23 Va. Admin. Code § 10-210-387 - Railway Common Carriers; Demurrage.

Charges to shippers or consignees for their failure to release a railway car within a specified period after placement, known as demurrage charges, are not subject to the sales and use tax. Such charges are not taxable as they are part of the total nontaxable charge for transporting property. This regulation addresses only those demurrage charges for the retention of railway cars and has no application to taxable demurrage charges for gas cylinders and other tangible personal property.