summary
Introduced
02/20/2025
02/20/2025
In Committee
02/20/2025
02/20/2025
Crossed Over
Passed
Dead
04/12/2025
04/12/2025
Introduced Session
2025 Regular Session
Bill Summary
The purpose of this bill is to authorize a personal income tax deduction applicable to qualified tipped wages.
AI Summary
This bill introduces a new personal income tax deduction for qualified tips earned by resident individual taxpayers in West Virginia. Under the proposed legislation, employees can subtract the total amount of tips they received and reported to their employer from their federal adjusted gross income when calculating state taxes. "Qualified tips" are defined as gratuities received in cash, credit/debit card charges, or checks during the ordinary course of employment. The deduction is only applicable if the tips have not already been deducted when calculating federal adjusted gross income. This tax modification will become effective for taxable years beginning on or after January 1, 2026, and can be claimed regardless of the type of tax return form filed. The bill aims to provide financial relief for workers in tip-based industries by reducing their state tax burden on tip income.
Committee Categories
Budget and Finance
Sponsors (4)
Last Action
To Finance (on 02/20/2025)
bill text
bill summary
Loading...
bill summary
Loading...
bill summary
| Document Type | Source Location |
|---|---|
| State Bill Page | http://www.wvlegislature.gov/Bill_Status/Bills_history.cfm?input=549&year=2025&sessiontype=RS&btype=bill |
| Fiscal Note - Tax & Revenue Department, WV State | http://www.wvlegislature.gov/Fiscalnotes/FN(2)/fnsubmit_recordview1.cfm?RecordID=926160377 |
| BillText | http://www.wvlegislature.gov/Bill_Status/bills_text.cfm?billdoc=sb549%20intr.htm&yr=2025&sesstype=RS&i=549 |
Loading...