PPTR started in 1998 to provide tax relief to taxpayers across the Commonwealth. This was given to every county, city, and town in Virginia in increased increments each year until 2006 - when each locality began receiving a capped reimbursement from the Commonwealth. The money received is divided among the first $20,000 in assessed value of all qualifying vehicles. To qualify for this relief, a vehicle must meet the following criteria:
- Must be owned privately by a natural person for nonbusiness use.
- If leased, the contract must require the Lessee to pay the tangible taxes owed on the vehicle and the vehicle must be for nonbusiness use.
- If held in a Trust, it must be a private trust and be for nonbusiness use.
A Vehicle considered Business Use, and therefore does not qualify for PPTR is:
- Claimed on the Taxpayer's Federal Income Tax Return.
- Used 50% or more for business use.
- Has 50% or more mileage claimed for Federal Income Taxes or reimbursed by an Employer to the Employee.
