A cross-ply basalt V-notched butterfly specimens were subjected to pure tension, combined tension-shear, and shear stress-strain state using a modified Arcan test fixture with loading angles from 0° to 90° with 15° increment. Multiaxial stress and strain states were studied using the principal stress and strain ratio, from which the principal angle was determined and used to represent principal states in the gauge section. The quasi-elastic to non-linear transition stresses were determined for each loading angle. In biaxial stress-strain states and pure shear, the deformation and consequently the shear-induced damage start to accumulate significantly. Also, in biaxial stress-strain states between 15°-75°, the shift from tension-shear to pure shear was observed after the transition to the non-linear part of the stress-strain curve. The digital image correlation (DIC) images and microscopic evaluation show that a large extent of damage is the consequence of the shear deformation after the rotation of 0° clamped fibres, while the 90° fibres maintained their original straight form. In off-axis tests, the principal strain axis rotates towards the weakest material axis even at small off-axis angles. This causes a transition from a tension-shear biaxial state in the linear loading part to shear in the non-linear part, leading to irreversible damage beyond the transition point.