Finance Committee Agenda
Chair: Watts, Vivian E.
Meeting Date & Time: 02/11/2026 15 minutes after adjournment of House Add to Calendar
Location: House Committee Room B - 205
Testimony/Comments: Sign up to speak or submit comments (opens in a new window)
Video: Archived
Committee Clerk: 804-698-1947 - Vonny Powell, Clerk
DLS Contact: (804) 698-1863 - Rebecca Schultz, Attorney
Subcommittee #1 Report
| Bill(s) | Patron | Title |
|---|---|---|
| HB400 | Herring | Motion picture production; increases aggregate cap on tax credit, extends sunset. |
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Summary: An Act to amend and reenact § 58.1-439.12:03 of the Code of Virginia, relating to motion picture production income tax credit; sunset extended. Reported from Finance with amendment(s) (18-Y 3-N)Yeas (18): Watts, Hernandez, Sullivan, Bennett-Parker, Anthony, Callsen, Gardner, Keys-Gamarra, Maldonado, Pope Adams, Cole, N.T., Carroll, Dougherty, Franklin, M.A., Bulova, McNamara, Walker, Davis Nays (3): Ware, Runion, Garrett Not Voting (1): Fowler Last actions:
Senate Committee Actions: • 3/4/2026 - Engrossed by Senate - floor substitute • 3/4/2026 - Passed Senate with substitute (25-Y 15-N 0-A) • 3/4/2026 - Reconsideration of Senate passage agreed to by Senate (40-Y 0-N 0-A) • 3/4/2026 - Passed Senate with substitute (24-Y 16-N 0-A) • 3/4/2026 - Engrossed by Senate - floor substitute Related Bills: SB828 (Bagby) Subcommittee #1 Subcommittee recommends reporting with amendment(s) (11-Y 0-N) |
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| HB563 | Reid | Personal property taxation; establishes classification for major energy consumer equipment upgrades. |
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Summary: A BILL to amend and reenact § 58.1-3506 of the Code of Virginia, relating to personal property taxation; classifications; major energy consumer equipment upgrades.
Continued to next session in Finance (Voice Vote) Last actions:
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| HB609 | McNamara | Income tax, corporate; sourcing of sales, other than sales of tangible personal property. |
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Summary: A BILL to amend and reenact §§ 58.1-416, as it is effective and as it may become effective, 58.1-422.4, and 58.1-422.5, as it may become effective, of the Code of Virginia and to repeal the third enactment of Chapter 256 and the third enactment of Chapter 257 of the Acts of Assembly of 2022, relating to corporate income tax; sourcing of sales other than sales of tangible personal property.
Continued to next session in Finance (Voice Vote) Last actions:
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| HB641 | Krizek | Virginia's Great Outdoors Act; established, creates data center land conservation tax. |
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Summary: A BILL to amend and reenact § 58.1-512 of the Code of Virginia; to amend the Code of Virginia by adding in Title 10.1 a chapter numbered 21.3, consisting of sections numbered 10.1-2141, 10.1-2142, and 10.1-2143, and by adding in Chapter 17 of Title 58.1 an article numbered 13, consisting of sections numbered 58.1-1749 and 58.1-1750; and to repeal § 2.2-1509.4 of the Code of Virginia, relating to Virginia's Great Outdoors Act established; data center land conservation tax; land preservation distributions and appropriations.
Continued to next session in Finance (Voice Vote) Last actions:
Related Bills: SB393 (Perry) |
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| HB697 | Kent | Income tax, state; credit for surviving spouse's real property taxes. |
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Summary: A BILL to amend the Code of Virginia by adding in Article 3 of Chapter 3 of Title 58.1 a section numbered 58.1-339.15, relating to income tax; credit for surviving spouse's real property taxes. Reported from Finance and rereferred to Appropriations (21-Y 0-N)Yeas (21): Watts, Hernandez, Sullivan, Bennett-Parker, Anthony, Callsen, Gardner, Keys-Gamarra, Maldonado, Pope Adams, Cole, N.T., Carroll, Dougherty, Franklin, M.A., Bulova, Ware, McNamara, Walker, Runion, Garrett, Davis Not Voting (1): Fowler Last actions:
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| HB784 | Anderson | RS and UT; commercial and industrial exemptions, disclosure of data center operator exemption. |
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Summary: A BILL to amend and reenact §§ 58.1-3 and 58.1-609.3 of the Code of Virginia, relating to retail sales and use tax; commercial and industrial exemptions; disclosure of data center operator exemption.
Incorporated by Finance (HB897-Sullivan) (Voice Vote) Last actions:
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| HB897 | Sullivan | Retail Sales and Use Tax; exemption for data centers, delayed effective date. |
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Summary: A BILL to amend and reenact § 58.1-609.3 of the Code of Virginia, relating to retail sales and use tax; commercial and industrial exemptions; data centers. Reported from Finance with substitute and rereferred to Appropriations (16-Y 5-N)Yeas (16): Watts, Hernandez, Sullivan, Bennett-Parker, Anthony, Callsen, Gardner, Keys-Gamarra, Maldonado, Pope Adams, Cole, N.T., Carroll, Dougherty, Franklin, M.A., Bulova, Ware Nays (5): McNamara, Walker, Runion, Garrett, Davis Not Voting (1): Fowler Last actions:
Senate Committee Actions: • 2/18/2026 - Constitutional reading dispensed (on 1st reading) • 2/18/2026 - Referred to Committee on Finance and Appropriations • 3/3/2026 - Placed on Finance and Appropriations docket for Mar 03, 2026 Commerce, Agriculture and Natural Resources Subcommittee Subcommittee recommends reporting with substitute (5-Y 2-N) |
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| HB961 | Watts | Retail Sales and Use Tax; commercial and industrial exemptions, data centers. |
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Summary: A BILL to amend and reenact § 58.1-609.3 of the Code of Virginia, relating to retail sales and use tax; commercial and industrial exemptions; data centers.
Incorporated by Finance (HB897-Sullivan) (Voice Vote) Last actions:
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| HB1132 | Reid | Data center tax revenue; creates local residential renewable energy incentive program. |
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Summary: A BILL to amend the Code of Virginia by adding in Chapter 32 of Title 58.1 an article numbered 4.3, consisting of sections numbered 58.1-3246 through 58.1-3249, relating to data center tax revenue; local residential renewable energy incentive program; tangible personal property tax reimbursement; penalty.
Continued to next session in Finance (Voice Vote) Last actions:
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| HB1258 | Scott, P.A. | Pass-through limitation tax credit; report, penalty. |
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Summary: A BILL to amend the Code of Virginia by adding in Article 3 of Chapter 3 of Title 58.1 a section numbered 58.1-339.15, relating to pass-through limitation tax credit; report; penalty. Last actions:
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| HB1461 | Franklin, M.A. | Income tax, state & corporate; microchip & semiconductor manufacturing & supply chain tax credits. |
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Summary: A BILL to amend the Code of Virginia by adding in Article 13 of Chapter 3 of Title 58.1 a section numbered 58.1-439.12:13, relating to microchip and semiconductor manufacturing and supply chain tax credits. Tabled in Finance (19-Y 2-N)Yeas (19): Watts, Hernandez, Sullivan, Bennett-Parker, Anthony, Callsen, Gardner, Keys-Gamarra, Pope Adams, Cole, N.T., Carroll, Dougherty, Franklin, M.A., Bulova, Ware, McNamara, Walker, Runion, Davis Nays (2): Maldonado, Garrett Not Voting (1): Fowler Last actions:
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Subcommittee #1 - Legislation Recommended to Continue to 2027
| Bill(s) | Patron | Title |
|---|---|---|
| HB243 | Cole, J.G. | Corporate welfare tax; imposes on large employers a tax equal to 100% of qualified employee benefit. |
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Summary: A BILL to amend and reenact § 2.2-3905 of the Code of Virginia and to amend the Code of Virginia by adding in Chapter 17 of Title 58.1 an article numbered 13, consisting of a section numbered 58.1-1749, relating to corporate welfare tax.
Continued to next session in Finance (Voice Vote) Last actions:
Subcommittee #1 Subcommittee recommends continuing to (Voice Vote) |
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| HB504 | McAuliff | Income tax, state; tax credit for certain small businesses. |
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Summary: A BILL to amend the Code of Virginia by adding in Article 3 of Chapter 3 of Title 58.1 a section numbered 58.1-339.15, relating to income tax; small business tax credit.
Continued to next session in Finance (Voice Vote) Last actions:
Subcommittee #1 Subcommittee recommends continuing to (Voice Vote) |
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| HB720 | Zehr | Material harmful to minors; creates tax on electronic distribution. |
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Summary: A BILL to amend the Code of Virginia by adding in Chapter 17 of Title 58.1 an article numbered 13, consisting of a section numbered 58.1-1749, relating to tax on electronic distribution of material harmful to minors.
Continued to next session in Finance (Voice Vote) Last actions:
Subcommittee #1 Subcommittee recommends continuing to (Voice Vote) |
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| HB946 | Franklin, L.V. | Income tax, state; affordable rental housing tax credit. |
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Summary: A BILL to amend the Code of Virginia by adding in Article 13 of Chapter 3 of Title 58.1 a section numbered 58.1-439.12:13, relating to income tax credit; affordable rental housing tax credit.
Continued to next session in Finance (Voice Vote) Last actions:
Subcommittee #1 Subcommittee recommends continuing to (Voice Vote) |
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| HB1133 | Reid | Virginia Solar Energy and Battery Energy Storage Systems Program; established. |
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Summary: A BILL to amend the Code of Virginia by adding in Chapter 19 of Title 45.2 an article numbered 4, consisting of sections numbered 45.2-1918 through 45.2-1922, and by adding in Article 13 of Chapter 3 of Title 58.1 a section numbered 58.1-439.12:13, relating to Department of Energy; Virginia Solar Energy and Battery Energy Storage Systems Program and tax credit; solar energy and battery energy storage projects.
Continued to next session in Finance (Voice Vote) Last actions:
Subcommittee #1 Subcommittee recommends continuing to (Voice Vote) |
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| HB1230 | Sewell | Income tax, state; sustainable aviation fuel production tax credit. |
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Summary: A BILL to amend the Code of Virginia by adding in Article 13 of Chapter 3 of Title 58.1 a section numbered 58.1-439.12:13, relating to income tax; sustainable aviation fuel production tax credit.
Continued to next session in Finance (Voice Vote) Last actions:
Subcommittee #1 Subcommittee recommends continuing to (Voice Vote) |
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Subcommittee #2 Report
HB1094 to be incorporated into HB919
| Bill(s) | Patron | Title |
|---|---|---|
| HB919 | Lopez | Retail Sales and Use Tax; impose firearm and ammunition tax. |
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Summary: A BILL to amend the Code of Virginia by adding in Title 58.1 a chapter numbered 6.3, consisting of sections numbered 58.1-663 through 58.1-666, relating to retail sales and use tax; firearm and ammunition tax. Reported from Finance with substitute (14-Y 7-N)Yeas (14): Watts, Hernandez, Sullivan, Bennett-Parker, Anthony, Callsen, Gardner, Keys-Gamarra, Maldonado, Pope Adams, Cole, N.T., Dougherty, Franklin, M.A., Bulova Nays (7): Carroll, Ware, McNamara, Walker, Runion, Garrett, Davis Not Voting (1): Fowler Last actions:
Subcommittee #2 Subcommittee recommends reporting with substitute (7-Y 2-N); Subcommittee recommends reporting with substitute (5-Y 4-N) |
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| HB954 | Watts | Rounding procedures; taxes and fees calculated, report. |
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Summary: An Act to amend the Code of Virginia by adding in Article 1 of Chapter 2 of Title 6.2 sections numbered 6.2-200.1 and 6.2-200.2, relating to rounding procedures. Reported from Finance with substitute (21-Y 0-N)Yeas (21): Watts, Hernandez, Sullivan, Bennett-Parker, Anthony, Callsen, Gardner, Keys-Gamarra, Maldonado, Pope Adams, Cole, N.T., Carroll, Dougherty, Franklin, M.A., Bulova, Ware, McNamara, Walker, Runion, Garrett, Davis Not Voting (1): Fowler Last actions:
Senate Committee Actions: • 3/4/2026 - Read third time • 3/4/2026 - Finance and Appropriations Substitute agreed to • 3/4/2026 - Engrossed by Senate - committee substitute • 3/4/2026 - Passed Senate with substitute Block Vote (40-Y 0-N 0-A) • 3/4/2026 - Passed Senate with substitute Block Vote (40-Y 0-N 0-A) Subcommittee #2 Subcommittee recommends reporting with substitute (10-Y 0-N) |
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| HB1008 | Tran | Motor vehicle sales and use tax; exemption for electric vehicles, etc. |
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Summary: A BILL to amend and reenact § 58.1-2403 of the Code of Virginia, relating to motor vehicle sales and use tax; exemption. Reported from Finance with substitute (21-Y 0-N)Yeas (21): Watts, Hernandez, Sullivan, Bennett-Parker, Anthony, Callsen, Gardner, Keys-Gamarra, Maldonado, Pope Adams, Cole, N.T., Carroll, Dougherty, Franklin, M.A., Bulova, Ware, McNamara, Walker, Runion, Garrett, Davis Not Voting (1): Fowler Last actions:
Senate Committee Actions: • 2/18/2026 - Constitutional reading dispensed (on 1st reading) • 2/18/2026 - Referred to Committee on Finance and Appropriations • 3/3/2026 - Placed on Finance and Appropriations docket for Mar 03, 2026 • 3/3/2026 - Continued to next session in Finance and Appropriations (15-Y 0-N) Subcommittee #2 Subcommittee recommends reporting with substitute (10-Y 0-N) |
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| HB1094 | Laufer | Firearms; excise tax on manufacturers. |
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Summary: A BILL to amend the Code of Virginia by adding in Title 58.1 a chapter numbered 6.3, consisting of sections numbered 58.1-663 through 58.1-666, relating to retail sales and use tax; firearm and ammunition tax.
Incorporated by Finance (HB919-Lopez) (Voice Vote) Last actions:
Related Bills: SB763 (Williams Graves) Subcommittee #2 Subcommittee recommends incorporating (Voice Vote) |
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| HB1474 | O'Quinn | Retail Sales and Use Tax; exceptions for aircraft dealers. |
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Summary: A BILL to amend and reenact §§ 58.1-1502, 58.1-1503, 58.1-1506, and 58.1-1510 of the Code of Virginia and to repeal § 58.1-1507 of the Code of Virginia, relating to Virginia aircraft sales and use tax; exception for dealers. Last actions:
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Subcommittee #3 - Incorporation
HB188 to be incorporated into HB979
| Bill(s) | Patron | Title |
|---|---|---|
| HB188 | Convirs-Fowler | Income tax, state; establishes a new income tax bracket beginning in taxable year 2026. |
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Summary: A BILL to amend and reenact § 58.1-320 of the Code of Virginia and to amend the Code of Virginia by adding a section numbered 58.1-320.1, relating to imposition of income tax.
Incorporated by Finance (HB979-Watts) (Voice Vote) Last actions:
Subcommittee #3 Subcommittee recommends incorporating (Voice Vote) |
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Subcommittee #3 - Legislation Recommended to Continue to 2027
| Bill(s) | Patron | Title |
|---|---|---|
| HB13 | McNamara | RS and UT; food purchased for human consumption and essential personal hygiene products. |
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Summary: A BILL to amend and reenact §§ 58.1-603.1, as it is currently effective and as it may become effective, 58.1-603.2, 58.1-604.01, as it is currently effective and as it may become effective, 58.1-605.1, 58.1-606.1, and 58.1-611.1 of the Code of Virginia, relating to sales and use tax; food purchased for human consumption and essential personal hygiene products.
Continued to next session in Finance (Voice Vote) Last actions:
Subcommittee #3 Subcommittee recommends continuing to (Voice Vote) |
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| HB372 | Price | Income tax, state; removes sunset from and makes permanent increase in refundable earned tax credit. |
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Summary: A BILL to amend and reenact § 58.1-339.8 of the Code of Virginia, relating to earned income tax credit.
Continued to next session in Finance (Voice Vote) Last actions:
Subcommittee #3 Subcommittee recommends continuing to (Voice Vote) |
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| HB703 | Tata | RS & UT; food for human consumption and essential personal hygiene products, delayed effective date. |
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Summary: A BILL to amend and reenact §§ 58.1-603.1, as it is currently effective and as it may become effective, 58.1-603.2, 58.1-604.01, as it is currently effective and as it may become effective, 58.1-605.1, 58.1-606.1, and 58.1-611.1 of the Code of Virginia, relating to sales and use tax; food purchased for human consumption and essential personal hygiene products.
Continued to next session in Finance (Voice Vote) Last actions:
Related Bills: SB9 (Suetterlein) Subcommittee #3 Subcommittee recommends continuing to (Voice Vote) |
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| HB900 | Sullivan | Sales & use tax on taxable services & digital personal property; taxes levied in certain districts. |
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Summary: A BILL to amend and reenact §§ 33.2-358, 33.2-371, 33.2-1524, 33.2-1524.1, 33.2-1526.1, 33.2-3401, 33.2-3402, 33.2-3403, 33.2-3502, 46.2-774, 58.1-602, 58.1-603, as it is currently effective and as it may become effective, 58.1-609.5, 58.1-609.11, 58.1-612, 58.1-623, 58.1-647, and 58.1-648 of the Code of Virginia; to amend the Code of Virginia by adding in Article 2 of Chapter 19 of Title 33.2 a section numbered 33.2-1904.1, by adding in Article 11 of Chapter 19 of Title 33.2 a section numbered 33.2-1937, by adding in Chapter 24 of Title 33.2 a section numbered 33.2-2402, by adding in Chapter 7 of Title 46.2 a section numbered 46.2-775, by adding sections numbered 58.1-603.3 and 58.1-612.3, and by adding in Chapter 17 of Title 58.1 an article numbered 13, consisting of a section numbered 58.1-1749; and to amend Chapter 766 of the Acts of Assembly of 2013 by adding a nineteenth enactment, relating to sales and use tax on taxable services and digital personal property; taxes levied in certain transportation districts; funding for transportation.
Continued to next session in Finance (Voice Vote) Last actions:
Related Bills: SB730 (Surovell) Subcommittee #3 Subcommittee recommends continuing to (Voice Vote) |
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| HB978 | Watts | Retail Sales and Use Tax; taxation on various services, includes digital personal property. |
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Summary: A BILL to amend and reenact §§ 58.1-602, 58.1-603, as it is currently effective and as it may become effective, 58.1-603.1, as it is currently effective and as it may become effective, 58.1-603.2, 58.1-604.01, as it is currently effective and as it may become effective, 58.1-605.1, 58.1-606.1, 58.1-609.5, 58.1-609.11, 58.1-611.1, 58.1-612, 58.1-623, 58.1-638, 58.1-647, and 58.1-648, relating to taxation in the Commonwealth.
Continued to next session in Finance (Voice Vote) Last actions:
Subcommittee #3 Subcommittee recommends continuing to (Voice Vote) |
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| HB979 | Watts | Taxation provisions; increases standard deduction. |
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Summary: A BILL to amend and reenact §§ 58.1-320, 58.1-322.03, 58.1-339.8, 58.1-439.30, 58.1-603.1, as it is currently effective and as it may become effective, 58.1-603.2, 58.1-604.01, as it is currently effective and as it may become effective, 58.1-605.1, 58.1-606.1, and 58.1-611.1 of the Code of Virginia and to amend the Code of Virginia by adding a section numbered 58.1-320.1 and by adding in Article 3 of Chapter 3 of Title 58.1 a section numbered 58.1-339.15, relating to taxation provisions.
Continued to next session in Finance (Voice Vote) Last actions:
Subcommittee #3 Subcommittee recommends continuing to (Voice Vote) |
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| HB1074 | Hernandez | State taxation; numerous changes to the Commonwealth's tax structure. |
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Summary: A BILL to amend and reenact §§ 58.1-320, 58.1-322.02, 58.1-322.03, and 58.1-339.8 of the Code of Virginia and to amend the Code of Virginia by adding in Article 3 of Chapter 3 of Title 58.1 sections numbered 58.1-339.15 and 58.1-339.16, relating to state taxation in the Commonwealth.
Continued to next session in Finance (Voice Vote) Last actions:
Subcommittee #3 Subcommittee recommends continuing to (Voice Vote) |
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Bills Before the Committee
| Bill(s) | Patron | Title |
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| HB33 | McNamara | Income tax, state; pass-through entities, sunset. |
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Summary: A BILL to amend and reenact § 58.1-390.3 of the Code of Virginia, relating to income tax; pass-through entities; sunset. Last actions:
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| HB1156 | Hodges | Sales and use tax; additional local tax to support schools, referendum. |
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Summary: A BILL to amend and reenact §§ 58.1-602, 58.1-605, 58.1-605.1, and 58.1-606.1 of the Code of Virginia, relating to additional local sales and use tax to support schools; referendum. Last actions:
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