Henrico supervisors approve one-time real estate tax credit
HENRICO, Va. (WWBT) - Henrico is the first locality in Virginia to refund real estate taxes to property owners.
During a meeting on Feb. 22, the Board of Supervisors approved a measure to give property owners a one-time credit on their real estate taxes.
Postcards about the “2+2″ were mailed out to residents at the end of the week, outlining what they can expect to see in the coming weeks.
“Checks will be coming to all residents who have paid real estate taxes the 2nd or 3rd week in March,” said Henrico County Manager John Vithoulkas.
That’s part of the first half of the plan.
Residents who pay real estate taxes will get a credit for 2-cents per $100 of your taxable value.
Henrico’s average assessed home value is roughly $322,000 so you would get almost $65.
“The reality is, this is not the county’s money,” Vithoulkas said. “The county is running a surplus, we had the ability, the board of supervisors decided we need to do this now.”
Henrico is the first locality to do something like this.
With the way inflation has been, Vithoulkas said it was a no brainer.
“You go to the grocery store, you go to the gas station, real estate assessments and sales are going up - there’s inflation right now, and the county recognizes that,” Vithoulkas said. “The reality is the county has had the best year it’s ever had. Our finances are at a level that is leading the nation when you look at local governments.”
The county will determine the amount based on Feb. 1, 2022, assessment numbers.
Credits more than $30 will be sent by check in the mail. Anything less would be applied to real estate tax bills.
Meanwhile, the Board of Supervisors is set to discuss the second half of the plan next month.
“There’s also a permanent tax rate reduction,” Vithoulkas said.
The proposal is to cut the real estate tax rate by 2-cents, bringing that number to 85-cents per $100.
“This will be the 7th reduction that Henrico County has had since the mid-1990s,” Vithoulkas said. While the real estate tax rate may be going down, residents can expect another increase in water and sewer rates due to stringent requirements with the Chesapeake Bay.
Henrico County leaders are scheduled to adopt the proposed budget on April 12, following a series of meetings and public hearings.
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