Cost of Doing Business

Cost of Doing Business

The cost of conducting business here is significantly lower than the national average, primarily due to our low City and state tax rates, competitive wages, and transportation infrastructure that provides businesses access to more than two-thirds of the U.S. population within a two-day drive.​

Our Advantages

• For data centers: accelerated appreciation for qualified data centers on computers and peripherals used in data centers* the tax rate is $0.40 per $100 of assessed value, with a depreciation schedule of 40 percent of the original cost (data centers must meet the code requirement in order to qualify for the discounted rate)
• For manufacturers: Virginia Beach is one of the few in Virginia to eliminate the machinery and tools tax.
• Incentive program for new qualifying businesses: If you meet the code qualifications and have gross receipts over $200,000 for the first two license years you will only pay $50.00 each year.

Source: City of Virginia Beach Commissioner of the Revenue, 2023

In ​2019, Forbes.com and Forbes Magazine placed Virginia as the 4th Best State for Business.
Virginia ranked No. 1 in CNBC’s 2021 America’s Top States for Business competition. The state took the top spot five times and it is the first state to achieve the honor twice in a row.