Local Option - Property Tax Assessment for Energy Efficient Buildings (Virginia)

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Last modified on February 12, 2015.

Financial Incentive Program

Place Virginia

Name Local Option - Property Tax Assessment for Energy Efficient Buildings
Incentive Type Property Tax Incentive
Applicable Sector Agricultural, Commercial, Industrial, Institutional, Low-Income Residential, Multi-Family Residential, Residential
Eligible Technologies Comprehensive Measures/Whole Building
Active Incentive Yes
Implementing Sector State/Territory
Energy Category Energy Efficiency Incentive Programs

Program Administrator Virginia Department of Taxation

References DSIRE[1]


In March 2008, Virginia enacted legislation that would allow local jurisdictions to assess the property tax of energy efficient buildings at a reduced rate. Under this law, eligible energy-efficient buildings, not including the real property on which they are located, may be considered a separate class of property for local taxation purposes. Accordingly, the governing body of any county, city or town may, by ordinance, allow a special assessment of the property taxes for this class of property.

An energy-efficient building is defined as any building that exceeds the energy efficiency standards of the Virginia Uniform Statewide Building Code by 30%; meets performance standards of the Green Globes Green Building Rating System, the Leadership in Energy and Environmental Design (LEED) System or the EarthCraft House Program; or qualifies as an Energy Star home under federal Energy Star criteria.

Among the communities that have enacted an ordinance implementing this law include:

  • City of Charlottesville (see Charlottesville's city code, Chapter 30, Article V, Division 4 for more information)
  • County of Spotsylvania (see Ordinance No. 21-63 for more information on the five-year county tax exemption for energy efficient buildings)
  • City of Virginia Beach (see Virginia Beach's Real Estate Assessments,Special Tax Rate, for more information)

Incentive Contact

Contact Name Taxpayer Assistance - Virginia
Department Virginia Department of Taxation
Address PO Box 1880
Place Richmond, Virginia
Zip/Postal Code 23218-1880
Phone (804) 367-8031

Email tax-busqtns@state.va.us
Website http://www.tax.virginia.gov/

Authorities (Please contact the if there are any file problems.)

Authority 1: Va. Code § 58.1-3221.2
Date Enacted 2008-03-11

  • Incentive and policy data are reviewed and approved by the N.C. Solar Center's DSIRE project staff.[1]


  1. 1.0 1.1  "Database of State Incentives for Renewables and Efficiency (DSIRE)"