Town of Leesburg, Virginia
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Business License Tax (BPOL)
- If you do not receive a renewal, contact the Town of Leesburg before the due date at 703-771-2723 or bl@leesburgva.gov. The law clearly states that the taxpayer is required to know the due date, determine the amount owed and pay it on time, even when a bill is not received by the taxpayer.
Applicants must apply for a business license either by e-mail at bl@leesburgva.gov, mail, or in person at:
25 West Market Street, Leesburg, VA 20176Forms can be downloaded from the Town's webpage.
Businesses located at residential addresses must also obtain a Home Occupation Permit or Non-Residential Use Permit from Community Development. Permits are issued after certain zoning requirements are met. For further information, contact the Town of Leesburg Planning and Zoning Department.
- The owner name, trade name, business address, nature (description) of business, estimated first year gross receipts, and begin date must be supplied to the Town of Leesburg in order to obtain a business license. Applicants should also check with the Town of Leesburg Planning and Zoning Department to determine if regulatory permits are required.
- Business Professional Occupational Licenses (BPOL) must be renewed by March 1st. Renewal applications for businesses in Town for less than 3 years will be mailed and should be completed and returned by mail, e-mail, or dropped off at Town Hall for processing. For businesses that have been in Town for more than 3 years, renewal filings may be made through the Town's customer portal found at www.leesburgva.gov/customerportal. Please be aware that although the license period is for the 12 months of the calendar year, the existing business license is valid until the March 1st renewal deadline of the next year.
- Overnight packages for the Town of Leesburg may be sent to:
Town of Leesburg
25 West Market Street
Leesburg, VA 20176 In reviewing the information I supplied to your office, I realized that I filed incorrectly. How do I make necessary changes?
If you have submitted a filing and later realize it contained errors, you must correct the information in writing. The corrected version must include the original information, a statement as to what was incorrect, and the "new" corrected information. You also need to provide a copy of your business Income Tax Return. Please make sure to include a contact name and phone number in order for us to make contact if we need clarification or further documentation. This information can be either mailed or sent to bl@leesburgva.gov. Our mailing address is: Town of Leesburg, 25 West Market Street, Leesburg VA.- If this is strictly a name change and your tax identification number has not changed, fax or email us the new name. If the name change involves a new Federal Employer Identification Number (FEIN), you will need to complete a new Business Tax Declaration as this is a new entity for tax purposes. Also, please do not forget to supply a written statement closing the original entity if it is appropriate. This information can be either mailed or sent to bl@leesburgva.gov. Our mailing address is: Town of Leesburg, 25 West Market Street, Leesburg VA.
If you move before or after the renewal cycle, it is important to notify us of any address changes. Please contact us by phone 703-771-2723 or e-mail bl@leesburgva.gov. Please be sure to include the account numbers. You must also indicate whether the change is for only the mailing address or also for the physical address.
If the business is home-based, you must fill out a new home occupancy permit for the new address and submit the application to the Planning and Zoning Department for approval.
- In order to close your business and thus end your tax liability for a specific business account, you must notify the Town of Leesburg in writing or by completing this form and mail or e-mail to our office. Mail or e-mail with the following information will suffice as well: Name of the Business Owner, Trade Name of the Business, Federal Employer Identification Number (FEIN) or Social Security Number (SSN) associated with the accounts, and the account numbers, along with the exact date the business closed. This statement must be signed by the owner or an officer listed with our office.
- Businesses located in Town of Leesburg, including those that are home-based, are subject to a gross receipts tax. Gross receipts are the income of a business before any deductions are made. You are required to register your business with the Town of Leesburg within 30 days of commencing operations. Forms and step-by- step instructions are available on the Town website.
What if I don't know what my gross receipts were by the March 1 business license filing and payment deadline?
Virginia Code § 58.1-3703.1 A 2 c authorizes the Town of Leesburg to grant a business license filing extension prior to the due date for reasonable cause. Reasonable cause being a failure to file despite the exercise of ordinary business care and prudence. The reason for failing to file must be such that a prudent businessperson would have acted similarly under the circumstances. The extension may be granted upon payment of a reasonable estimate of the license tax due. Please contact the office by phone or e-mail should you require a BPOL filing extension.
Hotel and Meals Taxes
- A meal is any prepared food or drink offered or held out for sale by a food establishment for the purpose of being consumed by any person to satisfy the appetite and that is ready for immediate consumption.
- The Meals & Beverage Tax rate in the Town of Leesburg is three and a half percent (3.5%) of the amount paid for prepared foods purchased in the Town of Leesburg. A five percent (5%) collection fee is allowed to the establishment as long as taxes are paid on time.
- The twentieth (20th) day of the month following the month in which the taxes are collected, or should have been collected, from the consumer. For example: Meals & Beverage Taxes collected from consumers in January would be due on or before February 20. Payments not remitted or postmarked by the 20th will incur a ten percent (10%) penalty and ten percent (10%) interest per annum.
Does the meal, or prepared food, have to be consumed on the premises of the business where it is purchased to be taxable?
No. The meal, or prepared food, is subject to the Meals & Beverage Tax whether it is intended to be consumed on the seller’s premises or elsewhere and without regard to the manner, time or place of service.- It depends.
Yes, for a caterer whose business is located in the Town of Leesburg, regardless of the place of service of the prepared food.
No, if the caterer’s business is located outside of the corporate limits of the Town of Leesburg and regardless of the place of service of the prepared food. The Meals & Beverage Tax is based on the locality in which the caterer is subject to the local business license (BPOL) tax. Code of Virginia, §58.1-3841 Are beverages such as soda, beer, water and others that are in a can, bottle or other factory sealed container subject to the meals & beverage tax?
No, alcoholic and non-alcoholic beverages sold for off-premise consumption in factory sealed containers are exempt from the Meals & Beverage Tax.- A food establishment is any place in or from which food or food products are prepared, packaged, sold or distributed in the city, including but not limited to, any restaurant, dining room, grill, coffee shop, cafeteria, cafe, snack bar, lunch counter, convenience store, movie theater, delicatessen, confectionery, bakery, eating house, eatery, drugstore, ice cream/yogurt shops, lunch wagon or truck, pushcart or other mobile facility from which food is sold, public or private club, resort, bar, lounge, or other similar establishment, public or private. Also, a food establishment shall include private property outside of and contiguous to a building or structure operated as a food establishment at which food or food products are sold for immediate consumption.
- The following items, when served exclusively for off-premise consumption, are exempt from the Meals & Beverage Tax:
(1) Factory-prepackaged candy, gum, nuts and other items of essentially the same nature.
(2) Pastry, dairy and snack food items, such as doughnuts, ice cream sold in greater than single serving quantities, crackers, nabs, chips, cookies, and the like and items of essentially the same nature.
(3) Food sold in bulk.
(4) Alcoholic and nonalcoholic beverages sold in factory-sealed containers.
(5) Any food or food product purchased with food coupons issued by the United States
Department of Agriculture under the Food Stamp Program or drafts issued through the state special supplemental food program for women, infants, and children.
(6) Any food or food product purchased for home consumption as defined in the federal Food Stamp Act of 1977, 7 USC 2012, as amended, except hot food or hot food products ready for immediate consumption. The following items, whether or not purchased for immediate consumption, are excluded from the definition of food in the federal Food Stamp Act: sandwiches, salad bar items sold from a salad bar, prepackaged single-serving salads consisting primarily of an assortment of vegetables, and nonfactory-sealed beverages. Items (3), (4) & (5) are not affected by this item.
The following businesses are not subject to the Meals & Beverage Tax, except for any portion or section of the business that contains prepared food and beverage operations (i.e. delicatessen counter):
• Grocery store
• Supermarket
• Convenience store
The following purchases of food and beverages are exempt from the Meals & Beverage Tax:
(1) Food and beverages furnished by food establishments to employees as part of their compensation when no charge is made to the employee.
(2) Food and beverages sold by day care centers, public or private elementary or secondary schools or food sold by any college or university to its students served on site and paid for as a part of a tuition, meal or similar plan.
(3) Food and beverages furnished by a hospital, medical clinic, convalescent home, nursing Home, home for the aged, infirm, handicapped, battered women, narcotic addicts or alcoholics; or other extended care facility to patients or residents thereof and the spouses and children of such persons.
(4) Food and beverages furnished by a public or private nonprofit charitable organization or establishment or a private establishment that contracts with the appropriate agency of the commonwealth to offer meals at concession prices to elderly, infirm, blind, handicapped or needy persons in their homes or at central locations.
(5) Food and beverages sold on an occasional basis, not exceeding six times per calendar year, by a nonprofit educational, charitable or benevolent organization; church; or religious body as a fundraising activity, the gross proceeds of which are to be used by such organization exclusively for nonprofit educational, charitable, benevolent or religious purposes.
(6) Food and beverages sold through vending machines. The Virginia Code, § 58.1-3840, provides the following regarding gratuities:
No such taxes on meals & beverage may be imposed on:
(1) The amount paid by the purchaser as a discretionary gratuity; or
(2) That portion of the amount paid by the purchaser as a mandatory gratuity or service charge added by the restaurant in addition to the sales price of the meal, but only to the extent that such mandatory gratuity or service charge does not exceed 20% of the sales price; or
(3) Food and beverages sold through vending machines or on any tangible personal property purchased with food coupons issued by the United States Department of Agriculture under the Food Stamp Program or drafts issued through the Virginia Special Supplemental Food Program for Women, Infants, and Children.
- The Town’s 6% Transient Occupancy Tax is applied to the room rental rate of hotel rooms. The tax applies to all hotels, motels and bed & breakfasts located within the Town’s Corporate Limits. The Transient Occupancy Tax is paid by the renter of the room. The Transient Occupancy Tax is collected by the hotels and motels and remitted to the Town of Leesburg. If the room rental charge is not separately stated on the bill, the tax must be calculated on the entire room charge.
- Operators of hotels or motels renting eight or more guestrooms are subject to the Business Professional and Occupational License tax.
- TOT does not apply to meeting rooms. It is to be imposed only for the occupancy of any room or space that is suitable or intended for occupancy by transients for dwelling, lodging, or sleeping purposes.
- If the charge made by any hotel to a transient includes an additional charge, then the portion of the total charge representing only room rental should be distinctly set out and billed to such transient as a separate item. If the room rental charge is not separately stated on the bill, then the tax must be calculated on the entire charge.
- Transients who stay 90 consecutive nights or more are exempt from Town of Leesburg TOT. Transients who stay 90 consecutive nights or more are exempt from Virginia retail sales and use tax on the room charge, as well. For further guidance on Virginia State retail sales and use tax regulations, please visit the Virginia Department of Taxation website at www.tax.virginia.gov.
Room charges paid directly by the Federal Government or a Federal Agency, whether direct-billed or paid with a qualified exempt government-issued credit card, are not subject to TOT. Most qualified exempt government-issued credit cards will have the statement "Exempt" printed on the card. If room charges are paid for by a government employee, TOT is applied to the room charge even if the employee is later reimbursed for such charges by the Federal Government or a Federal Agency. The taxes collected from transients are held in trust by operators of lodging establishments until remitted. On a monthly basis, lodging operators report room charges and tax amount calculated and remit TOT collected to the Town. TOT report and payment deadlines are the 20th day of the month following the month in which the taxes were collected.
January is due February 20
February is due March 20
March is due April 20
and so on.
- If a tax was collected in error, it should be returned to the transient who was improperly charged. If the hotel, motel, bed and breakfast or other facility cannot return the improperly collected tax to the rightful payer, the law requires that it must be remitted to the town with other TOT collections and not retained by the operators of lodging establishments as additional income.
Parking Tickets
- Contact the Finance Department immediately at 703-771-2718 or email parking@leesburgva.gov to report a broken meter. In the event, you have received a ticket and reported the meter broken, you should submit an appeal using our online form online form.
- The parking fine is due within fifteen (15) calendar days of the issue date. If the parking fine is not paid within 15 calendar days, the parking fine doubles.
I mailed my payment on the fourteenth day. Will I be penalized if it reaches the Treasurer's Office after the fifteenth calendar?
No. Parking ticket payments are processed based on the postmark date of the envelope.- Since payment is received late, a partial payment will be processed on the parking ticket and a letter will be mailed with the outstanding balance.
- To appeal your ticket/citation, you must notify the town in writing 15 days of receipt of the ticket. The Town will contact you only if additional information is needed. The Town will process and certify the appeal to the Loudoun General District Court. You can submit your appeal using our online form.
I got a ticket for parking in a handicapped zone. I have a handicapped placard but forgot to display it. What can I do?
Take the handicapped placard you have to the Finance Department at Town Hall, 25 West Market Street, Leesburg, VA 20176, e-mail a scanned image of the handicapped placard and parking ticket to parking@leesburgva.gov or call 703-771-2718.
Payments
- When a person has processed a payment electronically through the Town's payment portals, and the account is identified as no account or invalid account due to incorrect ACH, bank account, or bank transit routing number, the person will automatically owe the full amount of the original payment (in addition to penalties and interest, if applicable) plus a fifty dollar ($50) fee.
- Checks or money orders should be made payable to "Town of Leesburg"
Mail payments to:
Town of Leesburg
25 West Market Street
Leesburg, VA 20176
For taxes, US Postmark must be by the due date to avoid late charges. - The service fee is charged by third party vendors to cover their cost of processing the payment transaction. The Town of Leesburg does not receive any portion of this fee.
- Yes, please call the Finance Collection Coordinator at 703-771-2719. Monday through Friday 8:30 am to 5:00 pm.
Online payments for:
General Billing Invoices are at: www.leesburgva.gov/paybills.
Parking Tickets are at: www.leesburgva.gov/paybills.
Business Taxes are at: www.leesburgva.gov/customerportal
Water and Sewer Bills are at: www.leesburgva.gov/customerportal
- When a person has written a returned check, the person will automatically owe the amount of the check (in addition to penalties and interest, if applicable) plus a fifty dollar ($50) Return Check Fee. If the returned check is not redeemed, legal action will be initiated. This may include a lien against your checking account, a tax lien to your employer for your wages to be garnished, placing a DMV stop (which effectively denies your renewing your driver's license or tags for any of your vehicles) or the issuing of a warrant-in-debt for you to appear in Civil Court. All of these will incur additional cost to you. The returned check must be paid in cash, certified check or money order. You may not pay using another check.
Water & Sewer Bills
Yes, residential deposits are $150. Commercial deposits are based on the anticipated water and sewer usage for quarter. If after three years, there are no disconnections, no returned checks, and no late charges, the deposit is applied to the account as a credit or when the account is closed.
- Past due accounts are disconnected 15 days after the reminder/shut off notice. The entire account balance, delinquent account processing fee and a possible security deposit may be required to restore your utility service.
- When a person has written a returned check, the person will automatically owe the amount of the check (in addition to penalties and interest, if applicable) plus a fifty dollar ($50) Return Check Fee. If the returned check is not redeemed, legal action will be initiated. This may include a lien against your checking account, a tax lien to your employer for your wages to be garnished, placing a DMV stop (which effectively denies your renewing your driver's license or tags for any of your vehicles) or the issuing of a warrant-in-debt for you to appear in Civil Court. All of these will incur additional cost to you. The returned check must be paid in cash, certified check or money order. You may not pay using another check.
In addition to your water & sewer consumption and fixed fees, your first bill includes a $30.00 Service Charge and a $150.00 Deposit.
The Service Charge is not refundable. Deposits are returned for homeowners after three (3) years if there are no late payments. Additional information can be found at our Start Utilities Account page.
I have just moved/will be moving into a home whose water is provided by the Town of Leesburg. How do I set up water service?
You can start your water and sewer service by completing and submitting an online form OR stop by the Town of Leesburg Finance Department (25 W. Market St.), OR call 703-771-2713. If leaving a voicemail message please include your name, phone number, new address, start date and your social security number so we can set up your account.
Please note that we can only set up a residential account in an individual’s name if that person or an authorized representative is the one giving us the information. Also, we can only set up the new account in one person’s name.
For more information is available on our Water & Sewer Bills page.
I have just moved/will be moving out of a home whose water is provided by the Town of Leesburg. How do I close my account?
You can stop your water and sewer service by completing and submitting an online form.
Please note that we cannot back-date the closing of your account, and any water consumed up to the closing date will be included in your final bill. We can always schedule the closing of your account ahead of time, as long as the scheduled closing date is within our normal hours of operation (Mon - Fri 8:30 a.m. - 5:00 p.m.), and 24 hours notice is given.
With our automatic payment service, you will get your Town of Leesburg statement in the mail, but there will be no need to write a check. Your bill will be paid automatically from your checking or savings account at your financial institution. THIS SERVICE IS FREE.
To sign up for this program, complete and submit our online Automatic Payment Form (please note that the form will not work in the Internet Explorer browser. We recommend using Chrome or Safari.)The automatic payment will apply to your next quarterly billing. The following notice will be printed on your bill: "This bill is strictly for your records. Do not remit payment. You are currently enrolled in our automatic payment program."
If you have established a monthly payment plan for your account, automatic payments will not be processed for your account.While we cannot change the billing schedule, we are able to take payments on an account whether or not it has been billed yet.
If you are making a payment on an account that has no current balance due, the payment will be applied to the account as a credit, which will then be applied towards the next bill. Please make sure to include your account number, CID, or service address with your payment.Please see our current water and sewer rates page.
- You can pay your Leesburg water bill by mail, in person or online. Mail or drop off your payment at: 25 West Market Street, Leesburg VA 20176. Or pay your bill online by using the Customer Self-Service Payment Portal.
- The Town of Leesburg has enlisted the services of an outside collections agency to collect delinquent utility bills. The collection agency, Nationwide Credit Corporation (NCC), is located at 5503 Cherokee Avenue, Suite 100, Alexandria, VA, 22312. Please be aware that NCC does make cold calls to Town of Leesburg former customers that have delinquent bills outstanding. Former customers should contact NCC directly at 844-862-7251 to have an NCC representative review the details of outstanding bills or to make a payment by phone. Payments can also be made online at their website www.nccarm.com/payments.