58.1-540 - Levy of the tax.
§ 58.1-540. Levy of the tax.
A. The Counties of Arlington, Fairfax, Loudoun, and Prince William, and theCities of Alexandria, Fairfax, Falls Church, Manassas, Manassas Park,Norfolk, and Virginia Beach hereby authorized to levy a local income tax atany increment of one-quarter percent up to a maximum rate of one percent uponthe Virginia taxable income as determined in § 58.1-322 for an individual, §58.1-361 for a fiduciary of an estate or trust, or § 58.1-402 for acorporation, for each taxable year of every resident of such county or cityor corporation having income from sources within such county or city, subjectto the limitations of subsection B of this section. The same rate shall applyto individuals, fiduciaries and corporations.
B. The authority to levy a local income tax as provided in subsection A maybe exercised by a county or city governing body only if approved in areferendum within the county or city. The referendum shall be held inaccordance with § 24.2-684. The referendum may be initiated either by aresolution of the governing body of the county or city or on the filing of apetition signed by a number of registered voters of the county or city equalin number to ten percent of the number of voters registered in the county orcity on January 1 of the year in which the petition is filed with the circuitcourt of such county or city. The clerk of the circuit court shall publishnotice of the election in a newspaper of general circulation in the county orcity once a week for three consecutive weeks prior to the election. Theballot used shall be printed to read as follows:
"Shall the governing body of (.... name of county or city ....) have theauthority to levy a local income tax of up to one percent for transportationpurposes in accordance with § 58.1-540 of the Code of Virginia?
[] Yes
[] No"
If the voters by a majority vote approve the authority of the local governingbody to levy a local income tax, the tax may be imposed by the adoption of anordinance by the governing body of the county or city in accordance withgeneral or special law, and the tax may be thereafter enacted, modified orrepealed as any other tax the governing body is empowered to levy subjectonly to the limitations herein. No ordinance levying a local income tax shallbe repealed unless and until all debts or other obligations of the county orcity to which such revenues are pledged or otherwise committed have been paidor provision made for payment.
(1989, c. 245; 2007, c. 813.)