Old Billing System to Be Replaced

Some services will be temporarily limited in advance of upgrade.
​​Major technological changes for the City of Virginia Beach tax assessment and billing systems are set to go live Tuesday, November 13. The new system will replace the 33-year-old tax assessment and billing systems resulting in improved reporting capabilities, streamlined processes and greater efficiencies. The system changes affect business and personal property taxpayers. 

Staff is converting to the new system over the Veterans Day holiday weekend so critical testing can take place when offices are closed. However, to get ready for the conversion, certain processes will be limited between Wednesday, November 7 and Friday, November 9:
  • New business license applications will be accepted, although they will be processed, and licenses issued, only after the new tax system is live on Nov. 13  
  • Only checks will be accepted for payment 
  • No payments on existing tax accounts will be processed
  • Handwritten receipts will be exchanged for payments by check and checks will be processed in the new tax system  
  • Adjustments will not be made to personal property accounts
  • No in-person exonerations or adjustments will be made for delinquent bills 
DMV Select, State Income and Real Estate Tax Relief will not be affected by the implementation of the new tax system.  

“The new system offers a number of advantages over the old system,” said Commissioner of the Revenue Philip Kellam. “It provides far greater controls and improved accountability. It also streamlines processes for customers. For example, a business owner will no longer have to apply for a business license in one office and go to a second office to pay the fee. It can all be handled in one stop.” 

Work on the conversion process, underway for several months, created a backlog in billing of personal property taxes. “Some residents have gotten what amounts to a payment holiday while the conversion was happening,” said Eric Schmudde, Chief Deputy Commissioner of the Revenue. “Specifically, anyone who purchased or moved a vehicle into the city since July 2018 has not yet received a personal property bill.” Those will be billed in March 2019 with a due date April 5, 2019. The regular annual personal property bills will be mailed in April and due June 5, 2019.  

Testing of the new system has produced good results, although it is possible it will generate some incorrect bills. While staff will spot-check for quality control issues, anyone who believes they have received an incorrect bill can call the Office of the Commissioner of the Revenue at 757-385-4487 to get the error corrected. In particular, military-owned vehicles and those vehicles purchased by exempt organizations should not be assessed the tax. “If an incorrect bill is issued, we will fix it,” said COR Chief Deputy Eric Schmudde.

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