WV sales tax would top US states under income tax cut plan

West Virginia Headlines

FILE – West Virginia Gov. Jim Justice speaks during the State of the State Address in the House Chambers of the West Virginia State Capitol Building in Charleston, W.Va., on Wednesday, Feb. 10, 2021. Justice has agreed to live in the seat of state government in Charleston, ending a long-running challenge over his residency. A Kanawha County judge signed an order Monday, March 1, 2021, dismissing a 2018 lawsuit filed by a former state lawmaker. (AP Photo/Chris Jackson, file)

CHARLESTON, WV (AP) — West Virginia’s consumer sales tax rate would increase from 6% to 7.9% under a proposal to eliminate the state’s personal income tax. Republican Gov. Jim Justice submitted the proposal to the Legislature on Thursday.

The sales tax increase would give West Virginia the highest rate among all U.S. states. Puerto Rico has a double-digit sales tax. The proposal would give a 60% cut in the personal income tax to residents in the first year. People earning less than $35,000 a year would receive an unspecified tax rebate check. West Virginia would join nine other states that don’t have a state income tax.

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