Background

As you may recall, the Supreme Court of Virginia ruled last month that provisions of HB 3202, enacted last year, are unconstitutional.

HB 3202 was the massive transportation bill that provided some (but not enough) new transportation dollars to our region, but did so through the assessment of taxes by unelected, unaccountable bodies, and also had the infamous "abuser fee" scheme integrated into it, among other things (some good, some not so good).

I voted against this bill as a member of the House, and I voted no on all 7 tax hikes assessed by the Northern Virginia Transportation Authority (NVTA), of which I am a member.

Notwithstanding my opposition to taxing hardworking Virginia families more, I believed the taxing powers that HB 3202 gave to regional authorities (like the NVTA) were unconstitutional. Not one member of the NVTA (including myself) was elected to that body. This makes the NVTA an un-elected body, unaccountable to voters, who do not have an opportunity to vote on anything the NVTA does, nor who represents them on this body. Our nation's founders called this "taxation without representation", and this is precisely what the Virginia Supreme Court ruled.

Between January 1, 2008 (when the NVTA started collecting taxes and fees) to date, over $13 million was unconstitutionally collected from Northern Virginia residents. Those that paid any of these 7 taxes or fees are now entitled to refunds.

Refunds

Yesterday, Governor Kaine signed legislation that establishes procedures to return taxes and fees collected by the Northern Virginia Transportation Authority.

The seven taxes and fees will be returned as follows:

• The Department of Motor Vehicles (DMV) will return the 1% initial vehicle registration fee and the $10 regional registration fee by mail beginning in early April. DMV will publish guidelines for the return of the fees by April 1 on www.dmvNOW.com. Individuals who paid these fees are encouraged to ensure that DMV has their correct mailing address to allow for quick and convenient return of the fees. Call DMV Direct at 1-866-DMV-LINE (1-866-368-5463) to update your address or for additional information.
  
  

• The Clerks of the Circuit Courts will work with settlement agents to return the congestion relief fee (real estate grantor’s tax) to the affected settlement agents within 60 days. The settlement agent will in turn refund the individuals or entities that paid the congestion relief fee. The Clerks will jointly develop uniform guidelines for the return of the fee within 60 days. Call your settlement agent or the Northern Virginia Transportation Authority at 703-766-4650 for additional information.
  
  

• The 2% vehicle rental tax, 2% transient occupancy tax, $10 safety inspection fee and the 5% sales tax on motor vehicle repair will be sent to the Unclaimed Property Division of the Department of the Treasury. Citizens may request refunds from the Unclaimed Property Division. The department is working to finalize guidelines for refunding money. Go to the Department of Treasury at www.trs.virginia.gov for additional information, or, after April 1, call 804-278-0187.

• Northern Virginia Transportation Authority

• The Washington Post: Bill Creates Process for Refunding $13 Million in Taxes, Fees