Budget & Taxes (Income Tax)

in committee · West Virginia · Senate Jan 28, 2026

SB 652: Relating to distribution of tax revenues collected from data centers

SB 652 changes how property tax revenues from high-impact data centers are distributed in West Virginia. It requires 80% of the tax increment (additional revenue from data center property value growth) to go directly to the county where the data center is located, starting July 1, 2025. The remaining 20% is allocated as follows: 50% to the Personal Income Tax Reduction Fund, 10% to all counties based on population, 5% to an Economic Enhancement Grant Fund, and 5% to an Electric Grid Security Fund. This bill directly affects counties hosting certified high-impact data centers by increasing their local revenue from these facilities.

Topics ✓ Budget & TaxesSupports Budget & TaxesAllocates 80% of data center tax increment to counties and directs 50% of remaining 20% to Personal Income Tax Reduction Fund, providing tax relief and fiscal management.90% confidence

Sub-Topics Income Tax Property Tax Tax Incentives

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in committee · West Virginia · Senate Jan 27, 2026

SB 624: Extending sunset date for modification to personal and corporate income tax for qualified businesses

SB 624 extends the expiration date of a tax modification that reduces personal and corporate income tax for qualified opportunity zone businesses in West Virginia. It directly affects businesses newly registered in West Virginia between January 1, 2019, and January 1, 2024, that operate within designated opportunity zones. The bill prevents the current 2024 sunset date from taking effect, allowing these businesses to continue claiming the tax reduction for the full 10-year period authorized under existing law. This change ensures ongoing eligibility for the tax benefit without requiring new business registrations.

Topics ✓ Budget & TaxesSupports Budget & TaxesExtends tax reduction for qualified businesses, providing tax relief under opportunity zone program, directly supporting tax policy objectives.95% confidence

Sub-Topics Business Taxes Income Tax

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in committee · West Virginia · House of Delegates Jan 28, 2026

HB 4858: Determine credits for qualified rehabilitated buildings investment

HB 4858 establishes a 25% state income tax credit for property owners who rehabilitate certified historic buildings in West Virginia. It directly affects residential and commercial property owners who restore structures listed on the National Register of Historic Places or designated as "certified historic structures" by the National Park Service and West Virginia Division of Culture and History. The bill defines "qualified rehabilitation expenditures" using federal standards (26 U.S.C. §47), requires projects to meet Secretary of the Interior rehabilitation standards, and creates a centralized process for claiming the credit. It replaces older, fragmented provisions with a unified system and includes procedures for credit recapture if requirements aren't met.

Topics ✓ Budget & TaxesSupports Budget & TaxesProvides 25% state income tax credit for historic building rehabilitation, reducing tax liability for property owners - direct tax relief under fiscal incentives.90% confidence ✓ HousingSupports HousingBill provides tax credit for rehabilitating historic residential buildings, promoting housing preservation and development through financial incentive.80% confidence

Sub-Topics Income Tax Tax Credits Tax Incentives Historic Preservation Property Taxes

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in committee · West Virginia · Senate Jan 15, 2026

SB 397: Reducing corporate net income tax

Senate Bill 397 would reduce West Virginia's corporate income tax rate to 6.5% for tax years beginning on or after January 1, 2027. It directly affects corporations operating in the state or earning income from West Virginia sources, excluding those already exempt under current law. The bill includes a condition that the tax reduction would be suspended for one year if the state's reserve funds fall below a specified threshold relative to the budget. This change follows a series of previous rate reductions in the state's corporate tax structure.

Topics ✓ Budget & TaxesSupports Budget & TaxesBill explicitly reduces corporate tax rate (6.5% from current rate), providing tax relief to businesses, directly advancing tax policy change for corporations.90% confidence

Sub-Topics Business Taxes Income Tax

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in committee · West Virginia · House of Delegates Jan 14, 2026

HB 4101: To amend the state tax code to provide an exemption from state income tax for families with four or more children

HB 4101 would exempt married couples and surviving spouses with four or more children from paying West Virginia state income tax. The exemption applies to tax years beginning January 1, 2027, and automatically starts when a family claims their fourth dependent child on their state tax return. Once in effect, the exemption continues for all future tax years in which the family files as married or surviving spouse. This policy change would eliminate state income tax liability for qualifying families starting in 2027.

Topics ✓ Budget & TaxesSupports Budget & TaxesExempts qualifying families from state income tax, providing direct tax relief for lower/middle-income households, aligning with tax relief indicators for support.95% confidence

Sub-Topics Income Tax

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in committee · West Virginia · Senate Jan 14, 2026

SB 156: Streamlining rebate process for motor vehicle property taxes

SB 156 changes West Virginia's motor vehicle property tax system by replacing tax credits with direct refunds for eligible owners. It defines "eligible taxpayers" to include vehicle owners (including those with financing or leases), lessors who pass savings to lessees, and pass-through entity owners, while excluding motor vehicle dealers on retail inventory. The bill streamlines processing by requiring counties to report eligible claims weekly and mandating refunds within 30 days via check or direct deposit. This update simplifies the current system by shifting from credits applied against income tax to immediate cash refunds for timely-paid property taxes.

Topics ✓ Budget & TaxesSupports Budget & TaxesStreamlines tax rebates for eligible owners, ensuring timely refunds and improving fiscal efficiency in tax processing.90% confidence

Sub-Topics Business Taxes Income Tax Property Tax

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in committee · West Virginia · House of Delegates Jan 15, 2026

HB 4019: Relating to Personal income Tax Reduction

HB 4019 would reduce West Virginia's personal income tax rates for residents and certain income types (including composite returns), effective January 1, 2026, and lower withholding tax rates on nonresident income, real estate sales, and lottery winnings. It establishes an automatic annual tax reduction mechanism: if state general revenue collections exceed inflation-adjusted base-year levels, tax rates would decrease by a percentage calculated from excess revenue (capped at 10% of current rates). The reduction is triggered by a determination made after August 15 each year by the Secretary of Revenue, based on the previous fiscal year's revenue data. These changes would apply to all West Virginia taxpayers subject to personal income tax, including residents and nonresidents with taxable income in the state.

Topics ✓ Budget & TaxesSupports Budget & TaxesBill reduces personal income tax rates and establishes automatic tax reductions based on revenue growth, providing tax relief per legislative intent.95% confidence

Sub-Topics Income Tax Revenue

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in committee · West Virginia · House of Delegates Jan 29, 2026

HB 4933: Relating to the tax exemption of a citizen who paid to have a cat or dog spayed or neutered

HB 4933 would create a 100% tax credit against West Virginia personal income tax for the cost of spaying or neutering a dog or cat. It directly affects West Virginia residents who pay for these veterinary procedures, allowing them to reduce their tax bill by the full amount paid in the year the service was performed. To claim the credit, taxpayers must provide a receipt from a licensed veterinarian. This credit applies only to dogs and cats, not other pets, and reduces the tax owed rather than the taxable income.

Topics ✓ Budget & TaxesSupports Budget & TaxesCreates 100% tax credit for pet spay/neuter costs, reducing tax burden on residents - direct tax relief supporting lower-income households.95% confidence

Sub-Topics Income Tax Tax Credits Tax Incentives

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in committee · West Virginia · Senate Jan 14, 2026

SB 92: Relating to enhanced pay for certain teachers

SB 92 creates a market-based pay enhancement for West Virginia teachers in counties where regional home prices exceed the state average. It directly affects certified teachers employed in counties where the median home price in their county plus neighboring border counties is higher than West Virginia’s statewide median. The bill calculates an annual multiplier using regional vs. state median home prices (from National Association of Realtors data), which is applied to each county’s average teacher salary to determine supplemental pay. This enhancement, added to base salaries, requires annual reporting to the State Auditor and is subject to personal income tax. The program begins July 15, 2026, with updates every five years.

Topics ✓ Budget & TaxesSupports Budget & TaxesBill allocates state funds for teacher pay enhancements based on regional home prices, increasing education budget spending through targeted appropriations.92% confidence ✓ EducationSupports EducationBill creates market-based pay enhancement for teachers in high-cost counties, directly supporting educator compensation and addressing regional cost-of-living disparities in K-12 education.95% confidence ✓ Labor & EmploymentSupports Labor & EmploymentBill creates market-based pay enhancement for teachers, increasing wages in high-cost counties per home price data.92% confidence

Sub-Topics Audits & Accountability Income Tax Teachers

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in committee · West Virginia · Senate Jan 16, 2026

SB 453: Providing tax deduction for medical payments

SB 453 would allow West Virginia residents to deduct qualified medical expenses from their state income tax. It directly affects taxpayers who pay state income tax and incur medical costs, including premiums, medicine, provider visits, mileage to appointments, and copays. The bill establishes these expenses as deductible items under the state's personal income tax code, reducing taxable income. The Tax Commissioner would have authority to create implementing rules for the deduction.

Topics ✓ Budget & TaxesSupports Budget & TaxesAllows medical expense deductions, reducing taxable income for residents - direct tax relief supporting fiscal responsibility for taxpayers.95% confidence ✓ HealthcareSupports HealthcareBill enables tax deductions for medical expenses, reducing out-of-pocket costs and improving access to healthcare services for West Virginia residents.95% confidence

Sub-Topics Income Tax

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