Overview
West Virginia uses a progressive income tax system. The state has been reducing its tax rates in recent years as part of ongoing tax reform efforts. West Virginia has its own withholding form and uses exemptions to reduce taxable income.
State Income Tax (SIT)
West Virginia’s progressive income tax uses brackets with rates that have been declining through recent tax reform. Employees complete Form WV/IT-104 to specify their filing status and exemptions. The state allows standard deductions and personal exemptions to reduce taxable income before applying the progressive rate schedule.
| Tax Structure | Progressive with brackets (rates declining) |
| State Withholding Form | Form WV/IT-104 |
| Filing Statuses | S, M, H |
| Tax rates have been declining through reform | Tax rates have been declining through reform |
Supplemental Wages
West Virginia supports the following supplemental calculation methods: Current Aggregation, Previous Aggregation, Combined, None. Supplemental wages such as bonuses and commissions will be calculated using the applicable method.
Employer State Unemployment Tax (SUTA)
Your assigned SUTA rate will be based on your company’s experience with unemployment claims. New employers typically start at the default rate of 2.7%.
| Tax Type | Employer-paid only |
| Default New Employer Rate | 2.7% |
| Rate Assignment | Experience-rated; assigned annually by the state |
Other Taxes & Obligations
West Virginia does not currently impose significant additional state-level payroll taxes beyond SIT and SUTA. This keeps payroll relatively streamlined compared to states with multiple layers of tax obligations.
Disclaimer: This content is provided for general informational purposes only and does not constitute legal, tax, or accounting advice. Netchex does not provide tax or legal guidance and makes no representations regarding the accuracy or applicability of this information. Laws and regulations may change. The information on this page reflects payroll tax guidelines as of March 2026. For the most current requirements, please refer to:
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