Summary
Almost 500,000 Social Security recipients in West Virginia will get higher monthly payments as the state removes income tax on those benefits. This is the final stage of a three-year plan, matching what is already done by most other states. Removing this tax will reduce West Virginia’s revenue by around $37 million.
Key Facts
- West Virginia is removing the income tax on Social Security benefits over three years.
- Nearly 500,000 residents of the state will see an increase in their Social Security payments.
- Before the change, West Virginia was one of the few states taxing these benefits.
- The tax removal is expected to cut state revenue by about $37 million.
- The change aims to keep retirees in the state and boost local economic activity.
- Delegate Jonathan Pinson highlighted that this move allows seniors more financial flexibility.
- The decision has gained bipartisan support and could influence other states to follow suit.
- Removing the tax might encourage more spending by retirees, which can benefit local economies.
