Leesburg Business License: Town License in Place of the County, Home Occupation Permit, County Tax
If your business operates inside the town limits of Leesburg, VA, you get your business license from the Town of Leesburg, not Loudoun County. Loudoun County still plays a role, because you register with the county for business personal property. This guide explains how the town license, the home occupation permit and the county tax fit together, who to contact for each, and the order to take the steps. It covers Leesburg, VA only.
This guide is informational content, not legal or tax advice. Talk to a qualified attorney or CPA before you make decisions about licensing, entity structure or taxes, especially if you run a home-based operation, have more than one location, or sell in more than one jurisdiction.
Who Issues the Leesburg, VA Business License
The Town of Leesburg Finance Department business license office issues the town's business license. Virginia has no general state business license, and the State Corporation Commission forms entities but issues no business license. These contact details have not been confirmed against the town website, so check both before you rely on them:
- Email: [email protected] (verify)
- Phone: 703-771-2723 (verify)
Ask the Finance Department for the current rate sheet, filing dates and application form. This guide does not state a town rate because none has been confirmed. Do not use a rate from another Virginia locality, or a state figure, as Leesburg's number.
Why the Town License Replaces the County Tax
Business, Professional and Occupational License (BPOL) tax is a local license tax under Va. Code 58.1-3700 et seq. It is not a state tax, and not every Virginia locality levies a general license. Va. Code 58.1-3704 allows a locality to levy none. Each locality sets its own rates and filing deadlines. Our explainer on how BPOL works by locality covers the framework in more detail.
Va. Code 58.1-3711 provides that a county license tax does not apply inside a town that taxes the same privilege. A business inside Leesburg's limits therefore deals with the town for its license. Loudoun County's own guidance says the same thing: town businesses contact the town for the license and still register with the county for business personal property. If your business is outside the town limits, the county rules apply instead. For those rules, read our Loudoun County business license and BPOL tax guide.
Who Handles What
| Item | Who handles it | What to know |
|---|---|---|
| Town business license | Town of Leesburg Finance Department | Get the rate sheet and filing dates from the town (contact details verify) |
| Business personal property registration | Loudoun Commissioner of the Revenue, Business Tax Division, 703-777-0260 (option 2) | Loudoun County's guidance says to register even when the license comes from the town |
| Home occupation permit | Town of Leesburg | One-time $50 fee reported (verify) |
| Sales tax | Virginia Department of Taxation | 6.0 percent in Loudoun |
| Meals tax | Town of Leesburg | 3.5 percent reported (verify) |
| Transient occupancy tax | Town of Leesburg | 6 percent plus 3 percent reported (verify) |
Population Thresholds and the Town License Floor
Population sets the minimum a locality can require. Under Virginia law, a locality over 50,000 people cannot require a license for businesses with gross receipts under $100,000. A locality with 25,000 to 50,000 people cannot require one for gross receipts under $50,000. No floor applies to a locality under 25,000 people. Localities over 50,000 people may also waive the license for businesses up to $200,000 in gross receipts (verify the waiver ceiling with the locality).
Leesburg's population is 49,917 on the Census Vintage 2025 estimate, which is just under 50,000. The statute allows a locality to use a different estimate, including the Weldon Cooper Center estimate. The floor and fee tier that apply to you therefore depend on which estimate the town uses. Do not assume a $50,000 or $100,000 floor. Ask the Finance Department which estimate it uses and what floor applies at your gross receipts level.
Home Occupation Permit: Zoning Comes First
If you run the business from your home, zoning review comes before the license. A home occupation permit is a separate approval from the business license, and the town decides whether your use qualifies. Ask whether your activity needs a home occupation permit and what conditions it would carry. A one-time home occupation permit fee of $50 has been reported, but it is not confirmed, so verify it with the town before you budget for it.
Do not submit your business license application until you know whether your home use is allowed in your zoning district and whether a permit is required. Starting operations before the zoning question is settled creates avoidable problems.
Loudoun County: Business Personal Property Registration
A town license does not replace the county's business personal property registration. Register with the Loudoun Commissioner of the Revenue through the Business Tax Division at 703-777-0260, option 2. The county's business personal property rate for business equipment is $4.15 per $100 of equipment value. Confirm how that rate applies to your equipment before you file, because your filing details depend on what you own and where it is located.
Town Tax Rates for Tax Year 2025
The town's tax year 2025 rates were:
- Real estate: 0.177
- Business personal property: 1.000
- Machinery and tools: 1.000
Ask the town how its bills and the county's bills combine. You want to know which bill covers which property before the first payment is due. These are 2025 figures, so confirm the rates for the current tax year before you plan around them.
Sales Tax, Meals Tax and Transient Occupancy Tax
Loudoun's sales tax rate is 6.0 percent. If you sell taxable goods or services, you need a sales tax permit from the Virginia Department of Taxation. Apply through the department's sales and use tax page. The main Virginia Tax site is tax.virginia.gov.
A 3.5 percent meals tax and a 6 percent plus 3 percent transient occupancy tax have been reported, but neither is confirmed. If you serve food or rent lodging, ask the Finance Department whether these taxes apply and what the filing schedule is before you open.
Town License Revenue Shows Active Licensing
The Auditor of Public Accounts reports that the Town of Leesburg collected $4.94 million in town license revenue in FY2024. The town licenses actively, so treat the license as a requirement, not an option.
Neighboring Towns
Purcellville, Middleburg, Round Hill and Lovettsville also run their own business licenses. The Loudoun County page covers those towns, so use it if your business sits in one of them rather than in Leesburg.
Common Mistakes to Avoid
- Registering only with the county and assuming that covers a business inside the town limits. A Leesburg location needs the town license.
- Assuming the town license also covers a home occupation permit. They are separate approvals.
- Assuming a population floor. Ask which estimate the town uses.
- Assuming a rate from another locality applies in Leesburg.
Checklist: Steps in Order
- Confirm the property is inside Leesburg's town limits. If it is outside, the county rules apply.
- Confirm zoning and whether a home occupation permit is required.
- Apply for the Town of Leesburg business license through the Finance Department.
- Register with the Loudoun Commissioner of the Revenue for business personal property.
Questions to Ask the Finance Department
- What is the current rate sheet, and when are filings due?
- Which population estimate does the town use, and what gross receipts floor applies to my business?
- Do I need a home occupation permit, and what is the fee?
- Do the meals tax or transient occupancy tax apply to my business?
- How do the town's and the county's property tax bills combine?
Related Guides
If you have not formed your business entity yet, read how to start an LLC in Virginia first. For the county side and how BPOL works, use the Loudoun County and BPOL links in the sections above.
This guide is informational only and is not legal or tax advice. Confirm every figure marked (verify) with the named agency before you rely on it.