Article: 50431

 Overview 

West Virginia offers a Low-Income Exclusion to provide tax relief for qualifying residents with limited income. If you qualify, you may be able to exclude part or all your income from West Virginia taxable income. To claim this exclusion, you must complete the WV – Low-Income Exclusion for Resident form as part of your state return. 

What Is the Low-Income Exclusion? 

The Low-Income Exclusion reduces or eliminates West Virginia income tax for residents with income below certain levels. 

• The exclusion is based on your federal adjusted gross income (FAGI) and filing status. 

• If your income falls within the qualifying thresholds, you may exclude part—or in some cases all—of your income from WV taxation. 

• This benefit is designed to help lower-income households reduce or avoid state income tax liability. 

Who Qualifies? 

You may be eligible for the Resident Low-Income Exclusion if: 

• You were a full-year resident of West Virginia. 

• Your federal adjusted gross income (FAGI) is below the state’s low-income threshold. 

• You complete the required form to calculate your allowable exclusion. 

Note: Nonresidents and part-year residents do not qualify for this exclusion. 

How to Report 

1. Navigate to the State Taxes section on the left-hand side of the screen. 

2. Click the link: “I’d like to see the forms I’ve filled out or search for a form.” 

3. In the dropdown menu, select West Virginia. 

4. Click on the Credits tab. 

5. Click on “Low-Income Exclusion for Resident” to open the form. 

6. Enter all applicable information.  

7. Click ‘Save’ once complete. 

Additional Resources 

 For further information see: West Virginia IT-140 Instructions (2024) – Low-Income Exclusion, Page 31 (PDF)