Tax Overview: West Virginia
West Virginia tax debts are handled by the Tax Division and can trigger liens, levies, and wage garnishments. The state's OIC program (Form CD-3) will stop collections while under review. Installment agreements are limited to 12 months maximum with a lien filed on any IA, though plans of 6 months or less avoid the lien. Missing returns require a written request explaining why the state should accept late filings.
Key Tax Facts
- OIC available via Form CD-3 — WILL stop collections
- WV-433-A (financial statement) must accompany the CD-3
- Installment agreements up to 12 months maximum (Form CD-5)
- Lien filed on any IA — but IAs of 6 months or less avoid the lien
- Missing returns: client must send written request explaining why state should accept late returns
- State is targeting eventual elimination of income tax
Common Tax Issues
The 12-month IA maximum is restrictive for larger balances
Liens are filed on most IAs — only the shortest plans (6 months or less) avoid it
The written explanation requirement for late returns adds an extra step to the compliance process
Resolution Options in West Virginia
Payment Plans (Installment Agreements)
Without financials: Up to 12 months
With financials: Up to 12 months
12 months max (Form CD-5). Lien filed on any IA. IAs of 6 months or less = no lien.
Offer in Compromise (OIC)
Available: Yes
Stops collections while pending
Form: Form CD-3
WILL stop collections. WV-433-A must accompany.
Penalty Abatement
Available: Yes
Recent Tax Changes
- Targeting eventual elimination of state income tax
Official Resources
How Tax Advocate Group Helps West Virginia Taxpayers
Whether you're dealing with the IRS, the West Virginia Tax Division, or both — we provide comprehensive tax resolution services to West Virginia residents and businesses.