New law reduces vehicle registration fees for Virginians, effective July 1

New Law Reduces Vehicle Registration Fees for Virginians

(Image: Courtesy PBS/YouTube)

RICHMOND, Va. (WFXR)– Virginia vehicle registration fees will now be reduced by $10 thanks to transportation legislation signed into effect.

Effective July 1, the legislation initiates transit funding changes, including increasing the statewide gas tax by five cents this year and next and the implementation of a highway use fee. The bill’s lessened vehicle registration fee will reflect a 25% reduction for most Virginians.

Carried out by House Speaker Eileen Filler-Corn and Senate Majority Leader Richard L. Saslaw, this legislation will contribute toward the comprehensive transportation package proposed earlier this year, with the goal to create sustainable funding for transit, rail, and roads, invest in systemic safety improvements, and support a multimodal system in Virginia.

“During this legislative session, the General Assembly delivered on our promise to improve the lives of Virginians in every corner of the Commonwealth,” said Speaker of the House of Delegates Eileen Filler-Corn. “I am proud that, by passing this important legislation, we have made our roads safer and created a sustainable transportation funding structure, all while lowering vehicle registration fees so Virginians can keep more of their hard-earned money. These measures are more critical now than ever as we move into the Commonwealth’s economic recovery from the COVID-19 pandemic and build our shared future together.”

Customers whose registration expire in July will see the fee reduction applied in their renewal notices. The annual base registration fees are reduced as follows:

Vehicle RegistrationOld FeeNew Fee
Passenger vehicles 4,000 lbs. or less$40.75$30.75
Passenger vehicles 4,001 lbs. or greater$45.75$35.75
Pickup and panel trucks 4,000 lbs. or less$40.75$30.76
Pickup and panel trucks 4,001 to 6,500 lbs.$45.75$35.75
Pickup and panel trucks 6,502 to 10,000 lbs.$51.75$44.75
Note: Motorhome registration fees remain unchanged

The highway use fee aspect of the bill- created so that all who use the roadways contribute toward construction and maintenance more equitably- will be based upon the vehicle’s fuel efficiency, repealing the $64 annual fee on all-electric and alternative fuel vehicles. the average fee is expected to be $19 in year one for most vehicles.

“The challenge was to identify a system that would maintain incentives for fuel-efficient vehicles while creating sustainable funding that was fair for all drivers,” said Nick Donohue, Director of the Office of Intermodal Planning and Investment.

DMV is re-opening offices across Virginia in phases as it is able to put appropriate precautions in place following Governor Northam’s Executive Directive Seven. Those offices are open by appointment only to handle specific services. For a complete list of services currently available in person, by appointment only, visit If a transaction can be conducted online or by mail, customers should use that method.

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