West Virginia State Capitol in Charleston
West Virginia State Capitol in Charleston

Bill to exempt Social Security benefits from income tax approved in committee

CHARLESTON, W.Va. – The Finance Committee of the House of Delegates on Monday approved a bill to exempt Social Security benefits from the state’s income tax.

If passed, House Bill 2001 would provide West Virginia seniors an estimated $50 million in tax relief over the coming fiscal year. The bill now goes to the full House for consideration.

“This bill will provide our seniors with much-needed tax relief and give them greater financial security during their retirement years,” said Finance Committee Chairman Eric Householder, R-Berkeley.

West Virginia is one of just 13 states to tax Social Security income. This bill would exempt all Social Security income received on or after Jan. 1, 2019 from the state’s income tax.

“This bill is not just about providing tax relief, it’s also a matter of fundamental fairness,” Householder said. “The government took this money out of our hard-working citizens’ paychecks all their lives, and I think it’s wrong that we should tax it again when they finally reap the benefits. Ending this double-taxation on Social Security dollars will send a signal that West Virginia respects its taxpayers.”

Householder said Gov. Jim Justice had already factored the elimination of the Social Security income tax into his Fiscal Year 2020 budget proposal, so lawmakers will not have to make up that revenue when they work to pass the budget later this year.

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