Department of Motor Vehicles finishes refunds

Virginia has almost finished sending refunds for two of the unconstitutional Northern Virginia transportation taxes, state officials said Tuesday.

The Virginia Department of Motor Vehicles sent nearly 250,000 drivers more than $11.25 million in refunds through Friday.

The agency was responsible for refunding a $10 fee on all vehicle registrations in January and February and the one-time charge of 1 percent of a new vehicle’s worth.

The refunds represent two of the seven Northern Virginia Transportation Authority taxes and fees the Virginia Supreme Court ruled unconstitutional at the end of February, two months after they were imposed Jan. 1.

They are the easiest of the seven taxes for the state to refund.

The agency blamed incorrect addresses for the 3,360 refunds that have not been sent, as agency spokeswoman Melanie Stokes said it was within the estimate of fewer than 5,000 “undeliverable” refunds the agency set earlier this year.

The average refund is $45.07, Stokes said, but refund amounts can reach much higher, like $300 for a new $30,000 car.

Taxpayers who have not received refunds will have to contact the agency to receive their money, through the toll-free number 866-368-5463.

Other agencies are taking a bit longer than expected due to the complexity of the process.

Local circuit court clerks responsible for refunding more than $13 million in property sales tax refunds have sent hundreds of checks but are continuing to process refunds, said Fairfax County Circuit Court Clerk John Frey.

While most of the money has been returned to settlement agents, Frey said, the clerks’ offices need more time to finish handling the remaining cases.

The refund process looms over state lawmakers trying to approve more money for transportation projects, in part to replace thetax package the court ruled unconstitutional.

Gov. Tim Kaine is hosting a series of town hall meetings across the state to pitch his $1.1 billion transportation tax plan that would include a new 1-cent sales tax increase in Northern Virginia and new statewide increases on car sales and property sales.

The General Assembly is expected to consider that proposal and others, including gas tax increase, when it convenes for a special session June 23.

[email protected]

Related Content