West Virginia gambling winnings tax calculator
West Virginia taxes gambling winnings as ordinary income at graduated rates from 2.11% to 4.58%.
Updated · 2026 tax rules · How we calculate
You keep
$7,999
Cash at payout
$7,142
Total tax
$2,001
Over-withheld
$857
- Form W-2G
- Yes
- Federal withholding at payout
- $2,400
- Federal tax on the winnings
- $1,550
- State tax
- $451
- West Virginia withholding at payout
- $458
- Over-withheld
- $857
- You keep
- $7,999
$10,000 is at or above the $2,000 reporting threshold, so the payer files a W-2G with the IRS and gives you a copy.
The payer holds back 24% of winnings over $5,000 and sends it to the IRS. It's a prepayment, not the final tax.
Winnings are ordinary income stacked on your other $60,000. Your top dollar lands in the 22% bracket.
West Virginia taxes gambling winnings as ordinary income.
West Virginia requires the payer to hold back 4.58% for state tax.
More was withheld than these winnings add to your tax. The difference reduces what you owe on the rest of your return, or comes back as a refund.
$10,000 minus $2,001 in federal and state tax: an effective rate of 20%.
An estimate for 2026, not tax advice. It treats this win as your only gambling income for the year and leaves out local income taxes. Nothing you enter leaves your browser.
How West Virginia taxes gambling winnings
- State income tax
- West Virginia taxes gambling winnings as ordinary income at graduated rates from 2.11% to 4.58%.[1]
- Gambling losses
- You can subtract West Virginia gambling losses, up to your West Virginia gambling winnings, on Schedule M without itemizing on the state return. Losses from other states or unlawful gambling don't count.[2]Unverified
- Withholding
- Payers withhold 4.58% West Virginia tax whenever federal regular or backup withholding applies to gambling winnings, including West Virginia Lottery prizes to nonresidents.[3]
- Nonresidents
- Nonresidents owe West Virginia tax on West Virginia Lottery prizes. The statute does not list casino, sports betting or online casino winnings.[4]Unverified
- Tax paid to other states
- Yes. Residents get a credit for income tax paid to another state on income also taxed by West Virginia.[5]
- Legal gambling
- Sports betting: legal online and in person. State lottery: yes. Casinos: yes. Online casino: legal.[6]Unverified
Also worth knowing
- SB 400 (2026) decoupled the West Virginia gambling-loss subtraction from the federal 90% limit: from 2026 it is computed as if federal law had not changed.[8]
- To claim the loss subtraction you must attach the first two pages of your federal 1040, federal Schedule A and all W-2Gs, or a year-end account summary from an online platform. Missing documents mean denial.[3]
Examples by game
For a single filer with $60,000 of other income and no gambling losses, living and winning in West Virginia.
| Game | Won | Withheld | Federal tax | State tax | You keep |
|---|---|---|---|---|---|
| Sports betting | $10,000 | $2,858 | $1,550 | $451 | $7,999 |
| Casino and slots | $5,000 | $0 | $600 | $222 | $4,178 |
| Table games | $5,000 | $0 | $600 | $222 | $4,178 |
| Poker tournaments | $20,000 | $0 | $3,750 | $909 | $15,341 |
| Lottery | $50,000 | $14,290 | $10,350 | $2,283 | $37,367 |
| Daily fantasy sports | $5,000 | $0 | $600 | $222 | $4,178 |
| Horse racing | $8,000 | $2,286 | $1,110 | $359 | $6,531 |
Questions
- Does West Virginia tax gambling winnings?
- Yes, at graduated rates from 2.11% to 4.58%.[1]
- Can you deduct gambling losses in West Virginia?
- You can subtract West Virginia gambling losses, up to your West Virginia gambling winnings, on Schedule M without itemizing on the state return. Losses from other states or unlawful gambling don't count.[2]Unverified
- Does West Virginia withhold tax from gambling winnings?
- Payers withhold 4.58% West Virginia tax whenever federal regular or backup withholding applies to gambling winnings, including West Virginia Lottery prizes to nonresidents.[3]
- Do nonresidents pay West Virginia tax on gambling winnings?
- Nonresidents owe West Virginia tax on West Virginia Lottery prizes. The statute does not list casino, sports betting or online casino winnings.[4]Unverified
West Virginia by game
- Sports betting in West VirginiaW-2G at $2,000
- Casino and slots in West VirginiaW-2G at $2,000
- Table games in West VirginiaNo tax form, still taxable
- Poker tournaments in West VirginiaW-2G at $2,000
- Lottery in West VirginiaW-2G at $2,000
- Daily fantasy sports in West Virginia1099-MISC at $2,000
- Horse racing in West VirginiaW-2G at $2,000
Sources
- [1] West Virginia Tax Division, Personal Income Tax Reduction Bill · checked September 22, 2026
- [2] W. Va. Code § 11-21-12n · checked September 22, 2026
- [3] WV TSD 432, Gambling Withholding and Losses (Rev. June 2026) · checked September 22, 2026
- [4] W. Va. Code § 11-21-32 · checked September 22, 2026
- [5] W. Va. Code § 11-21-20 · checked September 22, 2026
- [6] W. Va. Code § 29-22E-2 (Lottery interactive wagering) · checked September 22, 2026
- [7] W. Va. Code § 29-22D-2 (Sports wagering) · checked September 22, 2026
- [8] W. Va. Code § 11-21-9 · checked September 22, 2026