Stafford County is considering establishing a Business, Professional and Occupational License (BPOL) tax, a new local tax that could affect some real estate businesses beginning in 2027. At this stage, the proposal is not final. The Board of Supervisors has moved forward with consideration of a public hearing, and the agenda materials specifically note that advertising a hearing does not commit the Board to adopting the tax. FAAR will provide an update when the public hearing is scheduled.
Under the proposal, real estate, financial and professional services would be taxed at $0.16 per $100 of gross receipts, with a proposed $2 million gross-receipts exemption. Real estate services specifically include agents, brokers, property managers, appraisers, rental agents and certain property lessors. For many individual agents and smaller businesses, the $2 million exemption could mean no gross-receipts tax is owed. However, the proposal could still create new licensing and reporting requirements, including an annual declaration of gross receipts.
FAAR will continue monitoring the proposal and advocating for a tax structure that does not unnecessarily burden REALTORS®, small businesses or housing production. Read full information on the proposed BPOL tax below.