VirginiaReal property tax; local classification or designation for property, nonprofit organizations.
What it does
Real property tax; local classification or designation for portion of property. Clarifies that, in accordance with the Constitution of Virginia and by adoption of a local ordinance, any locality may by designation or classification exempt from real or personal property taxes, or both, the real or personal property, or both, owned by an ownership entity of which a controlling interest of the managing member or general partner of such ownership entity is held, directly or indirectly, by one or more nonprofit organizations, notwithstanding any for-profit ownership interests, that is used for charitable or benevolent purposes. The bill requires such local ordinance to stipulate any suspension or termination of such exemption in such ordinance.The bill also provides that any rental income or other sources of income received from any portion of real property that is used for charitable or benevolent purposes in accordance with such constitutional designation or classification shall not be considered a source of revenue or profit for which tax shall be assessed.
More detail
Finally, the bill provides that the purpose of the bill is to stimulate public purpose projects by clarifying that localities have such authority and provides that the provisions of the bill providing that any county, city, or town may exempt from real or personal property taxes, or both, any real or personal property owned by an ownership entity of which a controlling interest of the managing member or general partner of such ownership entity is held directly or indirectly by one or more nonprofit organizations, notwithstanding any for-profit ownership interests, that is used for charitable or benevolent purposes are declaratory of existing law.
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Where it stands
- Introduced
- Passed House
- Passed Senate
- To Governor
- Became Law
Looking ahead
No hearings or votes scheduled.
History
- 2026
- Apr 13Acts of Assembly Chapter text (CHAP0683)Latest
- Apr 13Approved by Governor Abigail Spanberger-Chapter 683 (effective 7/1/2026)Became Law
- Mar 24Fiscal Impact statement From TAX (3/24/2026 9:50 am)
- Mar 14Governor's Action Deadline 11:59 p.m., April 13, 2026To Governor
- Mar 14Enrolled Bill communicated to Governor on March 14, 2026Minor
- Mar 13Signed by PresidentMajor
- Mar 13Signed by SpeakerMajor
- Mar 13Bill text as passed House and Senate (HB854ER)Major
- Mar 13EnrolledMinor
- Mar 6Senate substitute agreed to by House (90-Y 5-N 0-A)Major
- Vote recorded H VOTE:. Result: pass.Lower
- Mar 4Passed Senate with substitute Block Vote (40-Y 0-N 0-A)Passed Senate
- Vote recorded Passage R. Result: pass.Upper
- Mar 4Engrossed by Senate - committee substituteMajor
- Mar 4Finance and Appropriations Substitute agreed to
- Mar 4Read third timeMinor
- Mar 4Committee substitute printed 26108143D-S1Major
- Mar 3Passed by for the day (Voice Vote)
- Vote recorded Reported from Finance and Appropriations with substitute. Result: pass.Upper
- Vote recorded Constitutional reading dispensed (on 2nd reading). Result: pass.Upper
- Mar 3Constitutional reading dispensed (on 2nd reading) (40-Y 0-N 0-A)
- Mar 3Rules suspended
- Mar 3Reported from Finance and Appropriations with substitute (15-Y 0-N)Minor
- Feb 17Fiscal Impact statement From TAX (2/17/2026 3:55 pm)
- Feb 4Referred to Committee on Finance and AppropriationsMinor
- Feb 4Constitutional reading dispensed (on 1st reading)
- Feb 3Read third time and passed House (97-Y 0-N 0-A)Passed House
- Vote recorded H VOTE:. Result: pass.Lower
- Feb 2Engrossed by House - committee substituteMajor
- Feb 2committee substitute agreed toMajor
- Feb 2Read second timeMinor
- Feb 2Moved from Uncontested Calendar to Regular Calendar
- Jan 30Read first timeMinor
- Jan 29Committee substitute printed 26106097D-H1Major
- Jan 28Reported from Finance with substitute (22-Y 0-N)Minor
- Vote recorded Reported from Finance with substitute. Result: pass.Lower
- Jan 27Subcommittee recommends reporting with substitute (9-Y 0-N)Major
- Vote recorded Subcommittee recommends reporting with substitute. Result: pass.Lower
- Vote recorded Subcommittee recommends reporting with substitute. Result: pass.Lower
- Jan 27Subcommittee recommends reporting with substitute (8-Y 1-N)Major
- Jan 27House subcommittee offered
- Jan 26Fiscal Impact statement From TAX (1/26/2026 9:10 pm)
- Jan 13Referred to Committee on FinanceMinor
- Jan 13Prefiled and ordered printed; Offered 01-14-2026 26104985DIntroduced