Opponents outnumbered supporters as the public weighed in Tuesday (April 22) on the imposition of a countywide meals tax.
Adding a meals tax on top of the sales tax for restaurant meals and prepared foods would “really be a burden” both to the industry and “economically exhausted consumers,” Jim Rafferty of the Glory Days Grill restaurant chain told Fairfax County supervisors during a public hearing.
“Times are starting to change in the restaurant industry,” said Rafferty, pointing to challenging economic times that may be ready to overtake the region.
He was one of 17 speakers who turned up to discuss the measure. Others touched on the tax proposal later in the meeting during a hearing on the government’s overall fiscal 2026 budget plan.
Supervisors are expected to make final decisions on the budget and the meals tax during a May 6 budget-markup session.
The majority on the Board showed signs of supporting a meals tax, with a start date of January 2026. The exact rate, however, remains an open question.
State law gives localities the authority to impose taxes on restaurant meals and prepared foods of up to 6%. Fairfax supervisors advertised a rate of up to 4%, although some members seem more comfortable with 3%.
Supervisors did not speak to the issue at the April 22 hearing, simply voting to hold off on final action until the entire budget was adopted in May.
While there were more critics than supporters of the meals tax concept at the hearing, there were some who said the meals tax is necessary.
Jason Morgan said a meals tax represented “a smart opportunity” to diversify the tax base.
By having no meals tax when most surrounding jurisdictions do, “we turn away tens of millions of dollars each year,” said Morgan.
Those dollars could be used to reduce the burden of real-estate taxes, he said.
Another speaker, Will Radle, said the funds brought in could be used to bolster the county government’s social safety net.
“There is a need in our community for the resources,” he said. “Many people suffer and struggle.”
But supporters of the concept were fewer in number than those voicing criticism. Among those with concerns were representatives of the Restaurant Association of Metropolitan Washington and the Virginia Restaurant, Lodging and Travel Association.
Sarah White, a restaurant manager, said the tax would be regressive.
“It is clear who will be hurt most: It will absolutely affect those already struggling,” she said.
Rod Dyck, representing the Fairfax County Taxpayers Alliance, calculated that the county government already imposes 177 different taxes, licenses, fines and fees.
“Adding another tax only adds to the burden,” he said.
Morgan, however, said complaints about the impacts of a meals tax were speculative and unsubstantiated.
“Don’t be distracted,” he advised supervisors.
County officials estimate that county coffers will gain $35 million per fiscal year for each percentage point of a meals tax. Retailers will receive a small rebate to cover operational costs, and the county government’s administrative costs are estimated at $2.8 million annually no matter what rate is adopted.
Rafferty, whose company operates seven eateries across the county, warned supervisors that their plans for more revenue would amount to nothing if restaurants begin going out of business owing to unsustainable costs.
“Four percent of nothing is nothing,” he said of taxes.
Until 2021, Virginia counties were required to hold a referendum before implementing a meals tax. Fairfax voters rejected proposals in 1992 and 2016 referendums. The General Assembly later changed state law, eliminating the referendum requirement.
Any meals tax enacted by county supervisors would not apply within the borders of the county’s three towns — Herndon, Vienna and Clifton — as all three already impose their own.
Fairfax enacting a meals tax would leave Loudoun County as the lone major jurisdiction in Northern Virginia without one, although several towns within Loudoun do impose such a tax.
