Business License Tax Rates
A business license is required for anyone doing business in James City County. The license tax is based on an assessment of the total Gross Receipts taken in by the license holder in a calendar year.
The rates are as follows:
GROSS RECEIPTS OF $100,000.00 & OVER ARE AS FOLLOWS:
PROFESSIONAL SERVICES = .58 PER $100.00
GENERAL SERVICES = .36 PER $100.00
RETAIL SALES = .20 PER $100.00
CONTRACTORS = .16 PER $100.00
WHOLESALE MERCHANT = .05 PER $100.00
TOTAL GROSS RECEIPTS $50,000 UP TO $100,000.00 = $50.00
TOTAL GROSS RECEIPTS $4000.00 UP TO $49,999.00 = $30.00
TOTAL GROSS RECEIPTS LESS THAN $4000.00 = NO CHARGE
For a new business your initial license is based upon an ESTIMATE of gross receipts for the first calendar year. County Code requires that the original estimate be as close to the anticipated gross or contract price as possible. However, a MINIMUM tax of $30.00 will apply to any new license.
At the end of your first calendar year in business, during license renewal time, your ACTUAL GROSS RECEIPTS will be compared to your ESTIMATED GROSS RECEIPTS reported when you purchased the license.
If you estimated too low, you will be required to pay the DIFFERENCE between the ESTIMATE and the ACTUAL gross receipts.
If you estimated too high, you will receive a CREDIT towards current year’s taxes.
PLEASE NOTE: If your gross receipts from the previous year were $4,000.00 or less, your new license will be issued at NO CHARGE.
Once you have been in business for a full calendar year, your license tax will always be calculated on the previous year’s gross receipts.
*******IMPORTANT INFORMATION TO REMEMBER******** |
All licenses expire on DECEMBER 31st of each calendar year.
Our office mails Business license Renewals annually. If you have not received your form by JANUARY 15th, please contact our office at (757) 253-6698.
Form must be returned by MARCH 1st, EVEN IF GROSS RECEIPTS ARE ZERO (0).
If you are no longer in business, please let our office know so the proper adjustments to our records can be made. We have a simple form you may use for this process
A penalty of $10.00 or 10% (whichever is greater) will be added to the license tax for late filed returns. Taxes paid after APRIL 5th will include a 10% penalty plus interest at an annual rate of 10%. |