Updated October 4, 2026. Quick answer: No. West Virginia Code 11-21-12 subtracts “military retirement income, including retirement income from the regular Armed Forces” to the extent included in federal adjusted gross income, for taxable years beginning after December 31, 2017.
How West Virginia treats military retired pay
| Item | What the documents say |
|---|---|
| Treatment | Subtracted from federal adjusted gross income; the 2025 Schedule M has a Military Retirement Modification at line 32 |
| Who qualifies | Regular Armed Forces, Reserves and National Guard retirement pay, and survivorship annuities |
| Cap or age | None printed in the statute text |
| Rates | Not printed in the documents read |
A $30,000 example
A retiree with $30,000 of military retired pay in federal adjusted gross income subtracts all $30,000 on Schedule M, so none of that pay is left to tax.
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What changes in 2026
No 2026 change is printed in the documents read.
Federal rules
The state’s treatment sits on top of the federal one. The IRS explains the federal side in Publication 3, Armed Forces’ Tax Guide.
Related: whether West Virginia taxes pensions, how West Virginia taxes retirement income, military retirement pay by state, and the military retirement calculator.
Sources
- West Virginia Code 11-21-12: https://code.wvlegislature.gov/pdf/11-21-12/
- IT-140 Schedule M 2025: https://tax.wv.gov/Documents/PIT/2025/it140.Schedule-M.2025.pdf
Sources: the primary documents linked above, read on October 4, 2026. General information, not tax advice. Your own facts decide the outcome, and a preparer, the plan administrator or the agency itself is the right place to confirm anything consequential.