West Virginia provides several valuable tax deductions, exemptions, and credits designed to reduce the tax burden for senior citizens and individuals with disabilities.
These benefits primarily address retirement income, Social Security benefits, and property taxes.
Understanding and properly claiming these provisions can significantly lower both income and property tax liability for eligible taxpayers.
Table of Contents
Personal Income Tax Deductions for Seniors
Senior Citizens Modification
West Virginia allows taxpayers who are age 65 or older, or who are permanently and totally disabled, to claim a substantial income tax deduction known as the Senior Citizens Modification.
Eligible individuals may deduct up to $8,000 of income from any source when calculating West Virginia taxable income.
On a joint return, each qualifying spouse may claim the deduction, allowing for a combined deduction of up to $16,000.
This deduction may be reduced if the taxpayer also claims other retirement income subtractions or tax-exempt interest income, so careful coordination is important when filing.
This modification is claimed on the West Virginia personal income tax return and directly reduces state taxable income.
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Social Security Benefits Exemption
West Virginia is in the final stages of eliminating state income tax on Social Security benefits.
Tax Year 2025: 65% of federally taxable Social Security benefits are exempt from West Virginia income tax.
Beginning January 1, 2026: 100% of Social Security benefits will be fully exempt from West Virginia income tax, regardless of income level.
This change completes a three-year phaseout and provides full relief for retirees relying on Social Security income.
Government and Public Retirement Income
West Virginia also provides special deductions for certain government and public retirement systems:
Taxpayers of any age may deduct up to $2,000 in benefits received from:
West Virginia Teachers Retirement System
West Virginia Public Employees Retirement System
Federal retirement systems
Full deductions are available for:
Military retirement pay
Benefits from qualifying West Virginia police and firemen’s retirement systems
These deductions are claimed directly on the state income tax return and can be combined with the Senior Citizens Modification when applicable.
Property Tax Credits and Exemptions
Homestead Exemption
Eligible homeowners may reduce their property’s taxable value through the Homestead Exemption.
Available to homeowners age 65 or older, or permanently and totally disabled
Provides an exemption of $20,000 from the assessed value of the primary residence
The homeowner must: Own and occupy the home as their primary residence. Have paid property taxes on the home for at least two consecutive years prior to applying
This exemption directly lowers the annual property tax bill and is administered at the county level.
Senior Citizens Tax Credit (SCTC-A)
The Senior Citizens Tax Credit is a refundable income tax credit designed to help low-income seniors who qualify for the Homestead Exemption.
Eligibility is based on:
Property taxes paid
Federal poverty income guidelines
To claim the credit:
You must file a West Virginia personal income tax return
You must also file Form SCTC-1
Filing is required even if you are not otherwise required to file a federal income tax return
Because the credit is refundable, eligible seniors may receive a refund even if they owe no state income tax.
Homestead Excess Property Tax Credit (HEPTC-1)
The Homestead Excess Property Tax Credit provides relief when property taxes are disproportionately high compared to income.
Available when property taxes exceed 4% of total household income
Maximum credit of up to $1,000
Subject to income limits, but no age requirement
Claimed by filing Form HEPTC-1 with a West Virginia income tax return
Recommended Electronic Filing and Online Resources
Easier attachment of credits and schedules, such as SCTC-1 and HEPTC-1
Most taxpayers can file electronically using:
Authorized tax preparation software
Professional tax preparers who support West Virginia e-file
Online resources and fillable forms provided by the West Virginia Tax Division
For official forms, eligibility details, and up-to-date guidance, visit the West Virginia State Tax Department website, which offers downloadable forms, instructions, and electronic filing options for both income and property tax relief programs.
West Virginia provides several valuable tax deductions, exemptions, and credits designed to reduce the tax burden for senior citizens and individuals with disabilities.
