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Sales and use tax; dealer discount. Provides that the state retail sales and use tax dealer discount percentages allowed from the first three percent of such tax imposed shall be (i) eight percent for monthly taxable sales between $0 and $30,000; (ii) four percent for monthly taxable sales between $30,001 and $62,500; (iii) 1.2 percent for monthly taxable sales between $62,501 and $208,000; and (iv) 0.8 percent for monthly taxable sales of $208,001 and above. Under current statutory law, such dealer discount percentages are (a) four percent for monthly taxable sales between $0 and $62,500; (b) three percent for monthly taxable sales between $62,501 and $208,000; and (c) two percent for monthly taxable sales of $208,001 and above. However, superseding budgetary provisions (1) limit such dealer discount percentages to (A) 1.6 percent for monthly taxable sales between $0 and $62,500; (B) 1.2 percent for monthly taxable sales between $62,501 to $208,000; and (C) 0.8 percent for monthly taxable sales of $208,001 and above and (2) suspend the discount entirely for dealers subject to the electronic funds transfer requirement in relevant law.
Introduced
Jan 14, 2026
Last Action
Jan 28, 2026
Session
VA 2026
Sponsors
1 primary · 0 co
Passed by indefinitely in Finance and Appropriations (10-Y 4-N)
Fiscal Impact statement From TAX (1/26/2026 11:29 pm)
Prefiled and ordered printed; Offered 01-14-2026 26100518D
Referred to Committee on Finance and Appropriations
Get a plain-English explanation of what this bill does, who it affects, and why it matters.
Passed by indefinitely in Finance and Appropriations (10-Y 4-N)
Tammy Brankley Mulchi