Prince William County implements cigarette tax, effective Jan. 1, 2022

Virginia

PRINCE WILLIAM COUNTY, Va. (WDVM) — The Prince William County Board of Supervisors approved to implement a cigarette tax as part of their Fiscal Year (FY) 2022 Budget.

The board voted to create a $0.40 tax per pack of cigarettes to help pay for new items in the budget, such as advances to parks and transportation referendum projects.

To fund these items, the adopted budget increases the business tangible computer and peripheral tax rate by $0.15 to $1.50 per $100 of assessed value and will implement a cigarette tax at $0.40 per pack. The Board reduced the real estate tax rate from $1.125 to $1.115 per $100 of assessed value while maintaining a flat fire levy rate of $0.08 cents per $100 of assessed value. The average residential real estate tax bill increases $286 ($264 from the real estate tax and $22 from the fire levy).

Prince William County Government

According to county documents, the tax is expected to generate $4 million annually, going into effect on Jan. 1, 2022.

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