The 2026 Virginia General Assembly session ended on  Saturday, March 14, and while small businesses saw some important victories, several major challenges remain. NFIB helped stop several harmful proposals this year, including a plan to add a state sales tax to services. Small business owners warned that taxing services would raise costs for customers and create a mountain of new paperwork for owners.

“Small business owners already face rising costs,” said NFIB State Director Julia Hammond. “Taxing services would have made it harder for them to compete. Lawmakers plan to revisit the issue in 2027, she said. NFIB members also successfully protected Virginia’s right-to-work law. Efforts to repeal this long-standing law did not move forward this session, but Hammond said lawmakers probably will try again next year.

“Virginia’s right-to-work law is a big reason why businesses choose to grow here,” she said. “Protecting it keeps Virginia competitive and protects a worker’s right to choose.” Despite these wins, Hammond says NFIB’s work is far from over.

The House and Senate passed different versions of a bill requiring all employers to provide paid leave to their workers. Small business owners warn this mandate creates a heavy financial burden, especially for those with only a few employees. “Small businesses want to take care of their teams, but government mandates like this create a real strain,” Hammond said. “Many owners can’t afford to pay a worker on leave while also paying a temporary replacement to keep the doors open.”

In response, NFIB launched a statewide radio and digital ad campaign, The ads urge state leaders to reconsider the mandate before it becomes law. “Our members believe benefits should be decided by employers and employees, not the government,” Hammond added.