West Virginia state income tax
West Virginia has a state income tax. It is graduated, with a top marginal rate of 4.58%. Effective June 12, 2026, a 5% across-the-board tax cut applied (retroactive to January 1, 2026, under SB 392). 2026 brackets: 2.11% (up to $10,000), 2.81% ($10,000-$25,000), 3.16% ($25,000-$40,000), 4.22% ($40,000-$60,000), 4.58% (over $60,000). A statutory trigger mechanism (W. Va. Code 11-21-4e) allows further rate cuts of 10% of current rates when general revenue collections exceed baseline projections by more than $50 million for two consecutive years. Capital gains are taxed as ordinary income (no special lower rate).
Does West Virginia have a state income tax?
Yes. West Virginia taxes individual income on a graduated schedule topping out at 4.58%. Effective June 12, 2026, a 5% across-the-board tax cut applied (retroactive to January 1, 2026, under SB 392). 2026 brackets: 2.11% (up to $10,000), 2.81% ($10,000-$25,000), 3.16% ($25,000-$40,000), 4.22% ($40,000-$60,000), 4.58% (over $60,000). A statutory trigger mechanism (W. Va. Code 11-21-4e) allows further rate cuts of 10% of current rates when general revenue collections exceed baseline projections by more than $50 million for two consecutive years.
| Item | West Virginia |
|---|---|
| State income tax | Yes, graduated |
| Top marginal rate | 4.58% |
| Capital gains | Taxed as ordinary income, up to 4.58% |
| State sales tax | 6% (plus local) |
| Avg. property tax rate | 0.51% of home value |
| Estate / inheritance tax | None |
How does West Virginia tax capital gains?
West Virginia has no separate, lower rate for capital gains. They are taxed as ordinary income at the same rates as your wages, up to 4.58%, on top of federal capital gains tax. See how capital gains tax works in 2026.
What about retirement income in West Virginia?
Retirement income is taxed differently from wages in many states. For how West Virginia treats Social Security, pensions, and 401(k)/IRA withdrawals, see West Virginia retirement taxes.
Sources
- West Virginia income tax rates and brackets: West Virginia Department of Revenue / Taxation.
- West Virginia capital gains treatment: West Virginia tax authority.
- West Virginia sales tax: West Virginia Department of Revenue.