Governor Clarifies: Proposed Tax Changes Never Became Law

A wave of confusion over taxes in Virginia is being addressed by the governor’s office, which says several widely discussed proposals never became law because they were never passed by the General Assembly.

In a statement released just before a key deadline, Governor Abigail Spanberger’s office said dozens of tax-related bills circulating online did not reach her desk. Lawmakers must pass legislation through both chambers before it can be sent to the governor for approval.

The bills in question failed earlier in the legislative process, many never making it out of their chamber of origin or coming up for a vote before the session ended on March 14.

Among the proposals were measures that would have expanded the state sales tax to cover services such as gym memberships, pet grooming, home and vehicle repairs, and digital services like streaming and data storage. Other proposals included taxes on large employers, firearms and ammunition sales, and delivery or rideshare services.

Because those bills did not pass, the governor had no action to take.

“The facts are straightforward,” the governor’s office said, noting that misinformation about the proposals had spread on social media and in some news coverage.

The statement also highlighted the governor’s focus on affordability, pointing to recently signed bipartisan legislation aimed at lowering costs for healthcare, housing, and energy.

Officials said the administration is also working to grow the state’s economy. Since taking office, more than $580 million in new business investments have been announced across Virginia, expected to create more than 2,000 jobs.

The clarification comes as confusion among residents persists about which tax changes are actually under consideration and which proposals never moved forward.

The following bills died in the General Assembly on February 18, 2026, when the legislation did not get sent to the opposite chamber for consideration because the bills did not pass — or even come up for a vote — in their chamber of origin. The 2026 General Assembly Session ended on March 14, 2026.

• HB978, HB900, SB730 — State sales tax expansion to include several or all of the services listed below:
• Gym membership
• Storage facility use
• Dog walking
• Dog grooming
• Counseling
• Vehicle repair
• Home repair
• Dry cleaning
• Cosmetic services
• Software application service
• Computer-related services
• Website hosting and design
• Data storage, and
• Digital subscription services
• HB243 — Tax on large employers
• HB378 — Investment income tax on individuals, trusts, and estates
• HB1179, SB638:
• Regional sales and use tax for certain localities
• Tax on transportation network companies (i.e., Uber/Lyft)
• Tax on retail deliveries (i.e., DoorDash/Uber Eats)
• Tax on regional commercial parking
• HB919, SB763 — Tax on firearms and ammunition sales

For more information about how a bill becomes a law, click here.