What is BPOL tax in Virginia?
BPOL stands for Business, Professional and Occupational License tax. Most Virginia counties, cities and towns charge it each year based on the prior year's gross receipts, with rates that vary by type of business. Fairfax County and Loudoun County both require filing and payment by March 1.
Why am I being audited for BPOL?
Localities compare license filings with state and federal data, business registrations and property records. Common triggers are a business that never registered, receipts that don't match income tax returns, a change of address, or a classification the locality thinks is wrong.
How far back can a Virginia locality assess BPOL?
Generally up to three prior years for taxes that were omitted, plus the current year. Penalties and interest are usually added, which is why early review matters.
Can I deduct receipts from work outside Virginia?
Often, yes. Virginia allows a deduction for receipts attributable to business conducted in another state where you are liable for an income or similar tax. Consultants, federal contractors and professionals working across state lines frequently overpay because they don't claim it.
How do I appeal a BPOL assessment?
File a local administrative appeal with the assessing official, generally within one year of the assessment or the end of the tax year. After the local final determination, you can appeal to the Virginia Tax Commissioner within 90 days. Collection of the disputed amount is generally suspended while those appeals are pending.
Do you only handle Loudoun and Fairfax?
No. We represent businesses before counties, cities and towns across Virginia, including Arlington, Prince William, Alexandria, Leesburg and Herndon, as well as Loudoun and Fairfax.