Virginia's sales tax rate and what it covers

Virginia charges a 6 percent sales tax on most goods and services you buy in the state. Some localities add an additional tax on top of that — usually between 0.5 and 2.5 percent — so your total rate depends on where you shop. A purchase in Arlington will have a different total rate than the same purchase in rural Appalachia.

The 6 percent state rate applies to clothing, electronics, furniture, groceries (with exceptions), and most services. When you see a price tag in a Virginia store, that price does not include sales tax — the tax gets added at checkout. Online purchases from Virginia sellers follow the same rule. Out-of-state sellers are required to collect Virginia sales tax if they have a physical presence in the state or meet certain sales thresholds.

Some items are exempt from sales tax entirely. Food you buy at a grocery store to cook at home is not taxed. Prescription medications are not taxed. Medical equipment prescribed by a doctor is not taxed. But prepared food — a sandwich from a deli, a meal at a restaurant, a coffee — is taxed at the full rate.

Key Takeaways

  • Virginia's base sales tax is 6 percent, but your locality may add 0.5 to 2.5 percent on top, so your total rate varies by county or city.
  • Groceries for home cooking are not taxed, but restaurant meals and prepared foods are taxed at the full rate.
  • Prescription medications and medical equipment prescribed by a doctor are exempt from sales tax.
  • Online purchases from Virginia-based sellers are subject to Virginia sales tax just like in-store purchases.
  • The sales tax you pay at checkout is added to the listed price — Virginia prices do not include tax.

Local sales tax rates by region

Virginia's 6 percent state tax is a floor, not a ceiling. Each city and county can impose its own local sales tax on top of it. This means a $100 purchase costs different amounts depending on where you make it.

Northern Virginia counties like Arlington, Alexandria, and Fairfax County typically charge between 1 and 2.5 percent local tax on top of the state rate, bringing totals to 7 to 8.5 percent. The Hampton Roads area (Norfolk, Virginia Beach, Newport News) generally runs 7 to 7.5 percent total. Rural areas and smaller towns often have lower local rates, sometimes as low as 6.5 percent total. The Virginia Department of Taxation maintains a current list of all local rates by jurisdiction, which you can check if you need the exact rate for a specific city or county.

What is and is not taxed

The line between taxed and tax-free purchases is not always obvious. Here is what actually happens:

Taxed items: Clothing and shoes, electronics, furniture, appliances, gasoline, restaurant meals, prepared foods from delis or bakeries, haircuts and salon services, hotel rooms, rental cars, movie tickets, and most services.

Not taxed: Groceries (unprepared food for home cooking), prescription medications, medical equipment prescribed by a doctor, certain medical services, newspapers and magazines, and some agricultural equipment. Clothing and shoes are taxed in Virginia — unlike some states that exempt them — so a pair of jeans or work boots will have sales tax added.

The distinction between "prepared" and "unprepared" food matters. A rotisserie chicken from a grocery store deli is taxed. A raw chicken from the meat counter is not. A sandwich made in the store is taxed. Sandwich ingredients you buy separately are not. If you are unsure whether something is taxed, ask the cashier or check the receipt — it will show what was taxed and what was not.

How sales tax works for online purchases

If you order from a Virginia-based online seller, Virginia sales tax is added to your order just as it would be in a physical store. The seller collects the tax and sends it to the state. The local tax rate applied is usually based on where the seller is located or where the item ships to, depending on the seller's system.

If you order from an out-of-state seller, whether they collect Virginia sales tax depends on their size and sales volume. Large retailers like Amazon and Walmart collect Virginia sales tax on orders shipped to Virginia addresses. Smaller sellers may not, though Virginia law requires you to report and pay tax on these purchases yourself when you file your state income tax return — though most individuals do not do this.

The key point: if you see a Virginia address on the seller's website or they have warehouses in Virginia, expect sales tax to be added. If you are buying from a small out-of-state seller with no Virginia presence, you may not see tax added at checkout, but you are technically responsible for it.

Sales tax on services

Virginia taxes many services that other states do not. A haircut, a plumbing repair, an accountant's fee, a car wash, and pest control services are all subject to sales tax. The tax is calculated on the total bill, including labor and materials.

Some services are not taxed. Legal services, medical services performed by a licensed physician or nurse, and certain professional services are exempt. But if you hire a handyman or a contractor to do repairs or renovations, the labor is taxed along with materials. This is one area where Virginia's rules differ from neighboring states, so if you are comparing prices for a service across state lines, factor in the tax difference.

Sales tax on vehicles and fuel

When you buy a car in Virginia, sales tax is calculated on the purchase price. The rate is the same 6 percent state rate plus your local rate. If you buy a $20,000 car in a county with a 1 percent local rate, you owe $1,400 in sales tax. You pay this at the time of purchase, usually through the dealer or the DMV when you register the vehicle.

Gasoline is taxed at the pump. Virginia's sales tax applies to the price per gallon, so the tax you pay changes slightly each time gas prices move. This is different from the state's gasoline excise tax, which is a separate per-gallon fee. Both are included in the final price you see on the pump.

Who collects and where the money goes

Retailers collect sales tax at the point of sale and send it to the Virginia Department of Taxation. The state keeps the 6 percent portion and distributes the local portion to the city or county where the sale occurred. This is why local rates matter — they fund local government services like schools, roads, and public safety.

Businesses are required to register with the Virginia Department of Taxation if they sell taxable goods or services in the state. They file sales tax returns monthly or quarterly, depending on their volume. If a business fails to collect or remit sales tax, the state can pursue the business and, in some cases, hold the owner personally liable.

Frequently Asked Questions

Do I pay sales tax on groceries in Virginia?

No, not on unprepared food you buy at a grocery store to cook at home. Milk, bread, vegetables, and raw meat are not taxed. But prepared foods — a rotisserie chicken, a deli sandwich, a bakery cake — are taxed at the full rate. The distinction is whether the food is ready to eat.

What is the total sales tax rate where I live?

Virginia's state rate is 6 percent, but your locality adds between 0.5 and 2.5 percent on top. To find your exact total rate, check the Virginia Department of Taxation website and enter your city or county. You can also ask a cashier or look at a recent receipt.

Do I owe sales tax on online purchases from out-of-state sellers?

If the seller is large enough to have a Virginia presence or meets federal sales thresholds, they must collect Virginia sales tax. If they do not, you are technically required to report and pay the tax yourself on your state income tax return, though most individuals do not. Large retailers like Amazon already collect it.

Is clothing taxed in Virginia?

Yes. Virginia taxes clothing and shoes at the full sales tax rate. Unlike some states that exempt clothing, Virginia treats it as a regular taxable good. This includes work clothes, uniforms, and accessories.

Are prescription medications taxed?

No. Prescription medications are exempt from Virginia sales tax. Over-the-counter medications and vitamins are taxed, but anything requiring a prescription is not.