West Virginia Self-Employment Tax Guide (2026)

West Virginia cut its income tax rates again in 2026, retroactive to January 1, which puts it near the middle of the pack for freelancers. Watch the extras, though: West Virginia’s sales tax reaches many services, and a lot of cities charge their own tax on gross receipts. Here is what a West Virginia freelancer owes.

How West Virginia compares: in our 50-state take-home pay ranking, a single freelancer with $75,000 of profit keeps $57,202 in West Virginia after federal and state income tax, 26th of 51 (state income tax: $2,303).

Estimate for information only — not tax, legal or financial advice. Federal figures for tax year 2026; state and local taxes are not included unless you enter them. Check your situation with a CPA or enrolled agent.

What you pay on freelance profit

The 2026 rate cut

Senate Bill 392, signed March 31, 2026, cut West Virginia’s income tax rates by 5%, retroactive to January 1, 2026. For single filers (and every status except married filing separately), the 2026 schedule is:

• 2.11% on taxable income up to $10,000
• 2.81% from $10,000 to $25,000
• 3.16% from $25,000 to $40,000
• 4.22% from $40,000 to $60,000
• 4.58% above $60,000

The law also sets up possible further cuts from 2027, depending on how state revenue performs.

West Virginia has no standard deduction. You get a $2,000 personal exemption per exemption claimed. West Virginia starts from your federal adjusted gross income, so Schedule C expenses and the deduction for half of your self-employment tax reduce your West Virginia income too. The federal standard deduction and QBI deduction do not carry over.

Estimated payments

Make quarterly payments with Form IT-140ES if you expect to owe at least $600 after withholding. Payments are due April 15, June 15 and September 15, 2026, and January 15, 2027. To avoid the underpayment penalty, pay in at least 90% of this year’s tax or 100% of last year’s tax across the four dates. The 100% test is checked installment by installment, so a catch-up payment late in the year won’t erase an earlier shortfall.

Size the federal part with the quarterly estimated tax calculator and add a quarter of your expected West Virginia tax to each date.

Registration and local taxes

• Business registration: every business needs a business registration certificate from the Tax Division before it starts, with a $30 fee. Operating without one can bring daily fines.
• Municipal B&O tax: most West Virginia cities levy a business and occupation tax on gross receipts, with no deduction for expenses. Rates vary by city and type of business, so check with each city where you work.
• LLC annual report: West Virginia LLCs pay a $25 annual report fee to the Secretary of State, filed between January 1 and June 30.

Sales tax can apply to services

West Virginia’s 6% consumers sales and service tax applies to goods and many services. All sales are presumed taxable unless an exemption applies. Professional services such as those of doctors, lawyers, engineers, architects and CPAs are exempt, as are personal services like hairstyling and massage. Many other freelance services are taxable, and a growing number of cities add their own local sales tax. Check whether your service is taxable before your first invoice.

How much to set aside

Enter 4.58 in the state field of the tax set-aside calculator if your taxable income is over $60,000, or 4.22 between $40,000 and $60,000. If you’re weighing an S corp election, factor in any city B&O tax and sales tax separately, because neither depends on your entity type.