Code of Virginia

Creating a Report: Check the sections you'd like to appear in the report, then use the "Create Report" button at the bottom of the page to generate your report. Once the report is generated you'll then have the option to download it as a pdf, print or email the report.

Code of Virginia
Title 58.1. Taxation
Chapter 26. Taxation of Public Service Corporations
5/25/2022

Article 5. Rolling Stock Tax on Railroads, Freight Car Companies and Motor Vehicle Carriers and Property Valuation of Railroads.

§ 58.1-2652. State tax on rolling stock; date of payment.

A. The state tax on the rolling stock of a railroad, a freight car company and a certificated motor vehicle carrier, doing business in this Commonwealth shall be at the rate of $1 on each $100 of the assessed value thereof.

Rolling stock of a railroad or a freight car company shall include all locomotives, of whatever motive power, autocars, cars of every kind and description, and all other equipment determined by the Tax Commissioner to constitute rolling stock.

B. Such tax shall be paid by such company into the state treasury on or before June 1 of each year and shall be distributed in accordance with the provisions of §§ 58.1-2658 and 58.1-2658.1.

Code 1950, §§ 58-515, 58-530, 58-560, 58-622; 1956, c. 69; 1972, c. 813; 1978, c. 784; 1983, c. 570; 1984, c. 675; 1985, c. 557.

§ 58.1-2653. Annual report of railroads and freight car companies.

A. Every railroad shall report on or before April 15, to the Department, its real and tangible personal property, including real property used for common carrier purposes, of every description as of December 31 preceding and the county, city, town or magisterial district in which it is located. The lien of the Commonwealth or political subdivision thereof for taxes levied on such property for all purposes shall attach to such property on December 31 next preceding. The Department shall furnish each county, city, town or magisterial district a copy of the report of nonoperating (noncarrier) property pertaining to such locality.

B. Every freight car company shall, on or before April 15, report to the Department the aggregate number of miles traveled by its cars in the Commonwealth during the year ending December 31 next preceding and the average number of miles traveled per day by each class of car as established by the Tax Commissioner. Each railroad owning a line in the Commonwealth over which cars of a freight car company travel shall on its annual report show the total number of miles made by such cars during the year ending December 31 next preceding, the company name and aggregate number of miles traveled by cars thereof and the average number of miles traveled per day by each class of car during the year.

C. Each report shall be made on forms prescribed and furnished by the Tax Commissioner. Such forms may require any information necessary to enable the Department to properly ascertain the value of and assess such property.

D. Each report shall be verified by the oath of the president or other proper officer of such company.

Code 1950, §§ 58-524, 58-525, 58-528, 58-556, 58-557; 1956, c. 69; 1960, c. 346; 1964, c. 425; 1972, c. 813; 1983, c. 570; 1984, c. 675; 1985, c. 30; 1992, c. 388.

§ 58.1-2654. Annual report of motor vehicle carriers.

A. Every certificated motor vehicle carrier operating in the Commonwealth shall report annually on or before March 1 to the Commission:

1. All of its rolling stock, owned or operated as of January 1 next preceding,

2. The total vehicle miles traveled by the rolling stock of such carriers in the Commonwealth during the twelve months ending December 31 next preceding, and the

3. Total vehicle miles traveled by the rolling stock of such carriers both within and without the Commonwealth during the twelve months ending December 31 next preceding.

B. The report shall be made on forms prescribed and furnished by the Commission. Such forms may require any information necessary to enable the Commission to properly ascertain the value of and assess such property and to aid in the compliance and enforcement of this chapter.

C. The report shall be verified by the oath of the president or other proper officer of such company.

Code 1950, §§ 58-618, 58-619; 1984, c. 675; 1990, c. 483.

§ 58.1-2654.1. Penalty for failure to properly file annual reports.

Every motor vehicle carrier failing to comply with § 58.1-2654 shall be subject to the imposition of a monetary penalty by the Commission as provided in § 58.1-2610.

In addition to imposing such monetary penalty, or without imposing such monetary penalty, the Commission may, in any such case, after notice and hearing, suspend or revoke any certificate, warrant, exemption card, registration card, stamp, classification plate, identification marker, or identifying number issued pursuant to Title 56.

1990, c. 483.

§ 58.1-2655. Assessment by Department and Commission.

A. The Tax Commissioner shall annually assess for local taxation the value of the real and tangible personal property, including real property used for common carrier purposes, of each railroad, except for nonoperating (noncarrier) property which shall be assessed pursuant to § 58.1-3201, upon the best and most reliable information that can be procured, and to this end shall be authorized and empowered to send for persons and papers. The Tax Commissioner shall also assess upon the rolling stock of such railroads the taxes imposed by § 58.1-2652.

B. The Commission shall assess the average value of the rolling stock of each motor vehicle carrier used in the Commonwealth.

In the case of an interstate carrier, the rolling stock used in the Commonwealth shall be deemed to be that portion of the total rolling stock, owned or operated on the public highways of the Commonwealth, multiplied by a fraction wherein the numerator is the total vehicle miles traveled by such rolling stock in the Commonwealth and the denominator is the total vehicle miles traveled both within and without the Commonwealth on such operations as are related to the Commonwealth.

C. The Tax Commissioner shall assess, from the best and most reliable information that can be obtained, upon the rolling stock of a freight car company the taxes imposed by § 58.1-2652.

D. No local property taxes shall be imposed upon the rolling stock of a railroad or a freight car company.

Code 1950, §§ 58-529, 58-558, 58-620; 1972, c. 813; 1978, c. 784; 1983, c. 570; 1984, c. 675; 1985, c. 30; 1992, c. 388.

§ 58.1-2656. Valuation of sidetracks, double tracks, etc.

In making report of and assessment of the property included in the class described in § 58.1-2655, there shall be found for each railroad, for its main line or lines and for each branch line, for single and, where existing, double, triple and quadruple track and for sidetrack, the average value per mile in this Commonwealth of its track, track appurtenances and track structures, including cuts, fills, track surfacing, excavation, ballast, bridges, trestles and tunnels, but not including right-of-way lands or buildings or structures thereon other than track structures, or improvements required to be reported in other classes, and in any county, corporation or school district, the assessment of all property of such railroad included in the calculation of such average, as above provided, shall be the number of miles of its single, double, triple, quadruple or sidetrack therein, as the case may be, multiplied by the assessed average value thereof per mile. The assessed value of a railroad's track, track appurtenances and track structures in this Commonwealth shall be determined by multiplying the average of (i) the cost of such property recorded in the applicable Interstate Commerce Commission road accounts, less accumulated depreciation, and (ii) the depreciated basis of such property for federal income tax purposes by a fraction determined by dividing the railroad's track miles within the Commonwealth by its total track miles. Notwithstanding the foregoing sentence, in each of the tax years 1993, 1994, 1995 and 1996, the assessed value of a railroad's track, track appurtenances, and track structure in any county, city or town shall not be less than the 1992 assessed value therein of such property, excluding retirements.

Code 1950, § 58-532; 1984, c. 675; 1993, c. 22.

§ 58.1-2657. Copies of assessments to be furnished to taxpayer and local officials.

The Tax Commissioner shall furnish to the governing body of every county, city or town, to the commissioner of the revenue of every county and city wherein any property belonging to any railroad is situated and to the president of such railroad, a certified copy of the assessment of such company's property, which assessment shall show the type of property, and its value and location. The Tax Commissioner shall send a copy of the assessment made on each freight car company to the president thereof. A copy of the assessment made by the Commission on a certificated motor vehicle carrier shall be forwarded to the president of such carrier so assessed.

Code 1950, §§ 58-530, 58-538, 58-559, 58-621, 58-624, 58-681; 1954, c. 278; 1956, c. 69; 1971, Ex. Sess., c. 192; 1972, c. 813; 1978, c. 784; 1980, c. 385; 1983, c. 570; 1984, c. 675.

§ 58.1-2658. Distribution of certain taxes collected; prohibition of certain local taxes.

The rolling stock tax of certificated motor vehicle carriers as provided in § 58.1-2652 shall be distributed to the counties, cities and incorporated towns of the Commonwealth in the following manner:

The Commission shall determine the proportion of the total vehicle miles operated by each carrier in this Commonwealth for each county, city and incorporated town. The fraction thus derived for each county, city and incorporated town shall be the measure of the total rolling stock tax assessed against such carrier to which the respective county, city and incorporated town shall be entitled.

The clerk of the Commission shall certify to the Comptroller the respective sums so allocated to the respective county, city and town and the Comptroller shall thereupon make payment to the treasurer or other proper fiscal officer of the locality the amount due them as certified by the Commission. When received by the respective local political subdivisions, these payments shall constitute and be regarded as receipts for the general purposes of local government.

No local property taxes shall be imposed upon the rolling stock of a certificated motor vehicle carrier.

Code 1950, § 58-623; 1984, c. 675.

§ 58.1-2658.1. Distribution of certain taxes collected.

The taxes assessed upon the rolling stock of railroads and freight car companies as provided in § 58.1-2652 shall be distributed in the following manner:

1. One-half shall be distributed to the counties, cities and incorporated towns of the Commonwealth in such percentage as the fair market value of roadway and track located in such county, city or town bears to the total fair market value of roadway and track in the Commonwealth.

2. One-half shall be distributed to the counties, cities and incorporated towns of the Commonwealth in such percentage as the miles of track located in such county, city or town bears to the total miles of track in the Commonwealth.

The Department shall determine the percentage of fair market value and of miles of track in the Commonwealth for each county, city and incorporated town to which it shall be entitled using the latest available information.

After ascertaining the amount of tax payable to each county, city and incorporated town, the Department shall certify to the Comptroller the respective sums to be paid and the Comptroller shall thereupon make payment to the treasurer or other proper fiscal officer of the localities the amounts respectively due them as certified by the Department. When received by the respective local political subdivisions, these payments shall constitute and be regarded as receipts for the general purpose of local government.

1985, c. 557.

§ 58.1-2659. Article not applicable to companies exempt by federal laws.

No provision of this article shall have any application to any railway company doing business in this Commonwealth if such company is exempt by virtue of any provision of federal law from the payment of state and local taxes.

Code 1950, § 58-541.1; 1982, c. 62; 1984, c. 675.