How to Start a Bed and Breakfast in West Virginia: Health Permit, Sales Tax and the Wine License

Starting a bed and breakfast in West Virginia means dealing with several agencies that do not share one intake desk. The Secretary of State handles your entity filing, the West Virginia Tax Division issues your registration certificate, your county or city controls zoning and lodging tax, the local health department approves the breakfast side of the operation, and the Alcohol Beverage Control Administration (ABCA) controls the wine license. This guide puts those steps in the order most owners find easiest, with the fees you can verify today and the items you need to confirm with each agency directly.

This article is informational content, not legal or tax advice. Before you sign a lease, buy a building, or choose an ownership structure, talk with a West Virginia attorney and a certified public accountant (CPA).

What You Will Need Before You Start

Gather these before you file anything. Several steps depend on the others, and having the documents ready keeps you from restarting an application.

• A legal name for the business, checked for availability in the Secretary of State’s business search
• A decision on ownership: sole proprietorship, LLC, or corporation
• The property address, the deed or lease, and the zoning district the property sits in
• A floor plan showing guest rooms, bathrooms, the kitchen, and the dining area
• A budget that covers filing fees, permits, renovation, insurance, and several months of operating costs
• A bank account for the business and a plan for keeping guest deposits apart from personal funds
• A list of local offices to contact: the county or city planning office, the local health department, the local fire authority, and the county or city tax office

How to Start a Bed and Breakfast Business in West Virginia: The Steps

Step 1: Confirm zoning and the certificate of occupancy first

Do this before you buy or sign anything. Zoning decides whether a bed and breakfast is allowed at the address, and some residential districts limit the number of guest rooms or require a special use permit. Ask the county or city planning office in writing whether guest lodging is permitted at the property. If you are converting an existing home, ask whether the change of use requires a certificate of occupancy and what inspections come with it. Campground rules are separate. If you plan to add cabins, tent sites, or RV hookups, ask about those rules as their own item.

Step 2: Choose and form your legal entity

Many owners run a B&B as a sole proprietorship at first, but an LLC is common because it separates the business from your personal assets. Entity formation is handled by the Secretary of State through the WV One Stop Business Portal at business4.wv.gov. The Secretary of State’s main business page is sos.wv.gov/business.

For an LLC, you file Articles of Organization (Form LLD-1). The filing fee is $100. Standard processing takes 5 to 10 business days. Expedited options are added to the filing fee: $25 for in-person same day, $25 for next business day, $250 for 2 hours, and $500 for 1 hour. Online filings add a $1.00 portal processing fee. The name must contain “limited liability company,” “limited company,” or an accepted abbreviation such as LLC, and it must be distinguishable from every other registered or reserved name. If you need to hold a name while you finish paperwork, a name reservation costs $15 and lasts 120 days.

A corporation files Articles of Incorporation (Form CD-1) for the same $100 fee. Either way, an LLC or corporation files an annual report each year. The annual report costs $25 and is due between January 1 and June 30. Filings after June 30 cost $75, because a $50 late fee applies.

West Virginia does not require a separate commercial registered agent. The registered agent line on Form LLD-1 is optional, so you can name yourself or another individual. If you name an agent, keep the agent and address current, since changes are filed on Form AAO for $15.00. State law also appoints the Secretary of State as attorney-in-fact for every entity that files organizing documents, so the state can always accept legal papers on the company’s behalf.

Step 3: Register a trade name if you will not operate under your legal name

If the guest-facing name differs from your legal name, such as “Maple Ridge Inn” for an LLC called Ridge Hospitality LLC, register a trade name (DBA). DBAs are filed with the Secretary of State, not the county clerk. Individuals, sole proprietorships, and general partnerships file Form TN-1 with no filing fee. Corporations, LLCs, and other registered entities file Form NR-3 for $25.00, plus a $1.00 processing fee if you file through the One Stop Business Portal. The registration page is sos.wv.gov/business/registration-and-waivers/register-trade-name-dba.

Step 4: Get your Business Registration Certificate

West Virginia has no general statewide business license. The closest requirement is the Business Registration Certificate from the West Virginia Tax Division. It costs $30.00 as a one-time fee, and you must hold it before you engage in business. A separate certificate is required for each business location. The certificate stays valid until the business name, location, or ownership changes. Apply with Form WV/BUS-APP or online at business4.wv.gov. The Tax Division’s main site is tax.wv.gov.

Do not treat your Secretary of State filing as a substitute. Forming an LLC is a filing, not a license. The Tax Division certificate is the registration that matters for operating, and you will still need the health permit, lodging tax registration, and any local license on top of it.

Step 5: Apply for the local health permit before you serve breakfast

The health permit comes from your local health department, not the state. Each health department sets its own fee schedule under W. Va. Code 16-2-11(a)(9), so there is no single statewide fee to quote. Call before you buy equipment or finish the kitchen. Ask what plan review they require, when they inspect, which food-service rules apply to a breakfast operation, and whether a change in use or a new kitchen triggers a separate review. Get the answers in writing if you can. Do not serve breakfast or accept guests until the permit is in hand. Opening first is one of the most expensive mistakes in this business.

Step 6: Register for the hotel occupancy tax and collect sales tax

A bed and breakfast counts as a hotel under West Virginia’s hotel occupancy tax law. W. Va. Code 7-18-3 names inns, boarding houses, cabins, and tourist homes, so a B&B falls inside it. Only one level of government may impose the tax: a county or a city, not both. The base rate is 3%, and the tax may be raised to a maximum of 6% (W. Va. Code 7-18-1 and 7-18-2). As the operator, you collect the tax from guests and remit it to the taxing authority. Ask the county or city whether it imposes the tax, what rate it sets, and how and when you remit. These details are local and vary, so confirm the current rate and remittance schedule with that office before you publish room rates.

A narrow exclusion covers homes with fewer than three rooms rented up to 10 days a year. That is not a route for a year-round B&B. If you plan to rent guest rooms regularly, assume the tax will apply and confirm with the taxing authority.

On top of that, West Virginia’s 6% state sales tax applies to lodging. Where a municipality has adopted it, a 1% municipal sales tax is added to the 6% state rate. Today 101 municipalities charge it, and 107 will from January 1, 2027. Use the Tax Division’s business registration page at tax.wv.gov to confirm which tax accounts you need to collect lodging sales tax.

Step 7: Apply for the private wine bed and breakfast license if you plan to serve wine

If you want to serve wine to guests with dinner or at check-in, the ABCA private wine bed and breakfast license is the license for that. Under W. Va. Code 60-8-2, the license costs $150 a year plus a $100 operational fee, and it covers serving wine to guests. It is operated on a member and guest basis, which shapes how the program works, so ask the ABCA to explain that structure before you design a wine service around it. Confirm whether the $100 operational fee recurs each year, and confirm the application steps and timing with the ABCA. Do not assume the license covers anything beyond wine. Ask whether any other alcohol needs separate approval.

Step 8: Check trade licensing for renovation work

Most owners renovate before opening, and the people doing the work may need state licenses. West Virginia licenses many trades statewide. The Contractor Licensing Board requires a contractor license for residential work above $5,000 and for commercial work above $25,000. Electricians are licensed through the State Fire Marshal, and plumbers and HVAC technicians are licensed through the Division of Labor. Check each contractor’s license before you sign, and get the scope of work and proof of insurance in writing.

Step 9: Check city taxes and licenses if you are inside city limits

Your street address matters more than many new owners expect. The state’s business and occupation (B&O) tax applies only to utilities. The gross receipts tax that reaches shops and service businesses is levied by cities, usually together with a city business license and a weekly per-worker city service fee. If you hire staff, that fee applies to each worker. Confirm the city B&O rate, any city license, and the service fee with your city before you set prices. Also ask whether the city adds its 1% sales tax, which 101 municipalities charge today.

Step 10: Get insurance and separate your money

Talk with an insurance agent about a policy written for innkeepers. It should address guest injury, property damage, and liability for food served at breakfast. Ask whether the policy includes liquor liability before you serve wine. Open a separate business bank account so room revenue, guest deposits, and taxes you collect from guests stay out of your personal accounts. Track the tax separately from the first booking so the remittance does not catch you short.

Costs at a Glance

Item	Cost	Agency	Notes
LLC Articles of Organization (Form LLD-1)	$100 filing fee	Secretary of State	Expedited options and $1.00 online fee extra
LLC annual report	$25, or $75 after June 30	Secretary of State	Filed January 1 to June 30 each year
Name reservation	$15	Secretary of State	Holds the name for 120 days
Trade name (DBA)	No fee for individuals; $25.00 for entities, plus $1.00 online	Secretary of State	Form TN-1 or NR-3
Business Registration Certificate	$30.00, one-time per location	West Virginia Tax Division	Permanent until name, location, or ownership changes
Health permit	Set by the local health department	Local health department	Confirm the fee before you apply
Hotel occupancy tax	3% base, up to 6%, collected from guests	One county or city	Confirm rate and remittance schedule locally
State and municipal sales tax on lodging	6% state, plus 1% where a city has adopted it	West Virginia Tax Division	Confirm which accounts you need
Private wine bed and breakfast license	$150 a year plus $100 operational fee	ABCA	Confirm whether the $100 recurs

What Results to Expect

It helps to think about the first year in stages rather than outcomes. Many owners find the early months are taken up by paperwork, inspections, and renovation, and only then by building the booking process. Filing timelines are the most predictable part. An LLC filing usually completes in 5 to 10 business days under standard processing, and an expedited filing may finish the same day or within a few hours. Health permit and zoning timing depend on the local office, so ask for a written estimate and allow extra time. Revenue varies widely with location, season, and occupancy. Nothing in this article promises income. Test any plan that depends on a specific occupancy rate against local data, and the West Virginia Small Business Development Center at wvsbdc.com can help you check your assumptions.

Common Mistakes to Avoid

• Buying the property before confirming zoning. A use that cannot be permitted at that address cannot be fixed with paperwork.
• Treating the Secretary of State filing as a license. The LLC filing creates the entity. The Business Registration Certificate and health permit are the operating requirements.
• Assuming someone else handles the lodging tax. As the operator, you collect it from guests and remit it, so set up collection before the first booking.
• Assuming both a county and a city apply. Only one may impose the hotel occupancy tax, so find out which one does.
• Serving breakfast before the health permit is issued. Get the permit first, then book guests.
• Assuming the wine license covers everything. Ask the ABCA how the member and guest basis works and whether other alcohol needs approval.
• Hiring unlicensed contractors for renovation work above the Contractor Licensing Board thresholds.
• Missing the annual report deadline. A filing after June 30 costs $75 instead of $25.

Practical Tips

• Call each office before you apply, and write down the name of the person you spoke with and the date.
• A workable order is entity first, then DBA, then the Business Registration Certificate, then the health permit and lodging tax setup.
• Check the LLC name against your DBA and your website domain before you pay for a reservation.
• If you form an LLC, put June 1 on your calendar each year so the annual report is filed well before the June 30 cutoff.

Next Steps

1. Confirm zoning, guest lodging rules, and any certificate of occupancy in writing.
2. File your entity and, if needed, your DBA with the Secretary of State.
3. Register with the West Virginia Tax Division and contact the local health department.
4. Set up hotel occupancy and sales tax collection, and speak with the ABCA if you plan to serve wine.

This article is informational content, not legal or tax advice. Fees, rates, and deadlines change. Confirm each one with the named agency before you rely on it, and consult a West Virginia attorney and CPA for your situation.