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SB392 • 2026

Relating to personal income tax reduction

Relating to personal income tax reduction

Children Taxes
Enacted

This bill passed the Legislature and reached final enactment based on the latest official action.

Sponsor
Smith (Mr. President), Woelfel
Last action
2026-03-14
Official status
Effective Ninety Days from Passage - (June 12, 2026)
Effective date
Not listed

Plain English Breakdown

The plain English breakdown is still being put together. The official documents below are already here.

Amendments

These notes stay tied to the official amendment files and metadata from the legislature.

Plain English:  SB392 HFA Bridges 3-12 #1 Morgan 3345 Delegate Bridges moved to amend the amendment on page 9, section 4j, by striking the entirety of section 4j and inserting in lieu thereof the following language: §11-21-4j.

  •  SB392 HFA Bridges 3-12 #1 Morgan 3345 Delegate Bridges moved to amend the amendment on page 9, section 4j, by striking the entirety of section 4j and inserting in lieu thereof the following language: §11-21-4j.
  • Rate of tax — Taxable years beginning on and after January 1, 2026.
  • (a) Rate of tax on individuals (except married individuals filing separate returns), individuals filing joint returns, heads of households, and estates and trusts.
  • — For taxable years beginning on and after January 1, 2026, the tax imposed by §11-21-3 of this code on the West Virginia taxable income of every individual (except married individuals filing separate returns); every individual who is a head of a household in the determination of his or her federal income tax for the taxable year; every husband and wife who file a joint return under this article; every individual who is entitled to file his or her federal income tax return for the taxable year as a surviving spouse; and every estate and trust (except non-grantor trusts administered by licensed private trust companies created pursuant to the provisions of §31I-1-1 et seq.
  • This amendment summary is using official source text because generated interpretation was skipped for this run.

Plain English:  SB392 HFA Burkhammer 3-12 #1 CR 3338 Delegate Burkhammer moved to amend the amendment on page 11, after line 46 by inserting the following: “ CHAPTER 29.

  •  SB392 HFA Burkhammer 3-12 #1 CR 3338 Delegate Burkhammer moved to amend the amendment on page 11, after line 46 by inserting the following: “ CHAPTER 29.
  • MISCELLANEOUS BOARDS AND OFFICERS.
  • ARTICLE 22D.
  • WEST VIRGINIA LOTTERY SPORTS WAGERING ACT.
  • This amendment summary is using official source text because generated interpretation was skipped for this run.

Plain English:  SB392 HFA Burkhammer 3-12 #1 CR 3338 Delegate Burkhammer moved to amend the amendment on page 11, after line 46 by inserting the following: “ CHAPTER 29.

  •  SB392 HFA Burkhammer 3-12 #1 CR 3338 Delegate Burkhammer moved to amend the amendment on page 11, after line 46 by inserting the following: “ CHAPTER 29.
  • MISCELLANEOUS BOARDS AND OFFICERS.
  • ARTICLE 22D.
  • WEST VIRGINIA LOTTERY SPORTS WAGERING ACT.
  • This amendment summary is using official source text because generated interpretation was skipped for this run.

Plain English:  SB392 HFA Hornbuckle 3-12 #1 Altizer 3259 Delegate Hornbuckle moves to amend "SB392 HFIN AM" on page 10, Section 4j, by striking out lines 13 through 19 in their entirety and inserting in lieu thereof, the following: "Not over $25,000 0.00% of the taxable income Over $25,000 but not over $40,000 2.81% of excess over $25,000 Over $40,000 but not over $75,000 $421.50 plus 3.16% of excess over $40,000 Over $75,000 but not over $100,000 $1,527.50 plus 4.22% of excess over $75,000 Over $100,000 but not over $ 150,000 $2,582.50 plus 4.58% of excess over $100,000 Over $150,000 $4,872.50 plus 4.75% of excess over $150,000" And, On page 10, Section 4j, by striking out lines 27 through 31 in their entirety and inserting in lieu thereof, the following: "Not over $12,500 0% of the taxable income Over $12,500 but not over $20,000 2.81% of excess over $12,500 Over $20,000 but not over $37, 500 $210.75 plus 3.16% of excess over $20,000 Over $37,500 but not over $50,000 $763.75 plus 4.22% of excess over $37,500 Over $50,000 but not over $75,000 $1,291.25 plus 4.58% of excess over $50,000 Over $75,000 $2,436.25 plus 4.75% of excess over $75,000"

  •  SB392 HFA Hornbuckle 3-12 #1 Altizer 3259 Delegate Hornbuckle moves to amend "SB392 HFIN AM" on page 10, Section 4j, by striking out lines 13 through 19 in their entirety and inserting in lieu thereof, the following: "Not over $25,000 0.00% of the taxable income Over $25,000 but not over $40,000 2.81% of excess over $25,000 Over $40,000 but not over $75,000 $421.50 plus 3.16% of excess over $40,000 Over $75,000 but not over $100,000 $1,527.50 plus 4.22% of excess over $75,000 Over $100,000 but not over $ 150,000 $2,582.50 plus 4.58% of excess over $100,000 Over $150,000 $4,872.50 plus 4.75% of excess over $150,000" And, On page 10, Section 4j, by striking out lines 27 through 31 in their entirety and inserting in lieu thereof, the following: "Not over $12,500 0% of the taxable income Over $12,500 but not over $20,000 2.81% of excess over $12,500 Over $20,000 but not over $37, 500 $210.75 plus 3.16% of excess over $20,000 Over $37,500 but not over $50,000 $763.75 plus 4.22% of excess over $37,500 Over $50,000 but not over $75,000 $1,291.25 plus 4.58% of excess over $50,000 Over $75,000 $2,436.25 plus 4.75% of excess over $75,000"
  • This amendment summary is using official source text because generated interpretation was skipped for this run.

Plain English:  SB392 HFA Hornbuckle 3-12 #1 Altizer 3259 Delegate Hornbuckle moves to amend "SB392 HFIN AM" on page 10, Section 4j, by striking out lines 13 through 19 in their entirety and inserting in lieu thereof, the following: "Not over $25,000 0.00% of the taxable income Over $25,000 but not over $40,000 2.81% of excess over $25,000 Over $40,000 but not over $75,000 $421.50 plus 3.16% of excess over $40,000 Over $75,000 but not over $100,000 $1,527.50 plus 4.22% of excess over $75,000 Over $100,000 but not over $ 150,000 $2,582.50 plus 4.58% of excess over $100,000 Over $150,000 $4,872.50 plus 4.75% of excess over $150,000" And, On page 10, Section 4j, by striking out lines 27 through 31 in their entirety and inserting in lieu thereof, the following: "Not over $12,500 0% of the taxable income Over $12,500 but not over $20,000 2.81% of excess over $12,500 Over $20,000 but not over $37, 500 $210.75 plus 3.16% of excess over $20,000 Over $37,500 but not over $50,000 $763.75 plus 4.22% of excess over $37,500 Over $50,000 but not over $75,000 $1,291.25 plus 4.58% of excess over $50,000 Over $75,000 $2,436.25 plus 4.75% of excess over $75,000"

  •  SB392 HFA Hornbuckle 3-12 #1 Altizer 3259 Delegate Hornbuckle moves to amend "SB392 HFIN AM" on page 10, Section 4j, by striking out lines 13 through 19 in their entirety and inserting in lieu thereof, the following: "Not over $25,000 0.00% of the taxable income Over $25,000 but not over $40,000 2.81% of excess over $25,000 Over $40,000 but not over $75,000 $421.50 plus 3.16% of excess over $40,000 Over $75,000 but not over $100,000 $1,527.50 plus 4.22% of excess over $75,000 Over $100,000 but not over $ 150,000 $2,582.50 plus 4.58% of excess over $100,000 Over $150,000 $4,872.50 plus 4.75% of excess over $150,000" And, On page 10, Section 4j, by striking out lines 27 through 31 in their entirety and inserting in lieu thereof, the following: "Not over $12,500 0% of the taxable income Over $12,500 but not over $20,000 2.81% of excess over $12,500 Over $20,000 but not over $37, 500 $210.75 plus 3.16% of excess over $20,000 Over $37,500 but not over $50,000 $763.75 plus 4.22% of excess over $37,500 Over $50,000 but not over $75,000 $1,291.25 plus 4.58% of excess over $50,000 Over $75,000 $2,436.25 plus 4.75% of excess over $75,000"
  • This amendment summary is using official source text because generated interpretation was skipped for this run.

Plain English:  SB392 HFA Hornbuckle 3-12 #2 Altizer 3259 Delegate Hornbuckle moves to amend "SB392 HFIN AM" on page 9, line 55, following the period at the end of Section 4h, by striking out §11-21-4j in its entirety and inserting in lieu thereof a new section, to read as follows: "§11-21-12o.

  •  SB392 HFA Hornbuckle 3-12 #2 Altizer 3259 Delegate Hornbuckle moves to amend "SB392 HFIN AM" on page 9, line 55, following the period at the end of Section 4h, by striking out §11-21-4j in its entirety and inserting in lieu thereof a new section, to read as follows: "§11-21-12o.
  • Additional modification reducing federal adjusted gross income related to credit for each dependent child.
  • In addition to amounts authorized to be subtracted from federal adjusted gross income pursuant to §11-21-12, a modification reducing federal adjusted gross income is hereby authorized for taxable years beginning on or after January 1, 2026, a refundable credit against the tax liability imposed under this article is allowed to any resident individual for each dependent child up to and including age 17 claimed on the individual’s tax return in the amount of $350 per child."
  • This amendment summary is using official source text because generated interpretation was skipped for this run.

Plain English:  SB392 HFA Hornbuckle 3-12 #2 Altizer 3259 Delegate Hornbuckle moves to amend "SB392 HFIN AM" on page 9, line 55, following the period at the end of Section 4h, by striking out §11-21-4j in its entirety and inserting in lieu thereof a new section, to read as follows: "§11-21-12o.

  •  SB392 HFA Hornbuckle 3-12 #2 Altizer 3259 Delegate Hornbuckle moves to amend "SB392 HFIN AM" on page 9, line 55, following the period at the end of Section 4h, by striking out §11-21-4j in its entirety and inserting in lieu thereof a new section, to read as follows: "§11-21-12o.
  • Additional modification reducing federal adjusted gross income related to credit for each dependent child.
  • In addition to amounts authorized to be subtracted from federal adjusted gross income pursuant to §11-21-12, a modification reducing federal adjusted gross income is hereby authorized for taxable years beginning on or after January 1, 2026, a refundable credit against the tax liability imposed under this article is allowed to any resident individual for each dependent child up to and including age 17 claimed on the individual’s tax return in the amount of $350 per child."
  • This amendment summary is using official source text because generated interpretation was skipped for this run.

Plain English:  SB392 HFA Linville 3-12 #1 Reformed CR 3338 Delegate Linville moved to amend the amendment on page 1, by removing section 4b in its entirety from the amendment.

  •  SB392 HFA Linville 3-12 #1 Reformed CR 3338 Delegate Linville moved to amend the amendment on page 1, by removing section 4b in its entirety from the amendment.
  • Adopted Rejected
  • This amendment summary is using official source text because generated interpretation was skipped for this run.

Plain English:  SB392 HFA Linville 3-12 #1 Reformed CR 3338 Delegate Linville moved to amend the amendment on page 1, by removing section 4b in its entirety from the amendment.

  •  SB392 HFA Linville 3-12 #1 Reformed CR 3338 Delegate Linville moved to amend the amendment on page 1, by removing section 4b in its entirety from the amendment.
  • Adopted Rejected
  • This amendment summary is using official source text because generated interpretation was skipped for this run.

Plain English:  SB392 HFA Linville 3-12 #1 CR 3338 Delegate Linville moved to amend the amendment on page 1, by striking section 4b in its entirety.

  •  SB392 HFA Linville 3-12 #1 CR 3338 Delegate Linville moved to amend the amendment on page 1, by striking section 4b in its entirety.
  • Adopted Rejected
  • This amendment summary is using official source text because generated interpretation was skipped for this run.

Plain English:  SB392 HFA Linville 3-12 #2 CR 3338 Delegate Linville moved to amend the amendment on page 11, after line 46 by inserting the following: “ CHAPTER 29.

  •  SB392 HFA Linville 3-12 #2 CR 3338 Delegate Linville moved to amend the amendment on page 11, after line 46 by inserting the following: “ CHAPTER 29.
  • MISCELLANEOUS BOARDS AND OFFICERS.
  • ARTICLE 22D.
  • WEST VIRGINIA LOTTERY SPORTS WAGERING ACT.
  • This amendment summary is using official source text because generated interpretation was skipped for this run.

Plain English:  SB392 HFAT Criss McO Delegate Criss moves to amend the title of the bill to read as follows: Com.

  •  SB392 HFAT Criss McO Delegate Criss moves to amend the title of the bill to read as follows: Com.
  • Sub.
  • for S.
  • B.
  • This amendment summary is using official source text because generated interpretation was skipped for this run.

Plain English:  SB392 HFAT Criss McO Delegate Criss moves to amend the title of the bill to read as follows: Com.

  •  SB392 HFAT Criss McO Delegate Criss moves to amend the title of the bill to read as follows: Com.
  • Sub.
  • for S.
  • B.
  • This amendment summary is using official source text because generated interpretation was skipped for this run.

Bill History

  1. 2026-03-31 S

    Approved by Governor 3/31/2026

  2. 2026-03-18 S

    To Governor 3/18/2026

  3. 2026-03-14 H

    Approved by Governor 3/31/2026 - House Journal

  4. 2026-03-14 S

    Approved by Governor 3/31/2026 - Senate Journal

  5. 2026-03-14 S

    To Governor 3/18/2026 - Senate Journal

  6. 2026-03-14 S

    Completed legislative action

  7. 2026-03-14 S

    Communicated to House

  8. 2026-03-14 S

    Senate reconsidered action and passed bill (Roll No. 668)

  9. 2026-03-14 S

    Senate concurred in House amendments and passed bill (Roll No. 652)

  10. 2026-03-14 S

    House Message received

  11. 2026-03-13 H

    Communicated to Senate

  12. 2026-03-13 H

    Title amendment adopted (Voice vote)

  13. 2026-03-13 H

    Passed House (Roll No. 526)

  14. 2026-03-13 H

    Read 3rd time

  15. 2026-03-13 H

    Committee amendment adopted (Voice vote)

  16. 2026-03-13 H

    Amendment adopted (Voice vote)

  17. 2026-03-13 H

    Amendment reported by the Clerk

  18. 2026-03-13 H

    Amendment rejected (Voice vote)

  19. 2026-03-13 H

    Amendment reported by the Clerk

  20. 2026-03-13 H

    Amendment rejected (Roll No. 525)

  21. 2026-03-13 H

    Amendment withdrawn (Voice vote)

  22. 2026-03-13 H

    Amendment reported by the Clerk

  23. 2026-03-13 H

    Amendment withdrawn (Voice vote)

  24. 2026-03-13 H

    Amendment rejected (Voice vote)

  25. 2026-03-13 H

    Amendment reported by the Clerk

  26. 2026-03-13 H

    Reported by the Clerk

  27. 2026-03-13 H

    On 3rd reading, Special Calendar

  28. 2026-03-12 H

    Amendments pending

  29. 2026-03-12 H

    Read 2nd time

  30. 2026-03-12 H

    On 2nd reading, Special Calendar

  31. 2026-03-11 H

    Read 1st time

  32. 2026-03-11 H

    Immediate consideration

  33. 2026-03-11 H

    With amendment, do pass

  34. 2026-02-23 H

    To House Finance

  35. 2026-02-23 H

    To Finance

  36. 2026-02-23 H

    Introduced in House

  37. 2026-02-23 H

    House received Senate message

  38. 2026-02-20 S

    Ordered to House

  39. 2026-02-20 S

    Passed Senate (Roll No. 163)

  40. 2026-02-20 S

    Read 3rd time

  41. 2026-02-20 S

    On 3rd reading

  42. 2026-02-19 S

    Read 2nd time

  43. 2026-02-19 S

    On 2nd reading

  44. 2026-02-18 S

    Read 1st time

  45. 2026-02-18 S

    On 1st reading

  46. 2026-02-17 S

    Committee substitute reported

  47. 2026-01-15 S

    To Finance

  48. 2026-01-15 S

    Introduced in Senate

  49. 2026-01-15 S

    To Finance

  50. 2026-01-15 S

    Filed for introduction

Official Summary Text

Relating to personal income tax reduction

Current Bill Text

Read the full stored bill text
SB 392 Text

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Senate Bill 392 History

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Committee Substitute (1)

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Key:
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= existing Code.
Red
= new code to be enacted

WEST virginia legislature
2026 regular session
Enrolled
Committee Substitute
for
Senate Bill 392
By Senators Smith (Mr. President) and Woelfel
(By Request of the Executive)
[Passed March 14, 2026; in effect 90 days from passage (June 12, 2026)]

AN ACT

to amend and reenact §11-21-4h of the Code of West Virginia, 1931, as amended; and to amend the code by adding a new section, designated §11-21-4j, relating to providing a reduction in personal income tax; modifying the effective date of future personal income tax reductions; providing for reduced graduated income tax rates; reducing the rate of tax on certain composite returns; reducing the rate of withholding tax on nonresident income; reducing the rate of withholding tax on the nonresident sale of real estate; reducing the rate of withholding on lottery winnings; applying reduced rates beginning on and after January 1, 2026; providing for contingent additional future reductions in the personal income tax rates when certain criteria have been met; and providing effective dates.
Be it enacted by the Legislature of West Virginia:

ARTICLE 21. PERSONAL INCOME TAX.

§11-21-4h. Future personal income tax reductions.

(a) For the purposes of this section, the terms defined in this section have the meanings ascribed to them unless a different meaning is clearly required by the context in which the term is used:
(1) "Adjusted consumer price ratio" means the fiscal year consumer price index divided by the base year consumer price index.
(2) "Adjusted general revenue fund collections" means all net general revenue fund collections minus the net general revenue fund collections related to the imposition of the taxes imposed under the provisions of §11-13A-1
et seq.
of this code.
(3) "Base year revenues" means actual general revenue fund collections for 2019 fiscal year, which is $4,293,884,754.
(4) "Base year consumer price index" means a 12-month average of the not seasonally adjusted
Consumer Price Index for all urban consumers
for the months between July 2018 and June 2019.
(5) "
Excess fiscal year general revenue fund collections
" means the positive difference from subtracting the inflation adjusted base year revenues from the adjusted general revenue fund collections from the immediately preceding fiscal year.
(6) "Fiscal year consumer price index" means a 12-month average of the not seasonally adjusted Consumer Price Index for all urban consumers for the months between July and June of the immediately preceding fiscal year.
(7) "Inflation adjusted base year revenues" means the base year general revenue fund collections multiplied by the adjusted consumer price ratio.
(b)
Future personal income tax rate reductions
. — Beginning on August 15, 2026, and every August 15 thereafter, the Secretary of Revenue will determine whether the total fiscal year adjusted general revenue fund collections from the immediately preceding fiscal year are in excess of the inflation adjusted base year revenues. If the
total fiscal year adjusted general revenue fund collections from the immediately preceding fiscal year are in excess of the inflation adjusted base year revenues
, then there will be a reduction in the personal income tax rates as determined under this section beginning the second taxable year following the determination.
(c)
Determination of rate
. — In order to determine the amount of a personal income tax reduction, the excess fiscal year general revenue fund collections will be divided by the amount of the immediately preceding fiscal year’s total personal income tax collections for all funds and will be rounded down to the nearest whole percentage. The amount of the percentage of reduction will be applied equally across the tax rates applicable in the tax year immediately preceding the rate reduction:
Provided
, That reduction in personal income tax rates may not result in an amount larger than a 10 percent reduction in the rates set forth in §11-21-4e of this code.
(d)
Certification of reduction
. – The Secretary of Revenue and the State Auditor will certify to the Tax Commissioner that a rate change is required under this section as soon as possible after August 15 so that the Tax Commissioner may notify taxpayers of any change in personal income tax rates. The certification will provide base year revenues, the total fiscal year general revenue fund collections from the immediately preceding fiscal year, the base year consumer price index, the fiscal year consumer price index, the adjusted consumer price ratio, the amount of inflation adjusted base year revenues, the amount of excess fiscal year general revenue fund collections and the amount of the immediately preceding fiscal year’s total personal income tax collections for all funds.
(e)
Applicability of this section
. — The provisions of this section shall be applicable in determining the rates of tax imposed by this article and shall apply for all taxable years beginning on and after January 1, 2027, and shall be in lieu of the rates of tax specified in §11-21-4j of this code.
(f)
Annual reports
. — The Tax Commissioner shall prepare an annual report to the Joint Committee on Government and Finance detailing any relevant modifications to the personal income tax.
(g)
Rulemaking.
— Notwithstanding any provision of this code to the contrary, the Tax Commissioner may propose rules for legislative approval in accordance with the provisions of §29A-3-1
et seq.
of this code explaining and implementing this section.

§11-21-4j. Rate of tax —
Taxable years beginning on and after January 1, 202
6.

(a)
Rate of tax on individuals (except married individuals filing separate returns), individuals filing joint returns, heads of households, and estates and trusts.
— For taxable years beginning on and after January 1, 2026, the tax imposed by §11-21-3 of this code on the West Virginia taxable income of every individual (except married individuals filing separate returns); every individual who is a head of a household in the determination of his or her federal income tax for the taxable year; every husband and wife who file a joint return under this article; every individual who is entitled to file his or her federal income tax return for the taxable year as a surviving spouse; and every estate and trust (except non-grantor trusts administered by licensed private trust companies created pursuant to the provisions of §31I-1-1
et seq.
of this code) shall be determined in accordance with the following table:
If the West Virginia taxable
income is: The tax is:
Not over $10,000 2.11% of the taxable income
Over $10,000 but not over $25,000 $211 plus 2.81% of excess over $10,000
Over $25,000 but not over $40,000 $632.50 plus 3.16% of excess over $25,000
Over $40,000 but not over $60,000 $1,106.50 plus 4.22% of excess over $40,000
Over $60,000 $1,950.50 plus 4.58% of excess over $60,000
(b) Rate of tax on married individuals filing separate returns.
— For taxable years beginning on and after January 1, 2026, in the case of husband and wife filing separate returns under this article for the taxable year, the tax imposed by §11-21-3 of this code on the West Virginia taxable income of each spouse shall be determined in accordance with the following table:
If the West Virginia taxable
income is: The tax is:
Not over $5,000 2.11% of the taxable income
Over $5,000 but not over $12,500 $105.50 plus 2.81% of excess over $5,000
Over $12,500 but not over $20,000 $316.25 plus 3.16% of excess over $12,500
Over $20,000 but not over $30,000 $553.25 plus 4.22% of excess over $20,000
Over $30,000 $975.25 plus 4.58% of excess over $30,000
(c)
Rate of tax on non-grantor trusts administered by licensed private trust companies. –
In the case of non-grantor trusts administered by licensed private trust companies created pursuant to §31I-1-1
et seq.
of this code, there is no tax imposed by §11-21-3 of this code.
(d)
Effect of rates on nonresident composite and withholding obligations. —
Notwithstanding any provision of this article to the contrary, for taxable years beginning on and after the date specified in subsection (e) of this section, whenever the words "six and one-half percent" appear in §11-21-51a, §11-21-71a, §11-21-71b, or §11-21-77 of this code, with relation to a tax return of, or the tax rate imposed on income of individuals, individuals filing joint returns, heads of households, and estates and trusts (except non-grantor trusts administered by licensed private trust companies created pursuant to the provisions of §31I-1-1
et seq.
of this code), the stated percentage shall be changed to 4.58 percent.
(e)
Applicability of this section.
— The provisions of this section shall be applicable in determining the rates of tax imposed by this article and shall apply for all taxable years beginning on and after January 1, 2026, and shall be in lieu of the rates of tax specified in §11-21-4i of this code.

The Clerk of the Senate and the Clerk of the House of Delegates hereby certify that the foregoing bill is correctly enrolled.

...............................................................

Clerk of the Senate

...............................................................

Clerk of the House of Delegates

Originated in the Senate.

In effect 90 days from passage.

...............................................................

President of the Senate

...............................................................

Speaker of the House of Delegates

__________

The within is ................................................ this the...........................................

Day of ..........................................................................................................., 2026.

.............................................................

G
overnor

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