Independence is a town in Grayson County, Virginia, United States. The population was 971 at the 2000 census. It is the county seat of Grayson County. Independence is home to a major town celebration on July 4 every year, held in front of the 1908 courthouse. It features bluegrass and old-time music and dance, food, crafts and a wild pony sale. The courthouse is also the location of the Mountain Foliage Festival, held in the autumn and featuring a parade, crafts, arts and music, as well as a race in which contestants use outhouses, the Grand Privy Race .