Va. Truckers Lose Sales Tax Exemption
Many Companies Could See Costs Rise Thousands of Dollars
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Besides eliminating the sales tax exemption, the new budget also raised the Virginia state sales tax to 5% from 4.5%, adding to the effect on trucking, said Gary Okes, treasurer for Richmond-based Estes Express Lines.
rucking companies in Virginia lost a sales tax exemption effective Sept. 1, as the state’s new two-year budget went into effect.
Industry executives said they expected that the loss of the exemption, which had applied to replacement parts and equipment repairs, would cost many companies thousands of dollars each.
“We don’t have much choice but to pay,” said Larry Harris, senior accountant for household goods mover Lawrence Transportation Systems Inc. of Roanoke, Va. “It’s going to be $50,000 to $100,000 a year extra that we’re going to have to pay.”
For the full story, see the Sept. 13 edition of Transport Topics. Subscribe today.
