How to get the most out of new West Virginia property tax credits

Over the next few weeks, West Virginia residents will start receiving their property tax bills from county assessors, but as a law passed earlier this year prepares to go into effect, there are a few things to keep in mind to get the most out of new tax credits.

The dollar-for-dollar vehicle tax credit, as well as other tax boons, will not be implemented until January 2024. To take advantage of the rebate, residents are encouraged to only pay half of what they owe for the year before Oct. 1. If they are paid after that date, property taxes are considered delinquent and will accrue 9% interest each year they go unpaid.

“You do not want to pay the full year because when you pay the second half, which is due on April 1, 2024, that will be eligible for the dollar-to-dollar credit,” State Revenue Secretary Dave Hardy said on MetroNews TalkLine earlier this month.

Only residents who pay their property taxes on time will qualify for the credit. The credit for the 2024 payments will be on the state tax return in 2025 and will be processed when people file their annual taxes.

Also coming next year is a real estate tax credit for disabled veterans in the state, which will be applied to taxes paid on their primary residence. The same as the vehicle tax, those looking to claim the rebate should pay only half of what’s due by October and pay the rest by April to get their money back. 

Both tax credits were passed as part of a tax reform package in the most recent legislative session. That same piece of legislation cut the personal income tax rates for the 2023 tax year down by an average of 21.25% for individuals and implemented a 50% property tax rebate for small business owners in the state.