Pursuant to House Joint Resolution 155, the Revenue Resources and Economic Commission was requested by the 1978 session of the Virginia General Assembly to examine all aspects of the real property tax. Staff to the Commission conducted an in-depth data analysis of the tax, including such areas as burden, relationship to other revenue sources, growth trends, and dependence an the tax. In addition, administrative areas were examined thoroughly.

The Commission held monthly meetings throughout the year, hearing from many professionals in the field of property taxation. They also held four public hearings throughout the State, with excellent input from citizens and professionals alike.

This document attempts to delineate the general concerns of the Commission associated with the real property tax as well as legislative recommendations.

Many areas of the real property tax had been thoroughly examined previously (for example, the 1974 Governor's Property Tax Reform Study), but there remained a need to examine the present status of the tax, i.e., trends of increased dependence, burden on individual taxpayers, and improvements as a result of other studies. Other topical areas of the tax were not addressed by the Commission. Failure to do so was not an oversight but rather a decision to do so would have resulted in unnecessary duplication. For the most part, extensive study and attention has been or is being given by other groups to these areas. These areas include real property taxation of Public Service Corporations, real property tax relief for rehabilitation, real property tax exemptions and the taxation of mineral lands.