The Virginia (VA) state sales tax rate is currently 4.0%. Depending on local municipalities, the total tax rate can be as high as 5%.

Amazon.com owns and operates several fulfillment centers in Virginia. This physical presence, or nexus, creates a sales tax obligation for Amazon and many sellers participating in Amazon’s Seller Central and Fulfillment By Amazon (FBA) programs.

Tax is imposed on the retail sale, lease or rental of tangible personal property in Virginia, or the use or consumption of tangible personal property in Virginia. Numerous services are also subject to sales and use tax.

How to Register

Businesses may register for retail sales and use taxes online or by submitting a completed Form R-1 Business Registration Application. Additional information.

How to File and Pay

Sales and use tax forms are available on the Department of Taxation website. Monthly and quarterly returns and payments must be submitted electronically.

All businesses file monthly returns during the first year of reporting. Subsequently, the department will switch filers with an average monthly liability of less than $100 to quarterly filing. Zero returns (no sales tax due) are required.

Deadlines

Sales and use tax returns are due by the 20th of the month following the reporting period.

Avalara Sales and Use Tax Products for Virginia

AvaTax – AvaTax is a powerful, online sales tax compliance solution that provides all businesses with a level of sales tax automation that until now has been available only to Fortune 500 companies. AvaTax’s transaction-based service model and seamless integration into business applications gives you rapid access to all jurisdiction assignments and real-time sales tax calculations. Cutting-edge technologies and superior processing logic can manage even the most complicated tax issues, such as situs, nexus, tax tiers, tax holidays, exemptions, certificate management and product taxability rules.

TrustFile - Avalara TrustFile provides detailed sales tax reporting for online sellers. Allowing businesses to know exactly where, when and how much to file. Ecommerce business owners can use TrustFile to determine whether or not they are collecting the right amount of sales tax in each individual state, and then store a record of their sales tax history securely in the cloud for free.

Virginia Department of Taxation