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WinningsTax

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

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$
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$
More options
$

You keep

$7,999

Cash at payout

$7,142

Total tax

$2,001

Over-withheld

$857

Form W-2G
Yes

$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.

Federal withholding at payout
$2,400

The payer holds back 24% of winnings over $5,000 and sends it to the IRS. It's a prepayment, not the final tax.

Federal tax on the winnings
$1,550

Winnings are ordinary income stacked on your other $60,000. Your top dollar lands in the 22% bracket.

State tax
$451

West Virginia taxes gambling winnings as ordinary income.

West Virginia withholding at payout
$458

West Virginia requires the payer to hold back 4.58% for state tax.

Over-withheld
$857

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.

You keep
$7,999

$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.

GameWonWithheldFederal taxState taxYou 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

Sources

  1. [1] West Virginia Tax Division, Personal Income Tax Reduction Bill · checked September 22, 2026
  2. [2] W. Va. Code § 11-21-12n · checked September 22, 2026
  3. [3] WV TSD 432, Gambling Withholding and Losses (Rev. June 2026) · checked September 22, 2026
  4. [4] W. Va. Code § 11-21-32 · checked September 22, 2026
  5. [5] W. Va. Code § 11-21-20 · checked September 22, 2026
  6. [6] W. Va. Code § 29-22E-2 (Lottery interactive wagering) · checked September 22, 2026
  7. [7] W. Va. Code § 29-22D-2 (Sports wagering) · checked September 22, 2026
  8. [8] W. Va. Code § 11-21-9 · checked September 22, 2026