LYNCHBURG, Va. – Inflation for both new and used cars is so high, Lynchburg city leaders are considering a tax break.
“We’ve never had to do this in Lynchburg,” said Mitchell Nuckles, Lynchburg’s revenue commissioner.
Nuckles says the Hill City has a history of seeing increases in property taxes and vehicle evaluations — but not like this.
“In the city of Lynchburg, the average increase is 28.2%. That means if you had a vehicle that was $10,000 last year in assess value, it’s approaching $13,000 this year, and that’s just on average,” said Nuckles.
He hopes city council considers taking action Tuesday, to vote for a 25% reduction and only taxing a 75% ratio of a car’s assessment.
That would give drivers some relief.
“They will see a reduced value and also, hopefully, somewhat of a reduced tax bill from the year before,” said Nuckles.
The tax break would apply for all vehicles, but only for 2022.
Drivers would start seeing a difference in their bills due in June.
Lynchburg residents like Morris Bagby are in favor of the relief.
“I understand there’s a good reason for taxes, but anytime we can get a break on taxes, I’m all for it,” said Bagby.
Other localities, including Lexington, are also considering ways to provide relief on property taxes.