HEPTC-1: Homestead Excess Property Tax Credit (2025)
West Virginia · WV Tax Division · Used for tax years 2025
West Virginia Schedule HEPTC-1 calculates the 2025 Homestead Excess Property Tax Credit for property taxes paid on an owner-occupied home. It uses property taxes paid, any allowable Senior Citizen Tax Credit, and household income to determine a refundable credit of up to $1,000.
Who files this form
Complete Schedule HEPTC-1 if you are claiming the 2025 Homestead Excess Property Tax Credit. The credit is for taxes paid on owner-occupied residential property that exceed 4% of your income, as calculated on the schedule. The maximum refundable credit is $1,000.
To qualify, your income must meet these limits:
- 1 person living in your home: $46,950 or less.
- 2 people: $63,450 or less.
- 3 people: $79,950 or less.
- 4 people: $96,450 or less.
- For each additional person, add $16,500.
If you must file a federal return, use your federal adjusted gross income reported to the IRS for this eligibility test. If you do not have to file a federal return, use your income less Social Security benefits.
No credit is allowed if any part of the home is owned by someone who is not a low-income person. You also cannot claim this credit if you are claiming the Disabled Veterans Property Credit.
What you'll need
Have these forms and amounts available to complete the schedule:
- Form IT-140, which must include Schedule HEPTC-1 when you claim the credit.
- Total West Virginia property tax paid on your owner-occupied home during 2025, after any discount and before interest.
- Form SCTC-A, line 2, if you qualify for the Senior Citizen Tax Credit.
- Your federal adjusted gross income and increasing income modifications from Schedule M, line 61.
- Federal tax-exempt interest income.
- Workers’ Compensation benefits received in 2025.
- Social Security benefits, including SSI and SSDI, that are not included in your federal adjusted gross income.
- Income of all household members who would file separate tax returns.
You also need the number of people living in your home to check the income limit.
How to file
- Complete Part I to check whether your income meets the eligibility guidelines. Check the box if you were required to pay Federal Alternative Minimum Tax.
- Complete Part II only if your income meets those guidelines.
- Enter your qualifying property tax paid and subtract the allowable Senior Citizen Tax Credit, if eligible.
- Calculate total gross income using lines 4 through 6, then multiply it by 4% on line 7.
- Compare line 3 with line 7. If line 3 is not greater, stop. You are not eligible for this credit.
- If line 3 is greater, enter the difference or $1,000, whichever is lower, on line 9 and on Form IT-140, line 19.
Enclose Schedule HEPTC-1 with Form IT-140. The provided form does not give a mailing address or e-filing instructions.
Common mistakes
- Leaving out Schedule HEPTC-1. The credit will be disallowed if the schedule is not enclosed with Form IT-140.
- Claiming both property credits. You cannot claim this credit if you claim the Disabled Veterans Property Credit.
- Overlooking a co-owner’s eligibility. No credit is allowed if the home is owned, even partly, by someone who is not a low-income person.
- Using the wrong property tax amount. Use the amount paid during 2025 after the discount and before interest is added.
- Continuing when you do not qualify. Complete Part II only if you meet the income guidelines. Stop at line 8 if line 3 is not greater than line 7.
Questions people ask
What is the largest credit I can claim?
The maximum refundable credit is $1,000. Line 9 uses the difference between line 3 and line 7, or $1,000, whichever is lower.
Can I qualify if I do not have to file a federal return?
The form provides an eligibility test for people who are not required to file a federal return. For that test, compare your income less Social Security benefits with the limit for the number of people living in your home.
How does the Senior Citizen Tax Credit affect this credit?
If you are eligible for the Senior Citizen Tax Credit, enter the allowable credit from Form SCTC-A, line 2, on HEPTC-1, line 2. Subtract it from your property tax paid before calculating the Homestead Excess Property Tax Credit.
Does income from other household members count?
Yes. Part II, line 4e, asks for the income of all individuals living in the household who would file a separate tax return. That amount is included in the total gross income calculation.