Prince William Tax Bills Rise $181, Budget Shock

Why Prince William Taxes Are Rising in 2026

Although the Prince William County Board of Supervisors adopted the fiscal 2026 budget on April 24, 2025, the most immediate disruption for residents and major industrial taxpayers arrives in the 2026 cycle. The budget approval included a tax hike.

A planned real estate tax hike targets both data centers and homeowners.

Revenue pressures

Debate before the vote focused on local revenue needs and pressures tied to growth. Chicago’s experience, including a 16.7% median increase in residential property tax bills, has heightened concerns about how quickly homeowner costs can escalate.

Homeowner rate changes were folded into the plan, driving a projected $181 shock.

Data center costs and services

A separate data center tax increase was approved to offset development costs and fund infrastructure needs.

Officials tied the higher levy to essential services and service restoration.

The increase takes effect in the 2026 cycle, with monitoring planned for impacts on residents and property owners.

How Much the Average Prince William Homeowner Pays

The 2026 rate shift is expected to show up most clearly in the typical homeowner’s annual bill.

Countywide Median Costs

Prince William County’s effective property tax rate is about 1.04 percent, slightly above the national 1.02 percent.

Alternative sources place the rate near 1.00 percent.

In places like Philadelphia, higher realty transfer taxes have similarly raised transaction-related costs for homeowners and buyers.

Applied to a median home value near $464,800, that implies roughly $4,859 in taxes.

That’s close to the reported median bill of $4,796.

Range Across Bills

Bills vary with assessed values and local assessments within the county.

Countywide, the 25th percentile bill is about $3,793, while the 75th percentile is $6,339.

Bristow snapshot

In Bristow, the median bill is higher at $6,215.

Most bills fall between $4,819 and $6,965.

Upper-end bills reach about $7,500 to $7,591.

What Changed: Fire Levy vs. Other Tax Drivers

In a budget fight that exposed sharp divisions over tax relief and public safety funding, Prince William County kept the fire levy at $0.072 per $100 of assessed value for fiscal 2026.

Fire

Vote

Levy politics stalled when a 4-4 straw poll rejected $0.0684.

The $0.072 rate stayed, adding about $22 to the average bill for homeowners countywide.

Spending

Chief Thomas LaBelle said impacts on fire and rescue staffing needed internal review.

Drivers

Revenue shift

Separate from the levy, higher computer and peripherals taxes on data centers became the main new revenue source.

Oversight

Funding transparency became a flashpoint as supervisors warned against trading public safety funding for tax deals.

1. Rate: $0.072.
2. Cut failed: 4-4.
3. Bill impact: $22.
4. Other driver: data center equipment tax.

Prince William Data Center Tax Rate: $3.70 to $4.15

County officials lifted the business computer and peripherals tax rate to $4.15 per $100 of assessed value for fiscal 2026, up from $3.70.

The $0.45 adjustment follows the previous year’s jump from $2.15 to $3.70, doubling the levy in two years.

Disruption for Data Center Operators

The tax applies to business computing equipment and peripherals, with data centers carrying the largest exposure.

Higher rates raise operating costs and widen the gap with the reduced vehicle personal property levy.

Revenue Stakes Inside the Budget

County projections tie the increase to about $18 million in added data center revenue, supporting school transfers and employee pay increases.

For tax calculation, bills hinge on assessed value of eligible equipment.

Businesses may use appeal options if valuations seem materially incorrect.

Key Dates: April 22 Vote, July 1 Start

Ahead of the April 22, 7 p.m. meeting, the Prince William Board of County Supervisors is scheduled to formally adopt the fiscal 2026 budget after earlier straw poll markups.

It includes a public hearing for resident comment.

April 22 Vote Heightens Rate Volatility

Pre-adoption targets

1. Real estate: $0.906 per $100.
2. Data center computers: $4.15.
3. Fire levy: $0.072.
4. Vehicle tax: $3.70.

Residents may speak before the vote at 7 p.m.

Adoption is expected that night in chambers.

The markup followed County Executive Chris Shorter’s $1.99 billion proposal.

July 1 Start Brings Collection Shock

Implementation timeline

Fiscal 2026 begins July 1, activating adjusted rates.

Average residential bills are projected to rise $273 annually.

Collections shift.

Data center changes are expected to add $18 million starting July 1.

Assessment

Prince William County homeowners are facing higher 2026 tax bills as the adopted budget shifts costs into the general levy and raises the effective rate.

The added fire levy and other spending pressures increase payments even for stable assessments.

Data center properties see the rate climb from $3.70 to $4.15, signaling greater reliance on the commercial tax base.

With the April 22 vote and a July 1 start, households should expect escrow and cash flow strain.

https://www.unitedstatesrealestateinvestor.com/prince-william-tax-bills-rise-181-budget-shock/?fsp_sid=32422