Yes, witch hazel loses its leaves in winter. The plant is deciduous, so it drops every leaf each fall the way a maple or an oak does. What makes witch hazel deciduous in a useful way is the timing. The leaves fall first, and the flowers open on the bare twigs right after. That order is the whole reason the plant earns its winter fame.
You watch the golden leaves drop in autumn, and only then do the strange little flowers stand out on the empty branches. The bare wood gives the blooms a clear stage for your eye. There is no green canopy left to hide them and no other shrub in your yard competing for attention. That is why you notice the flowers in cold months and walk right past the same plant all summer.
The autumn show comes first. The witch hazel fall color turns a warm mix of golden yellow, brown, and orange across the whole shrub. These leaves hang on for a few weeks, then loosen and fall as the cold sets in. By the time the flowers are ready, most of the canopy is on the ground. The shrub looks bare and a bit plain at this stage, and that is exactly the point. You want that empty frame, because it is what the blooms need to stand out for you later.
Then the flowers arrive. Common witch hazel blooms on bare branches from October into November, well after the leaves have gone. Each flower has thin yellow strap-shaped petals tucked tight against the twigs. The petals coil up in a hard freeze. They unroll again once the day warms back up. This small trick protects the open bloom from frost, and it lets one shrub flower across many cold weeks instead of losing it all in one bad night.
Early Fall
Leaves shift to golden yellow, brown, and orange across the shrub.
Mid Fall
The leaves loosen and drop, leaving bare gray twigs behind.
Late Fall To Winter
Yellow flowers open on the bare wood and scent the cold air.
There is one quirk worth knowing about. On common witch hazel, the yellow leaves and the yellow blooms can overlap for a short stretch. Both are the same warm shade, so the last bits of foliage half-hide the flowers for a week or two. I always tell people not to judge the plant during this window. Once those final leaves drop, the blooms pop out and you get the full display at last.
Do not treat the leaf drop as a sign of trouble. A bare witch hazel in late fall is a healthy plant doing its normal thing, not a sick one. You do not need to water it more, feed it, or wrap it for the cold. The same shrub that looks plain in summer becomes the brightest thing in your yard once the leaves clear. Bare twigs in November are a good sign for you, not a worry, and the flowers prove it within days.
So plan around the bare wood instead of fighting it. Because witch hazel deciduous habit strips the plant down right before it flowers, you should site the shrub where you walk past it in winter. The flowers on bare branches are its main cold-season feature, so put it near a door, a path, or a window you use often. Give it a spot with some sun and you will get denser growth and heavier bloom than a shaded plant shows you. For my own yard, I prefer a place that catches low winter light, since that makes the yellow petals glow against the gray twigs.
Read the full article: Witch Hazel Shrub: Grow, Care, and Bloom