When it comes to Arlington County businesses, Ingrid H. Morroy, Arlington County’s Commissioner of Revenue and her staff in the Business Tax Division enjoy assisting new and existing businesses, especially at this time of year when every business must file their annual business license tax return, also known as the Business, Professional, and Occupational License (BPOL), by March 1.
When a new business files a business license tax for the first time, the business declares an estimate for gross receipts based on the revenue the owner anticipates receiving from the date the business opens until December 31 of the then-current calendar year. The Commissioner of Revenue’s Business Tax Division computes the license tax or flat fee owed based on the information provided.
Existing businesses including home-based, and those who may not have an office in Arlington but conduct operations in Arlington, as well as those who engage in a profession, trade or occupation and those individuals who rent or lease houses, apartments, part of their own residences, or other types of dwellings are required to file. The taxes and fees levied are generally based on the gross receipts of the business’s previous year. For example, businesses with gross receipts:
- less than $10,000 in gross receipts owe no tax.
- between $10,001 and $50,000 pay a flat fee of $30.00.
- between $50,001 and $100,000 pay a flat fee of $50.00.
- more than $100,000 will utilize a tax rate dependent on their business activities to determine the tax due.
In January, the Commissioner of Revenue’s Office mailed Business License Tax Renewal Returns. These are unique because there is a bar-code for fast and accurate processing. If you lost or did not receive your return, you will not be able to download a new form from the Commissioner of Revenue’s website. Instead, you will need to either file online or call our office at (703) 228-3060 to request a new form.
This year, the due date to file a “Business License Tax Return” and to avoid late filing penalties and interests is Thursday, March 1. by 11:59 p.m. EST. Ingrid and her staff encourage all businesses to file and pay online, via CAPP, the Customer Assessment and Payment Portal.
If you have any questions you have about the Business License Tax, please call the Business Tax Division at (703) 228-3060. Thank you for operating a business in Arlington County!