Bill > HB2407

This bill amends West Virginia's income tax code to exempt overtime income from state taxation, specifically targeting full-time hourly wage workers who earn compensation for work performed beyond 40 hours in a week. Starting January 1, 2026, employees will not have to pay state income tax on any earnings from overtime hours, which is intended to provide additional financial relief for workers who put in extra time on the job. The modification is added to the existing section of tax law that outlines various adjustments to federal adjusted gross income, and it represents a targeted approach to reducing the tax burden on workers who work additional hours. By inserting a new provision (subsection 13) into the state tax code, the bill aims to incentivize overtime work and provide a modest financial benefit to hourly employees who choose to work extra hours. The exemption will apply to all full-time hourly workers across the state, regardless of industry or specific employment sector.

Budget and Finance

http://www.wvlegislature.gov/Bill_Status/Bills_history.cfm?input=2407&year=2025&sessiontype=RS&btype=bill