State of West Virginia Tax Incentives

West Virginia’s highest priority is meeting your company’s needs.  Part of the service includes providing aggressive development assistance in the form of tax credits and financing programs.  This development assistance can reduce startup and operating costs and provide for enhanced productivity.

  • Corporate Headquarters Credit:
    Companies that relocate their corporate headquarters are eligible for tax credits if 15 new jobs (including relocated employees) are created within the first year.
  • Economic Opportunity Credit:
    For quality companies that create at least 20 new jobs within specified time limits as a result of their business expansion projects, this tax credit can offset up to 80 percent of taxes.
  • “Five-for-Ten” Program:
    Provides a tax incentive to businesses that make qualified capital improvements of at least $10 million to an existing base of $20 million or more. It assesses the new capital addition at a salvage value of 3 percent for the first 10 years.
  • Manufacturing Investment Credit:
    Allows a 60 percent corporate net income tax credit and franchise tax credit based on investment with no new job creation required.
  • Manufacturing Sales Tax Exemption:
    Materials and equipment purchased for direct use in manufacturing are exempt from the 6 percent state sales and use tax.
  • Strategic R&D Credit:
    Allows for up to 100 percent tax offset for R&D projects. R&D expenses are exempt from sales tax.
  • Warehouse “Freeport” Tax Exemption:
    Goods in transit to an out-of-state destination are exempt from “ad valorem” property taxes when warehoused in West Virginia.

West Virginia Development Office
1900 Kanawha Blvd. E.
Charleston, West Virginia 25305-0311
Telephone: (800) 982-3386