Finance
01/15/2020Impact statement from TAX (HB785)
01/29/2020Assigned Finance sub: Subcommittee #2
02/03/2020House committee, floor amendments and substitutes offered
02/03/2020Subcommittee recommends reporting with amendment (6-Y 4-N)
02/05/2020Reported from Finance with amendment (13-Y 9-N)
02/05/2020Committee substitute printed 20107846D-H1
02/05/2020Incorporates HB977 (Krizek)
02/05/2020Reported from Finance with substitute (13-Y 9-N) (see vote tally)
02/06/2020Read first time
02/07/2020Passed by for the day
02/10/2020Read second time
02/10/2020Committee substitute agreed to 20107846D-H1
02/10/2020Engrossed by House - committee substitute HB785H1
02/11/2020Read third time and passed House (60-Y 38-N 1-A)
02/11/2020VOTE: Passage (60-Y 38-N 1-A) (see vote tally)
02/12/2020Constitutional reading dispensed
02/12/2020Referred to Committee on Finance and Appropriations
02/13/2020Impact statement from TAX (HB785H1)
02/19/2020Reported from Finance and Appropriations with substitute (15-Y 1-N) (see vote tally)
02/19/2020Committee substitute printed 20108384D-S1
02/20/2020Constitutional reading dispensed (40-Y 0-N) (see vote tally)
02/21/2020Read third time
02/21/2020Reading of substitute waived
02/21/2020Committee substitute agreed to 20108384D-S1
02/21/2020Engrossed by Senate - committee substitute HB785S1
02/21/2020Passed Senate with substitute (23-Y 12-N) (see vote tally)
02/25/2020Placed on Calendar
02/25/2020Senate substitute rejected by House 20108384D-S1 (0-Y 98-N 1-A)
02/25/2020VOTE: REJECTED (0-Y 98-N 1-A) (see vote tally)
02/27/2020Senate insisted on substitute (37-Y 1-N) (see vote tally)
02/27/2020Senate requested conference committee
02/28/2020House acceded to request
02/28/2020Conferees appointed by House
02/28/2020Delegates: Watts, Hudson, Kilgore
03/02/2020Conferees appointed by Senate
03/02/2020Senators: Hanger, Favola, McClellan
03/07/2020C Amended by conference committee
03/07/2020First Conference substitute printed 20109832D-H2
03/07/2020Conference report agreed to by House (60-Y 36-N 1-A)
03/07/2020VOTE: Adoption (60-Y 36-N 1-A) (see vote tally)
03/07/2020Reconsideration of conference report agreed to by House
03/07/2020House requested second conference committee
03/07/2020Senate acceded to request for second conference committee (26-Y 13-N) (see vote tally)
03/07/2020Second conferees appointed by Senate
03/07/2020Senators: Hanger, Favola, McClellan
03/07/2020Second conferees appointed by House
03/07/2020Delegates: Watts, Hudson, Kilgore
03/07/2020Second Conference substitute printed 20109968D-H3
03/08/2020Conference report agreed to by House (56-Y 38-N 1-A)
03/08/2020VOTE: Adoption (56-Y 38-N 1-A) (see vote tally)
03/08/2020Conference report agreed to by Senate (26-Y 13-N) (see vote tally)
03/18/2020Bill text as passed House and Senate (HB785ER)
03/18/2020Signed by President
03/19/2020Signed by Speaker
03/20/2020Enrolled Bill communicated to Governor on March 20, 2020
03/20/2020G Governor's Action Deadline 11:59 p.m., April 11, 2020
03/24/2020Impact statement from TAX (HB785ER)
04/11/2020Governor's recommendation received by House
04/22/2020Placed on Calendar
04/22/2020House concurred in Governor's recommendation (55-Y 36-N 1-A)
04/22/2020Senate concurred in Governor's recommendation (28-Y 12-N) (see vote tally)
04/22/2020G Governor's recommendation adopted
04/22/2020Reenrolled bill text (HB785ER2)
04/22/2020Signed by Speaker as reenrolled
04/22/2020Signed by President as reenrolled
04/22/2020Enacted, Chapter 1214 (effective 7/1/20)
04/22/2020VOTE: (55-Y 36-N 1-A)
04/22/2020G Acts of Assembly Chapter text (CHAP1214)
05/01/2020VOTE: (55-Y 36-N 1-A)


Bill p writes:

The return of the meals tax,bag taxes,gas tax