VA Property Tax?

I moved from VA last year to NC but Lexus Financial stuck me the property tax bill for the entire year. I am trying to give back my Lexus in early but nor the dealer, LFS, or State of VA wants to credit me this property tax to the prorated amount. I really don’t need the car and cannot trade it in either cause $3,200 is added to my buy out right now. Does anyone have any of the same issues in the past?

It was a pain to get money when VA charged me property tax on Volvo as business registered car when it was registered as personal. Lender will point to State, state will point to lender.
I recently spoke with Volvo about payoff and they said it included estimated property tax for the whole year, but that they refund prorated amount after state bills them. You need to make sure that you report you car sold to VA as soon as you sell it/turn in.

That’s because they needed to give you your own separate special zip code :slight_smile:

Yeah that is exactly what is happening to me! State is pointing to Lexus to send them documents and Lexus is pointing fingers to VA. Lexus said to call VA directly to resolve it but VA is saying I am not the “owner” so I cannot send in the documents, only Lexus can

Yep, try to talk to supervisor in VA. State bills Lexus, so they need to adjust your tax bill and send it to Lexus. Or, if state billed correct amount, then you need to get the difference from Lexus.

No one in VA would even talk to me cause I am not the “owner”…

They have to, because you are on the registration.

Lexus says it might take 30 days or a year to get the difference back. I have been fighting them since September 2017 on this matter and still shows $3200 in MISC charges on my Lexus financial

Actually good thing about a Lexus dealer here in NC (Hendrick) says if all this is true, they will fork over the $3200 till they get it back from Lexus BUT their deals suck on the GS350 F-Sport wanting $599 a month with $3K down

Try to go to the top (not sure if Toyota and Lexus share the same executives)

1 Like

that’s what I don’t understand. as a consumer, leasee, you don’t own the car. why we even have to pay the property tax when we don’t even own the property? property tax should be responsible of the owner, Lexus, in this case

Because presumably you voluntarily signed a contract agreeing to pay whatever tax was charged to the lessor.

I’m okay with all that but didn’t know it’s a pain getting it back as prorated

The State of Virginia does not bill Lexus Financial, the Virginia County/City you live in does.

You need to determine if your County/City prorates or not. If they do not, you owe the tax for what you own on
January 1st for the whole year, period. If you moved after 1/1, you would need to prove to NC that you paid the tax and they would not charge you in NC.

If your County/City does prorate, then you are responsible for the period of time you lived there, so you have to prove when you moved in and/or moved out. Your County/City would need to prepare an abatement for the PP tax overcharged.

What City/County did you live in VA and during what time period?

Source: I am a Virginia auditor and tax guy!

2 Likes

I lived in Alexandria. I just e-mailed someone there and they told me they will take care of it all once I show them I paid NC Property Tax from when I moved and they will prorate it. Basically, on paper, it shows I paid both NC and VA property tax. I will send my registration of NC to the city of Alexandria to close and credit the account.

Yes, meant county but used “state” for simplicity - property tax is everywhere in VA (at least that’s what I think)

Yes, every City and County in VA taxes vehicles. The manner and rates are different, though. Some pro-rate, some do not. Some you pay once per year, some twice. And then, Towns can and do charge a separate PP tax in addition to the County where they are located (usually a very small amount, but still double taxation)!

Only drawback of me not wanting to move back to VA if I want a nice car, especially if a lease. They quoted my car to be worth $42K but when I moved to NC, they quoted my car to be 28K.

Young lady at the Alexandira office got my property tax settled but Lexus charged me $3,200 for “Property Tax” but she said your Property Tax was only $1400 for year of 2017, in which, $1258 will be refunded…

Sounds like you need to get Lexus Financial on the horn and ask for details!!