How does West Virginia tax remote workers?

There are a few situations to consider. You may fall into more than one category.

1. I lived in West Virginia.
• If you're considered a full-year or part-year resident of West Virginia, you'll be taxed on all income earned from any source during your time of residency. Be sure to file the appropriate return.
2. I worked remotely from West Virginia.
• West Virginia taxes income earned for personal services performed while in West Virginia (even if you're a nonresident). This includes remote work for an employer or clients based outside West Virginia if you were physically in the state while doing the work.
• You may be able to claim a credit for taxes paid to another state on your resident return for any income required to be reported in multiple states.
3. My employer was based in West Virginia.
• If your employer was based in West Virginia and you didn't physically work in West Virginia at any time during the year, you should not need to file a West Virginia nonresident tax return. A nonresident West Virginia return is required if you worked in West Virginia for your employer, and you are not a resident of a state that has a reciprocal agreement with West Virginia. If your employer withheld taxes on wage income that was not taxable in West Virginia (if never worked in the state or you live in a reciprocal state) you may want to file a West Virginia return to get a refund of the taxes that were withheld.
• If your employer didn't withhold West Virginia taxes, you were a West Virginia nonresident, and you didn't physically work in West Virginia, you probably don't need to file a West Virginia return at all unless you otherwise have a West Virginia nonresident filing requirement for income from other sources.

If your wages were minimal and you didn't do any other business in West Virginia, it's possible you'll be exempt from filing regardless of residency. See the West Virginia N-11 or N-15 instructions for more information. What if I worked in a reciprocal state? West Virginia has reciprocal agreements with the states of Kentucky, Maryland, Ohio, Pennsylvania, and Virginia. Generally, under these agreements, one state will not tax a resident of the other state on income that is subject to employee withholding. If you are a resident of one of these states and your only West Virginia income is earnings from wages and salaries, you do not need to file a West Virginia return unless your employer withheld West Virginia income taxes on your W-2.

If you are a resident of one of the states mentioned above and you have West Virginia nonresident income other than wages and salaries, you may have taxable West Virginia income and you may still need to file a West Virginia nonresident tax return.