Grayson County, Virginia Tax Rates

Grayson County Tax Rates - At a Glance

Grayson County Tax Rates Summary (rates confirmed on the county Treasurer's office page and the Virginia DOT TY2025 Local Tax Rates survey)

Tax Type	County Rate (per $100)	Notes
Real Estate	$0.58	100% fair market value. Due December 5.
Personal Property (vehicles)	$2.25	Tangible personal property including vehicles. Due June 5.
Machinery & Tools	$1.75	Business machinery and tools.
Merchants' Capital	$6.70	Tax on merchant inventory - among the highest in Virginia.
Sales Tax	5.3% (4.3% state + 1.0% local) - no regional district

The real estate ($0.58), tangible personal property ($2.25), machinery and tools ($1.75), and merchants' capital ($6.70) rates are confirmed on the Grayson County Treasurer's office page and match the Virginia Department of Taxation TY2025 Local Tax Rates survey exactly. The June 5 personal property and December 5 real estate due dates, the 5% late penalty, and the 10% per year interest are confirmed on the county Treasurer's office page. The PPTRA relief percentage, the vehicle assessment guide and ratio, the reassessment cycle, mobile home and boat rates, the vehicle license fee, and the elderly and disabled relief thresholds are pending direct confirmation - see Official Sources below.

Vehicle Personal Property (Car) Tax

Rate and Classification

Grayson County taxes tangible personal property, including motor vehicles, at $2.25 per $100 of assessed value, confirmed on the county Treasurer's office page and matching the Virginia DOT TY2025 survey. The Commissioner of the Revenue assesses personal property as of January 1 each year. The specific vehicle valuation guide and assessment ratio used by the county are pending direct confirmation.

Due Date and Penalties

Unlike most Virginia counties, Grayson County bills personal property tax with a June 5 due date rather than in December. A 5% late penalty is added June 6, and interest accrues at 10% per year on the unpaid balance, per the county Treasurer. Payments are made to the Grayson County Treasurer; credit and debit card payments are accepted with a 2.95% processing fee.

PPTRA Relief

Qualifying personal-use vehicles receive Virginia's Personal Property Tax Relief (PPTRA) credit under Code of Virginia § 58.1-3524 on the first $20,000 of value. The Commissioner of the Revenue administers PPTRA relief locally; the specific current-year relief percentage is pending direct confirmation with the Commissioner of the Revenue at (276) 773-2381.

Source: Grayson County Treasurer's Office and Commissioner of the Revenue pages (graysoncountyva.gov), verified June 2026. For a deeper explanation of PPTRA, see our Virginia PPTRA explained guide. The PPTRA percentage, the vehicle assessment guide and ratio, and the vehicle license fee are pending direct confirmation.

Real Estate Tax

Rate and Assessment

Grayson County's real estate tax rate is $0.58 per $100 of assessed value, confirmed on the county Treasurer's office page and matching the Virginia DOT TY2025 survey. Real estate is taxed at 100% of fair market value as the Virginia Constitution requires. The Board of Supervisors sets the rate each year during the budget process; the county's general reassessment cycle is pending direct confirmation.

Due Date and Payment

Real estate tax is due December 5. A 5% late penalty is added December 6 and interest accrues at 10% per year on the unpaid balance. Payments are made to the Grayson County Treasurer, Sarah Hash-Trimble, at 129 Davis Street, Suite 205, in Independence (mailing address P.O. Box 127, Independence, VA 24348); the office can be reached at (276) 773-2371.

Exemptions and Relief Programs

Grayson County administers real estate tax relief for the elderly and disabled, for service-connected disabled veterans, and the state PPTRA program through the Commissioner of the Revenue's office. Under Virginia Code § 58.1-3219.5, a veteran rated 100% service-connected permanently and totally disabled is exempt from real estate tax on a principal residence, a benefit that extends to a qualifying surviving spouse. The income and net-worth thresholds for the local elderly and disabled program are pending direct confirmation.

Source: Grayson County Treasurer's Office and Commissioner of the Revenue pages (graysoncountyva.gov), verified June 2026. The elderly and disabled relief thresholds and the reassessment cycle are pending direct confirmation with the Commissioner of the Revenue.

Business Equipment, Machinery, and Merchants' Capital

Grayson County levies a machinery and tools tax of $1.75 per $100 and a merchants' capital tax of $6.70 per $100, both confirmed on the county Treasurer's office page and in the Virginia DOT TY2025 survey. The merchants' capital rate - a tax on a merchant's inventory rather than on real estate or equipment - is among the highest of any locality in Virginia, so it is an important figure for retail and wholesale businesses considering the county. Business personal property reports are due to the Commissioner of the Revenue by March 15.

Source: Grayson County Treasurer's Office and Commissioner of the Revenue pages (graysoncountyva.gov), 2026; machinery and tools ($1.75) and merchants' capital ($6.70) confirmed in the Virginia DOT TY2025 Local Tax Rates survey.

Sales Tax

Rate and Composition

The combined sales tax rate in Grayson County is 5.3%: the 4.3% Virginia state rate plus the 1.0% standard local rate. Grayson County is not part of any regional sales tax district, per the Virginia Department of Taxation, so it sits in the statewide baseline tier along with its southwest Virginia neighbors.

Grayson County Sales Tax Rate Breakdown

Component	Rate
Virginia state rate	4.3%
Standard local rate	1.0%
Regional district	None
Combined rate	5.3%

Qualifying food and grocery items are subject to Virginia's reduced 1.0% rate.

Source: Virginia Department of Taxation - Retail Sales and Use Tax (tax.virginia.gov)

Grayson and the Blue Ridge Highlands

Grayson County sits along the North Carolina border in the Blue Ridge Highlands of far southwest Virginia. Its county seat is the town of Independence, and it also contains the incorporated towns of Fries and Troutdale. The county is best known for Mount Rogers, at 5,729 feet the highest point in Virginia, and for Grayson Highlands State Park with its wild ponies and Appalachian Trail access; the New River rises in the county's high country. Grayson partly surrounds the independent City of Galax, which sets its own separate tax rates, and borders live Carroll County to the east, Wythe County to the north, Smyth County to the northwest, and Washington County to the west.