Virginia Pet Grooming Tax Bill (HB 900) — Delayed Until 2027

Update — February 25, 2026: HB 900 has been delayed until 2027. The bill did not advance out of the House Committee on Finance before the crossover deadline. Pet grooming, dog walking, and other companion animal services remain tax-free in Virginia for now. The bill could be reintroduced in the 2027 session.

If you've seen headlines about Virginia taxing dog walking and pet grooming, you're not alone. A bill currently moving through the General Assembly would add sales tax to pet care services for the first time — and pet owners across the Commonwealth are paying attention.

Here's what we know, what it could mean for your grooming costs, and what happens next.

The Basics: House Bill 900

  • Bill: HB 900, introduced January 14, 2026
  • Sponsor: Del. Richard C. "Rip" Sullivan Jr. (D-Fairfax)
  • Status: Did not advance — delayed until 2027
  • Original deadline: March 9, 2026 (crossover) — bill did not clear committee

What Would Be Taxed?

Under HB 900, "companion animal care" would become a taxable service in Virginia. This specifically includes:

  • Pet grooming
  • Dog walking
  • Pet boarding and kenneling
  • Pet training
  • Pet feeding services

What stays exempt: Veterinary medical procedures and services performed under licensed veterinary supervision would remain tax-free.

How Much Would It Add?

Virginia's combined state and local sales tax rate is currently 5.3% in most areas (4.3% state + 1% local). Some regions have higher rates.

Example: What This Means for a $75 Groom

ServiceCurrent PriceWith 5.3% Tax
Basic Groom (Medium Dog)$75.00$78.98
Full Groom (Large Doodle)$88.00$92.66
Spa Day Package$101.00$106.35

*Based on 5.3% combined sales tax rate. Actual rates may vary by locality.

For a dog groomed every 6 weeks, that's roughly $35-47 in additional taxes per year. Not huge for one household — but it adds up across the industry.

Why Is This Being Proposed?

HB 900 is part of a broader effort to expand Virginia's sales tax base beyond physical goods to include services. Supporters say:

  • Virginia's tax system is outdated and relies too heavily on goods
  • Expanding to services could generate significant revenue
  • Revenue would fund transportation and infrastructure projects

The bill also proposes taxing many other services including haircuts, dry cleaning, home repairs, gym memberships, streaming services, and delivery fees.

Concerns for Small Businesses

The National Federation of Independent Business (NFIB) has raised concerns about the proposal's impact on small businesses:

"These are not luxury services. They are everyday services people rely on and the kinds of small businesses that exist in nearly every community in Virginia."
— Nicole Hammond, NFIB Virginia State Director

For small, independent groomers like me, the concern isn't just the tax itself — it's the added complexity. Collecting sales tax, filing returns, and managing the paperwork adds administrative burden to businesses that are often one or two-person operations.

What Happened?

Timeline

  • January 14, 2026: HB 900 introduced
  • February–March 2026: Committee hearings
  • March 9, 2026: Crossover deadline — bill did not advance out of House Committee on Finance
  • 2027 session: Bill could be reintroduced

HB 900 did not make it out of committee before the crossover deadline, effectively killing it for the 2026 session. The bill could be reintroduced in 2027, but for now, pet grooming and other companion animal services remain tax-free in Virginia.

How to Stay Informed

If you want to follow the bill or share your thoughts with your representatives:

What This Means for Fancy Pet Salon

Good news: Nothing changes for now. Pet grooming remains tax-free in Virginia.

If a similar bill is reintroduced in 2027, I'll update this post with the latest information. In the meantime, our prices stay the same — no sales tax on your grooming appointments.

Last updated: March 14, 2026. This post is for informational purposes only and does not constitute tax or legal advice.

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