For fiscal year filers, the Virginia state income tax return is due annually on April 15 or the next business day if it falls on a weekend or holiday. Often, your employer will withhold your income tax from your paycheck. The tax rate is established by Virginia state legislation and is aligned with a percentage of your pay. As a general rule, the more you earn, the greater you will be taxed. Whether your tax is employer withheld, or you have to set aside funds, it's useful to know how to calculate your Virginia state income tax.
1. Look up how much you earned over a fiscal year to figure out your tax bracket. If your employer withheld Virginia tax, look on your paycheck to see the year-to-date amount. If you are self-employed, review your records and invoices to calculate your yearly taxable earnings.
2. Figure out your tax rate for your income based on the Virginia Department of Taxation's Tax Table. You will owe a certain percentage on any income in excess of your range. If you earned $3,000 or less, your tax rate is 2 percent. Above $3,000 and up to $5,000, your rate is 3 percent plus $60 for earnings over $3,000. For income between $5,001 and $17,000, you owe $120 plus a tax rate of 5 percent. For income in excess of $17,000, you would owe $720 with a tax rate of 5.75 percent. For example, if you earn $60,000 a year, your tax rate will be 5.75 percent and you will owe tax on $43,000 (the taxable amount that exceeds $17,000).
3. Calculate what you owe based on your tax rate. Multiply your taxable income with the appropriate tax rate and accompanying fee. For example, for a salary of $60,000, multiply .0575 by $43,000 and add $720. Round any cents up to the nearest dollar.
- Visit the Virginia Department of Taxation's website. The site has a tax table calculator that is useful in figuring how much you should owe the state. It also provides instructions and examples, as well answers to frequently asked questions.
- Certain income, such as contributions to some pre-tax retirement savings accounts, is not taxable.
Items you will need
- pay stubs
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