Resources & Incentives.
Incentives for Business Growth.
The Morgantown area offers competitive tax incentives, financing programs, and strategic support to help businesses grow, relocate, or expand.
For a complete list of West Virginia business incentives, visit the West Virginia Development Office.
Key Business Incentives.
Corporate Headquarters Credit
Businesses that relocate their corporate headquarters to West Virginia may be eligible for tax credits if they create at least 15 new jobs within the first year. This credit can offset 100% of business and occupation tax, corporate net income tax, and personal income tax for up to 13 years.
High-Tech Manufacturing Credit
Businesses in the manufacturing of computers, electronic components, or semiconductors can qualify for a tax credit if they create at least 20 new jobs within one year of investment. This credit can offset 100% of corporate net income tax and personal income tax for 20 consecutive years.
Economic Opportunity Credit
Businesses creating at least 20 new jobs (or 10 jobs for small businesses) may qualify for a tax credit covering up to 80% of corporate and personal income tax. If the business pays a wage higher than the statewide average, the credit can increase to 100%.
City of Morgantown New & Expanding Business Tax Credit
- New construction projects valued over $5 million may receive an 80% tax credit on B&O tax for construction.
- New businesses entering the district may qualify for tiered tax credits up to a maximum total of $300,000 over four years.
Opportunity Zones & TIF Districts.
Opportunity Zones
West Virginia’s Opportunity Zones offer tax incentives to investors who develop properties or businesses in designated areas. Investors benefit from capital gains tax deferrals and reductions, encouraging long-term growth and revitalization.
Tax Increment Financing (TIF)
TIF districts provide funding for infrastructure improvements, such as roads and utilities, by reinvesting property tax revenue increases. Businesses in these zones benefit from improved infrastructure and enhanced economic activity.
Tax Climate in Morgantown & West Virginia
Morgantown and the surrounding counties offer a favorable tax environment for businesses.
State Taxes
- Corporate Net Income Tax: 6.5% of federal taxable income.
- Business & Occupation Tax: Imposed on public utilities and energy production.
- Severance Taxes: 5% tax on natural resource production.
- Sales & Use Tax: 6% statewide.
- Business Registration Tax: One-time $30 fee per location.
- Personal Income Tax: Graduated tax scale on all taxable income.
County & Local Taxes
- Property Tax: Businesses pay property taxes on furniture, fixtures, equipment, inventory, and real estate.
- Municipal Sales & Use Tax:
Morgantown: 1% (Effective July 1, 2020) Combined Rate: 7%
Kingwood: 1% (Effective July 1, 2019) Combined Rate: 7%
Why Choose Morgantown?
Morgantown’s strong workforce, strategic location, and pro-business climate make it a top destination for businesses. Key advantages include:
- 67,000+ workers in the Morgantown MSA
- 207,000+ workers in the greater regional market
- More than 6,000 graduates annually from WVU and local high schools
- Top-ranked business climate (10th in the U.S. by Business Facilities Magazine)
Download North Central West Virginia Economic Outlook: 2020-2024
For more details or personalized assistance, contact the Morgantown Area Partnership at (304) 292-3311 or via email.
