West Virginia offers an attractive array of incentives designed to stimulate economic development, encourage job creation, and support innovation in diverse industries.  The state has positioned itself as an ideal location for manufacturing, energy, technology, and healthcare businesses through its strategic incentives.  This guide covers key state incentives available to businesses looking to invest in West Virginia.

West Virginia Economic Development Grant (WVEDG)

Overview

The WVEDG is a discretionary grant program aimed at supporting the creation of high-paying jobs and stimulating capital investment.  The program is focused on fostering business growth and expansion across the state.

Eligibility

• The business must create a specified number of new full-time jobs in the state.

• The business must make significant capital investments, such as constructing or upgrading facilities.

• Certain industries, such as manufacturing, technology, and healthcare, are prioritized.

Incentive Value

• Grants are awarded based on the number of jobs created, the wage levels of the new jobs, and the amount of capital investment made.

• The amount of funding can vary but is generally significant for projects that create a large number of jobs or make substantial investments in the community.

Application Process

Interested businesses must submit an application to the West Virginia Economic Development Authority (WVEDA), detailing their project, job creation plans, and investment commitments.

West Virginia Manufacturing Investment Tax Credit (MITC)

Overview

The MITC is designed to promote investment in manufacturing facilities and equipment.  It is targeted at businesses that are either establishing new manufacturing operations or expanding existing ones within the state.

Eligibility

• The business must be involved in manufacturing, processing, or similar activities.

• The business must make qualifying investments in capital equipment or facilities.

• The project must create a minimum number of new full-time jobs.

Incentive Value

• The credit is equal to 5% of the qualified investments made in manufacturing facilities or machinery.

• The credit can be applied against the business’s state income tax liability.

Application Process
Businesses must submit an application to the West Virginia Department of Revenue (DOR) with details about the manufacturing investments made and the expected impact on job creation.

West Virginia Coalfield Community Development Grant Program

Overview

This program is designed to stimulate economic growth and diversification in the coalfield regions of West Virginia.  It provides financial assistance to businesses and organizations investing in projects that create jobs and enhance local economic development.

Eligibility

• The business must be located in one of West Virginia’s designated coalfield regions.

• The business must invest in projects that create jobs or expand the local economy, including infrastructure, tourism, and clean energy projects.

Incentive Value

• Grants are awarded based on the project’s economic impact and ability to create new, sustainable jobs.

• Funding levels vary depending on the project but can cover up to 50% of project costs.

Application Process

Businesses must apply through the West Virginia Department of Commerce, providing project details and economic impact projections.

West Virginia Tax Credit for Business Investment (TCBI)

Overview

The TCBI program provides tax credits to businesses making significant investments in new facilities or capital improvements.  This program is aimed at encouraging long-term business growth and job creation in key industries.

Eligibility

• The business must make substantial capital investments in equipment, machinery, or facilities.

• The business must create a minimum number of new full-time jobs.

• Investments must contribute to the state’s long-term economic development.

Incentive Value

• Businesses can receive a tax credit of up to 5% of qualifying investment costs, with the credit applied to their state income taxes.

• The value of the credit increases based on the level of investment and job creation.

Application Process
Businesses must apply through the West Virginia Development Office (WVDO), providing details on the investment and job creation plans.

West Virginia Research and Development (R&D) Tax Credit

Overview

To support innovation and the development of new technologies, West Virginia offers a R&D Tax Credit for businesses involved in R&D activities.  This program encourages businesses to invest in cutting-edge technologies and processes, fostering economic growth and technological advancement.

Eligibility

• The business must be engaged in research and development activities within West Virginia.

• R&D activities must result in new or improved products, services, or technologies.

Incentive Value

• The R&D tax credit allows businesses to claim a percentage of eligible R&D expenditures made in West Virginia, up to 20% of qualifying expenditures.

• This credit applies to wages, supplies, and contract costs associated with R&D activities.

Application Process

Businesses must apply to DOR, providing documentation of their R&D activities and eligible expenses.

West Virginia Clean Energy Incentives

Overview

West Virginia offers a variety of incentives for businesses in the clean energy sector, including renewable energy, energy efficiency, and energy storage.  These programs are designed to support the transition to a sustainable energy future while creating green jobs.

Eligibility

• The business must be engaged in clean energy activities, such as renewable energy production or energy efficiency improvements.

• The business must be located in West Virginia and meet specific environmental standards.

Incentive Value

• Incentives may include tax credits, rebates, and grants for projects that reduce energy consumption, produce renewable energy, or implement clean energy technologies.

• Specific programs, such as the Clean Energy Fund, offer substantial financial assistance for qualifying projects.

Application Process

Businesses must apply through the West Virginia Department of Environmental Protection or WVDO, providing project plans and environmental impact assessments.

West Virginia Film Industry Tax Credit

Overview

To promote the growth of the film and television production industry, West Virginia offers tax credits to qualifying film, television, and digital media projects.  This program incentivizes filmmakers to shoot productions within the state, creating jobs and stimulating local economies.

Eligibility

• The production must meet minimum spending thresholds for in-state expenditures.

• The production must take place in West Virginia and must utilize local labor and services.

Incentive Value

• The program offers a tax credit of up to 27% of eligible production costs, including wages, equipment rentals, and location fees.

• There are also opportunities for rebates for certain production-related expenses.

Application Process

Filmmakers must apply to the West Virginia Film Office, submitting production budgets, location plans, and documentation on local expenditures.

West Virginia Opportunity Zone Incentives

Overview

West Virginia participates in the federal Opportunity Zone program, providing tax incentives for investments in economically distressed communities.  Businesses that invest in designated Opportunity Zones in the state are eligible for federal and state tax incentives aimed at promoting economic revitalization.

Eligibility

• The business must invest in a designated Opportunity Zone in West Virginia.

• The investment must contribute to the local economy by creating jobs, improving infrastructure, or revitalizing the area.

Incentive Value

• Businesses can receive state-level tax deferrals and exemptions, in addition to the federal Opportunity Zone tax benefits.

• The state offers additional tax relief on capital gains and property taxes related to qualifying investments.

Application Process

Businesses must apply through WVDO, providing information about the investment and its expected impact on the local community.