How to Get a Business License in Alexandria, Virginia
Alexandria Business Licenses: What You Need to Know Before You Start
Alexandria is an independent Virginia city — not part of Fairfax County or any surrounding county — and it administers its own business license system entirely separate from neighboring jurisdictions. If your business is located in the City of Alexandria, you file with Alexandria. If it is located in Fairfax County, you file with Fairfax County. The two are completely separate systems, and filing in the wrong jurisdiction has real consequences.
Alexandria’s FIPS code is 51510. This code identifies the City of Alexandria specifically when filing with the Virginia Department of Taxation and on other state forms. Do not use a Fairfax County or Arlington County FIPS code for an Alexandria business.
The city’s business license is administered under the Business, Professional, and Occupational License (BPOL) tax system. BPOL is not a flat fee — it is a tax on your gross receipts calculated at a rate that depends on your business classification.
The Critical Rule: New Businesses Must File Immediately
There is no grace period for new businesses in Alexandria. The city requires that new businesses file and pay their business license on the first day of operation. This is not a technicality — it is enforced. Operating without a current business license exposes you to statutory assessments, penalties, and interest.
For existing businesses, the annual renewal deadline is March 1 of each year, based on the prior calendar year’s actual gross receipts.
Where to File and How to Contact the City
Department of Finance, Revenue Administration Division
Two office locations:
- 301 King Street, Suite 1700, Alexandria, VA 22314
- 4850 Mark Center Drive, Suite 2011, Alexandria, VA 22311
Office hours: Monday through Friday, 8:00 AM to 5:00 PM
Email: [email protected]
Mailing address: P.O. Box 178, Alexandria, VA 22313
Online portal: businesstaxportal.alexandriava.gov
Download application forms from the Tax Forms section of alexandriava.gov.
How BPOL Gross Receipts Are Calculated — No Deductions Allowed
This is the aspect of Alexandria’s BPOL that surprises many new business owners: gross receipts are calculated without any deductions whatsoever. You cannot subtract:
- Cost of goods sold
- Materials and supplies
- Labor costs
- Services purchased from subcontractors
- Interest paid
- Discounts given to customers
The tax applies to the full gross revenue your business generates, regardless of your net profit or the underlying costs of generating that revenue. A business with $500,000 in gross receipts but $490,000 in costs still pays BPOL on the full $500,000.
You must use either cash basis or accrual basis accounting consistently, and your chosen method must match the method you use on your federal tax return. You cannot switch methods year to year.
Shared Zip Codes: Confirm You Are in Alexandria Before Filing
Several zip codes are shared between the City of Alexandria and neighboring jurisdictions. If your business address is in one of the following zip codes, you must confirm your jurisdiction before filing:
- 22302, 22304, 22311, 22312 — split between Fairfax County and City of Alexandria
- 22206 — split between Arlington County and City of Alexandria
Use the city’s online GIS property lookup tool or contact the Revenue Administration Division at [email protected] with your address to confirm jurisdiction. Filing in the wrong locality is a correctable problem, but it requires unwinding duplicate filings and potential duplicate payments — an unnecessary headache that is entirely avoidable.
What the BPOL Application Requires
Download the business license application from alexandriava.gov Tax Forms and complete it in full. Required information by entity type:
LLC: Provide the name and Social Security Number for each member of the LLC.
Corporation: Provide your registered agent’s name and information as recorded with the SCC.
Partnership: List all partners. If there are multiple partners, attach a separate sheet with each partner’s full information.
For new businesses without prior gross receipts history, estimate your expected gross receipts for the current year. This estimate determines your initial payment. You will reconcile the estimate against actual gross receipts at the next annual renewal.
Business License Fees and Rates
The minimum fee in Alexandria is $50 for businesses with gross receipts under $100,000. For businesses above that threshold, the rate per $100 of gross receipts varies by business classification:
The classification system groups businesses into categories — retail, wholesale, professional services, financial services, contracting, repair services, personal services, and others. Each category carries a specific rate. Your Deputy Classification determines which rate applies to your business.
When you file, the city will confirm your classification and apply the correct rate to your reported gross receipts.
The Statutory Assessment: What Happens If You Don’t File
Failure to file a BPOL return on time triggers a statutory assessment — the city’s estimate of what you owe:
- If you have a prior year on record: The statutory assessment is set at 15% above the previous year’s license amount. This means procrastinating costs you an automatic 15% surcharge before any penalties or interest.
- If you have no prior history in Alexandria: The city estimates your gross receipts based on a comparable business in your industry and assesses accordingly.
Statutory assessments do not replace the actual tax owed — they establish a preliminary obligation that carries additional penalties and interest until resolved. The correct amount is determined when you finally file your return.
New businesses subject to immediate filing cannot use the argument that they were unaware of the requirement. File the day you open.
The Online Business Tax Portal
businesstaxportal.alexandriava.gov is Alexandria’s online filing and payment system. Using the portal is faster than mailing paper forms and provides an immediate confirmation of receipt.
Accessing the portal requires a one-time PIN. The city originally mailed PINs beginning in April 2019. If you have not received a PIN or are setting up a new account, contact the Revenue Administration Division directly to obtain portal access. The email [email protected] or a visit to either office location can resolve portal access issues.
Transferring a Business License When You Buy an Existing Business
If you are purchasing an existing Alexandria business and want to operate under a transferred license rather than applying fresh, the process requires:
- A notarized Request for Transfer form obtained from the Revenue Administration Division
- A copy of the purchase agreement
Both documents are submitted together to the Revenue Administration Division. The notarization requirement means you cannot handle this at the last minute — schedule accordingly within your acquisition closing timeline. Contact the office in advance to get the current version of the transfer form, as forms are updated periodically.
Exclusions from Gross Receipts: COVID Relief Funds
Under Va. Code § 58.1-3732(A)(4), the following funds are excluded from Alexandria gross receipts and do not count toward your BPOL calculation:
- EIDL — Economic Injury Disaster Loans
- PPP — Paycheck Protection Program loans and grants
- AEDP B2B grants — grants issued through the Alexandria Economic Development Partnership’s Business-to-Business program
If you received any of these in a prior tax year and included them in gross receipts, consult a tax professional about filing amended returns to recover any overpayment.
Home-Based Businesses and Business License Requirements
Operating a business from your home in Alexandria does not exempt you from the BPOL requirement. If you are conducting business — generating gross receipts — from a home in Alexandria, you need a business license. Home occupation is also subject to zoning restrictions: the business cannot change the residential character of the property, client visits may be restricted, employees working at the home may be prohibited, and exterior signage is typically not permitted.
Contact the Department of Planning & Zoning to confirm whether your intended home occupation is permitted under the zoning code before you begin operating.
Annual Renewal Process
Existing Alexandria businesses renew their BPOL license on or before March 1 each year. The renewal reports actual gross receipts from the prior calendar year. The renewal process:
- Log into the portal at businesstaxportal.alexandriava.gov, or download the renewal form from alexandriava.gov Tax Forms
- Report your actual gross receipts for the prior calendar year
- Calculate the tax owed (or confirm the minimum $50 applies)
- Pay by March 1
If your gross receipts for the prior year were under $100,000, the minimum fee of $50 applies regardless of the actual amount. If your receipts exceeded $100,000, calculate tax at your classification’s rate.
If you fail to renew by March 1, the statutory assessment process described above applies.
Additional Tax Obligations on the Same Application
Alexandria’s business license application also covers trust taxes — taxes you collect from customers and hold in trust for the city:
- Meals tax: If you operate a food service establishment, you collect meals tax from customers and remit it to the city monthly
- Lodging tax: If you operate a hotel, motel, or short-term rental, lodging tax applies
- Admissions tax: If you charge admission fees, the admissions tax may apply
These trust taxes are reported on the same application form as your BPOL license. Failing to remit trust taxes is treated more seriously than failing to pay your own BPOL — trust taxes are funds collected from customers on the city’s behalf, and misappropriating them carries additional penalties.
Summary: Alexandria Business License Steps
- Confirm your business address is in the City of Alexandria — especially if your zip code is 22302, 22304, 22311, 22312, or 22206
- Download the business license application from alexandriava.gov Tax Forms
- Complete the application with the required entity information (members/SSNs for LLCs, registered agent for corporations, all partners for partnerships)
- Estimate gross receipts for the current year if you are a new business
- File and pay on the first day of business — no grace period
- Set up portal access at businesstaxportal.alexandriava.gov for future filings
- Renew annually by March 1 based on prior year actual gross receipts
- Exclude EIDL, PPP, and AEDP B2B grants from gross receipts per Va. Code § 58.1-3732(A)(4)
Contact the Revenue Administration Division at either office, by email at [email protected], or through the online portal. Both offices are open Monday through Friday, 8:00 AM to 5:00 PM. Mail filings go to P.O. Box 178, Alexandria, VA 22313.