COVID-19 Impact on 2022 Vehicle Valuations

The following information provides insight about the J.D. Power (NADA) vehicle valuation for 2022. This only affects vehicles that are assessed by J.D. Power (NADA).

Due to the economic impacts of the COVID-19 pandemic that resulted in supply chain shortages impacting the production of new vehicles and unusual inflationary pressures, vehicles have appreciated in value beyond what could be considered fair market value based on data received from the J.D. Power (NADA) pricing guide.

The shortage of new vehicles has led to appreciating used vehicle values. In order to mitigate the impact of recent and temporary appreciation in automobile values, the Prince William Board of County Supervisors is providing temporary personal property tax relief to residents by utilizing a ratio of a vehicle’s assessed value when calculating the personal property tax in order to mitigate significant temporary increases in assessed values for vehicles since last year; the 2022 personal property tax assessment of vehicles will utilize an 80% ratio against the assessed value according to the J.D. Power (NADA) pricing guide. The use of the personal property tax assessment ratio shall apply retroactively and be effective as of January 1, 2022 and will expire and no longer be in effect after December 31, 2022.

Example: 2013 GMC Yukon Clean Trade-in Value per J.D. Power (NADA) is $18,800, therefore $18,800 x 80% = $15,040 is the assessed value on the personal property tax bill.