The Year You Separate, Your Active Duty Pay Comes Off Your State Income
A West Virginia resident on active duty for 30 OR MORE DAYS — armed forces, National Guard or reserves — who PERMANENTLY SEPARATES DURING THE TAX YEAR may deduct their active-duty military income for that year. A copy of the DD Form 214 is required. This is a one-year benefit tied to the year of separation, which is also the year someone is least likely to be thinking about state tax, so it is worth flagging before the return is filed rather than afterwards.
Verified August 27, 2026
What this benefit is
A West Virginia resident on active duty for 30 OR MORE DAYS — armed forces, National Guard or reserves — who PERMANENTLY SEPARATES DURING THE TAX YEAR may deduct their active-duty military income for that year. A copy of the DD Form 214 is required. This is a one-year benefit tied to the year of separation, which is also the year someone is least likely to be thinking about state tax, so it is worth flagging before the return is filed rather than afterwards.
What it's worth: Active-duty military income deducted for the year of separation
- A DECREASING MODIFICATION of ACTIVE-DUTY MILITARY INCOME for the TAXABLE YEAR OF PERMANENT SEPARATION.
- Requires ACTIVE DUTY FOR 30 OR MORE DAYS — armed forces, National Guard or reserves.
- The separation must be PERMANENT and must occur DURING THE TAXABLE YEAR.
- A COPY OF THE DD FORM 214 is required with the return.
- IT IS A ONE-YEAR BENEFIT. It applies to the separation year only.
- That is also the year someone is least likely to be thinking about state tax.
Who is entitled to it
- You serve or served in the U.S. armed forces.
- You have separated from service.
- West Virginia income tax.
Not sure whether that describes you?
Answer a few questions about this benefit specifically — we only ask what this one actually depends on, and we stop as soon as we know.
How to claim it
Deadline: With the return for the separation year- 1Take the deduction on the return for the year you separated — not the following year.
- 2Attach a copy of the DD Form 214.
- 3Check you had 30 or more days of active duty; the threshold is low but it is there.
- 4If you separated in a recent year and did not take it, ask the Tax Division about amending.
- 5Guard and reserve active duty counts, not only regular armed forces service.
- Form
- West Virginia personal income tax return, with the DD-214
- File with
- West Virginia Tax Division
- Documents you will need
- dd214
- No renewal
- Once granted it does not need renewing.
Sources
- authority · published policyWV Tax Division TSD-443 — military personnel and veterans
- operating · published policyWV Department of Veterans Assistance
This finder provides an informational match, not a government eligibility determination. The responsible agency decides your application.