Virginia Contractor Sales Tax 2026

Virginia sales tax for contractors 2026. Labor taxable? Materials? Real rules from state revenue department.

Virginia sales tax rate for contractors

  • Combined rate: 5.3% + 1% local (~6.0% combined) - Hampton Roads/NoVA add 0.7%
  • Construction labor taxable: NO - real property labor is exempt
  • Tax authority: Virginia Department of Taxation

How Virginia treats contractor labor

Real property labor exempt. Hampton Roads and Northern Virginia regional taxes add 0.7%.

Virginia-specific rules

Virginia license classes (A/B/C) based on monetary value of contracts. Class C for under $10K single contract / $150K annual.

Virginia mechanics lien rights

Beyond sales tax, Virginia contractor billing must respect the mechanics lien deadline of 90 days from last work (180 days to file suit). Preliminary notice: Memorandum of Mechanic's Lien required; subs must give Notice of Intent.

Virginia contractor licensing

Virginia Board for Contractors (DPOR) - required for licensed work. Class A: $235 (no monetary limit); Class B: $235; Class C: $50 (limit $10K/$150K). Board: https://www.dpor.virginia.gov.

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Virginia contractor resources by trade