Virginia recently adopted a new law that imposes a tax upon all car sharing trips that begin within the Commonwealth. The tax rate for a particular trip depends upon the number of shared vehicles made available across all vehicle sharing platforms (including Getaround) by the owner of the vehicle in which the trip has been reserved.
The tax is paid by renters and collected by the vehicle sharing platform, unless owners fail to notify vehicle sharing platforms of the number of shared vehicles they have made available for car sharing.
To enable vehicle sharing platforms to determine the correct rate to apply to a trip in Virginia, the new law requires owners of shared vehicles to certify to their vehicle sharing platforms whether such owners have registered more than 10 different shared vehicles across all vehicle sharing platforms.
Frequently Asked Questions
Why did I receive a request to certify how many cars I've listed across all car sharing platforms?
You received a certification request because our records indicate that you have listed at least one shared vehicle on Getaround that is located in Virginia. Therefore, to properly calculate the tax rate applicable to trips taken in your vehicle(s) in Virginia, we are required to request from you the total number of vehicles you have listed across all car sharing platforms.
Do I need to specifically disclose how many cars are being shared on platforms other than Getaround?
No - we just need to know how many cars are being shared in total, across all platforms and in all cities.
Does the status of my car(s) matter for purposes of the car count?
No - please include all cars that are actively listed, being onboarded, or temporarily deactivated, but leave out cars that have been removed from all platforms. Don't count a car multiple times if it's listed across multiple platforms.
What are the different car count thresholds and applicable tax rates?
A rate of 6.5% currently applies to Virginia trips taken in cars with owners who have listed 10 or fewer cars across all car sharing platforms. This rate is scheduled to increase to 7% on July 1, 2021. A rate of 10% applies to Virginia trips taken in cars with owners who have listed more than 10 cars across all car sharing platforms.
Are trips taken in cars located outside Virginia (e.g., Washington, D.C.) subject to the Virginia car sharing tax?
No, but these trips may be subject to taxation by the jurisdictions in which they begin.
Who pays the tax?
Who collects and remits the tax?
The car sharing platform
When do I need to submit the certification?
Whenever the onboarding or offboarding of a shared vehicle from one or more car sharing platforms will cause your total shared vehicle count across all platforms to exceed 10 cars, or decrease to 10 cars or fewer
I misplaced my link to the certification form. Where can I find it?
https://bdo0kswr.paperform.co/ (be sure to input the email address associated with your Getaround account)
What happens if I submit an inaccurate certification or fail to return the certification altogether?
By law, you will be responsible for payment of taxes and applicable penalties resulting from an inaccurate or missing certification.