No, VA excludes $20,000 in disability income.
Here is the language:
Up to $20,000 of disability income as defined by the Internal Revenue Code Section 22 (C ) (2) (B) (iii) can be subtracted when calculating Virginia taxable income. As defined under federal law, the subtraction applies to income received for permanent and total disability. The subtraction is equal to the amount of income received for total or permanent disability, not to exceed $20,000. You may not claim this subtraction if you claim the Age Deduction for Taxpayers Age 65 and Over.
Source: https://www.tax.virginia.gov/subtractions#disability-income
