Check Yes for Henrico, VA

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Check Yes for Henrico, VA

• Presentation for Henrico County
• Residents and Civic Groups
• April, 2008

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PURCHASING A COMPUTER ONLINE
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PURCHASING A COMPUTER ONLINE
A Henrico resident with a Richmond, Virginia
mailing address buys a computer on the internet
from an out-of-state company. That company
collects the sales tax and sends the tax to the
State Department of Taxation and labels the sale
as having occurred in Richmond, Virginia.
Consequently, the wrong locality receives this
money.
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CATALOG SALES
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CATALOG SALES
A Henrico County resident purchases some sporting
goods from a catalog company with an out-of-state
headquarters. The county residents address is
Richmond, Virginia. After the sale, the
out-of-state catalog company sends the sales tax
that it has collected to the State Department of
Taxation. The sale is depicted as having occurred
in Richmond, Virginia. The wrong locality
receives this money.
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Sales Tax of Large Retailers Paid by Out-of-State
Businesses
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SALES TAX OF LARGE RETAILERS PAID BY OUT-OF-
STATE BUSINESSES
A national department store chain has multiple
Richmond, Virginia locations within the central
Virginia area. Some are in the county and some
are in the city. The retailer collects the sales
taxes paid by county residents and remits one
payment for all of these locations to the State
Department of Taxation on a monthly basis. The
retailer notes that the sales occurred in
Richmond, Virginia.
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Certain Vehicle Leases
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CERTAIN VEHICLE LEASES
A county resident with a Richmond, Virginia
address goes to a local car dealership to lease a
vehicle. In this particular lease, the leasing
company located out-of-state is responsible
for filing the personal property tax return with
the correct locality. That company files with
the city due to the Richmond, Virginia mailing
address, even though the person who leased the
vehicle lives within the county. In this case,
the county does not receive the revenue it is due
and the leasing company pays a higher tax (due to
tax rate differences).
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Companies Leasing Business Equipment Such As
Copiers
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COMPANIES LEASING BUSINESS EQUIPMENT SUCH AS
COPIERS
A manufacturer leases a copier to a Henrico
company with a Richmond, Virginia mailing
address. The manufacturer is responsible for
reporting the business personal property for tax
purposes. The manufacturer reports this equipment
incorrectly to the city for personal property
taxes. This results in both the company paying
more in taxes due to the citys higher tax rate
and the county losing this revenue.
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Finding the Correct Locality
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USPS vote/cannot vote by zip code

• Allowed to Vote
• 23075
• 23228
• 23229
• 23231
• 23233
• 23238
• 23242
• 23250
• 23255
• 23288
• 23294

• Cannot vote
• 23222
• 23223
• 23226
• 23227
• 23230

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Why Support the Address Change?

• Matter of Fairness
• Henrico citizens should benefit from Henrico
  taxpayer dollars.
• Henrico citizens should not pay for the services
  they do not receive.
• It is estimated that 5 million in revenue
  annually supports City services because of the
  address confusion.
• There are a number of initiatives that 5 million
  would fund.

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Check Yes for Henrico, VA

• 5.0 Million Would Accomplish One of the
  Following
• Hire 100 new teachers.
• Operate 2 new elementary schools or 1 new middle
  school.
• Purchase 54 new school buses.
• Hire 90 new police officers.
• Purchase 150 marked police cars
• Purchase and fully staff 4 new EMS units
• Equip and fully staff a new fire station
• Develop 2 new community parks.
• Double the annual budget for library materials.
• Could nearly double the budget for Countys Real
  Estate Tax Advantage Program (current budget 6
  million)

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Check Yes for Henrico, VA
In addition, Henrico citizens may be paying more
than they have to
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Check Yes for Henrico, VA

• Presentation to Henrico County
• Residents and Civic Groups
• April, 2008