Lower Tax Rate Mulled In Vienna Ahead Of Public Hearing

VIENNA, VA — A lower real estate tax rate is being considered in Vienna as a public hearing approaches on Monday, April 24.

Town Manager Mercury Payton's 2023-2024 budget proposal calls for reducing the rate from 20.5 cents per $100 of assessed value to 20.25 cents per $100 of assessed value. For 11 straight years, Vienna has kept the real estate tax rate the same or reduced it. Town of Vienna property owners pay the tax on top of Fairfax County's real estate tax.

Increasing property values continue to impact property owners and factor into budget discussions. Under the town manager's tax rate proposal, the average residential tax bill would be $2,041, an 8.6 percent increase from last year due to increased assessment values.

However, Town Council is considering an even lower rate than what was proposed — 19.5 cents per $100 of assessed value. According to Town Council documents, the reduction would decrease the impact of assessment increases for average taxpayers by over half.

The lower rate is possible by "adjusting certain revenue budgets to reflect recent conditions and by removing a proposed increase to health insurance rates that did not occur," according to the documents.

SEE ALSO: Reduced Real Estate Tax Rate Proposed In 2024 Vienna Budget

Virginia law requires a public hearing on the real estate tax rate if assessments would result in a 1 percent increase or more. The equalization rate, which equates to 101 percent of the taxes charged to property owners last year, would a 19.41 cents per $100 of assessed value tax rate in Vienna.

The public hearing on the tax rate allows residents to provide feedback on the proposed rate. Residents may sign up to speak at the meeting or provide feedback by email to the mayor, Town Council, or the town's finance director.

Final adoption of the budget and tax rate will happen at the Town Council meeting at 8 p.m. on Monday, May 15.