Schedule C - Credit For Coal Loading Facilities (Page 4 of 6) in pdf

Schedule

oal

oading

aCilities

redit

& i

nFormation

nstruCtions

purpose of the Coal Loading Facilities Credit is

mounT of

rEdiT

to encourage the establishment of new or revitalized

The tax credit shall be limited to 10% (1% for each often

coal loading facilities in West Virginia.

consecutive years) of the total qualified investment in a

coal loading facility. The amount of credit employed in any

NOTE: Coal Loading Facilities Credit no longer may be

given year shall not reduce the taxpayer’s liability for each

applied to reduce Sales and Use Taxes for taxable purchases

of the following by more than 50%: Severance Tax (§11-

of tangible personal property or services made for taxable

13A), Business Franchise Tax (§11-23), and Business and

years ending after June 30, 1993.

Occupation (§11-13). Any unused credit for a particular year

is forfeited.

ligiblE

axpayErs

Eligibility for the Coal Loading Facilities Credit is limited

ropErTy

urChasEd for a

oal

oading

to:

aCiliTy

1. those who construct and operate a new coal loading

Property purchased for a coal loading facility is defined

facility, and

as real property and improvements thereto, and tangible

2. those who revitalize and operate existing coal loading

personal property, but only if such real or personal property

facilities.

is constructed or purchased for use as a component part of

a new or expanded coal loading facility, or the revitalization

ypE of

oal

oading

aCiliTy

ligiblE

of an existing coal facility located in West Virginia. Tangible

for

rEdiT

personal property is included within the above definition

only if depreciation or amortization, in lieu of depreciation,

For purposes of determining eligibility for the tax credit, a

is allowable in determining federal personal or corporation

coal facility includes any building or structure specifically

net income tax.

designed and solely used to transfer coal from a coal processing

or preparation facility, or from a coal storage facility, or both,

The property to be included must have a useful life of four

or from any means of transportation, to any means of rail or

years or more. Useful life is defined as the period over which

barge transportation used to move coal. The credit applies

the asset may reasonably be expected to be useful in the

only when the transfer of coal is to any means of rail or barge

taxpayer’s business.

transportation and is not applicable when the transfer is to

any other form of transportation. The cost of land, if directly

The leasing of property for a term of ten years or longer, if

associated and solely used for the loading of coal, is eligible

used as a component part of a coal loading facility, shall be

for the credit. A coal loading facility also includes any device

considered property purchased for a coal loading facility.

or combination of machinery and equipment that is directly

associated with and solely used for the loading of coal. Such

nEligiblE

ropErTy

items as the coal loading tipple, conveyors, coal storage

Property purchased for a coal loading facility shall not

facilities, weighing equipment and rail trackage, if they are

include the following:

directly associated with and solely used for the loading of

coal, are included within the definition.

1. Property which qualifies or was qualified for the

Business Investment and Jobs Expansion Credit (WV

Eligible investment in a coal loading facility does not include

Code 11-13C-1 et seq.) or the Industrial Expansion

the cost of any coal processing, preparation, blending or

and Revitalization and Research Development Credits

sizing equipment facility. Such equipment and facilities are

(WV Code 11-13D-1 et seq.);

not included even though the equipment may physically be

2. Repair costs, including materials used in making the

part of the coal loading facility and necessary or essential to

repair, unless under Generally Accepted Accounting

the loading of commercially usable or marketable coal.

Principles the cost of the repair must be capitalized

t West Virginia

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Schedule C - Credit For Coal Loading Facilities Page 4

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