Meals Tax
The City of Fairfax meals tax is levied under City Code Section 90-262, and has stood at 4% since 2004, when it was raised from 2%.
The City of Fairfax 2035 Comprehensive Plan is the city's primary long-range land use and policy document, guiding development, housing, transportation, and related decisions. A five-year review process culminated on October 8, 2024, when City Council unanimously adopted Resolution R-24-30 approving the updated plan dated September 27, 2024.
- Continue to Review Compiled Data
A portion of the meals tax was discussed as a potential dedicated revenue stream to grow the Housing Trust Fund over time.
- Mar 10, 2026City Council · item 11cWork Session – Meals Tax
Council discussed the city's meals tax rate and revenue history in a work session; no action was taken.
In full
On March 10, 2026, City Council held a work session (Agenda item 11c) where staff presented a multi-jurisdictional comparison of meals tax rates and historical revenue data; no action was taken. The April 15, 2026 HHCAB committee meeting also touched on the meals tax as a potential dedicated revenue source for growing the Housing Trust Fund. A public hearing was held on April 28, 2026, where CFO/Assistant City Manager J.C.
Martinez presented a proposed ordinance to increase the rate from 4% to 4.5%, effective July 1, 2026, as part of the City Manager's recommended FY27 budget; the projected additional revenue from the half-percent increase is approximately $1.3 million annually, equating to roughly $0.25 on a $50 meal. No action was taken that night, with Council consideration deferred to May 5, 2026. On May 5, 2026, Council Member Hardy-Chandler moved and Council Member Peterson seconded the ordinance to set the meals tax at 4.5% effective July 1, 2026; the motion passed, though Council Member McQuillen voted against the meals tax increase specifically (while supporting the overall budget).