Bill Text: WV HB4411 | 2022 | Regular Session | Introduced
Bill Title: Relating to the imposition of the minimum severance tax on coal
Spectrum: Partisan Bill (Republican 2-0)
Status: (Introduced - Dead) 2022-02-02 - To House Finance [HB4411 Detail]
Download: West_Virginia-2022-HB4411-Introduced.html
WEST virginia legislature
2022 regular session
Introduced
House Bill 4411
By Delegates Householder and
Criss
[By Request of the Tax and Revenue Department]
[Introduced January 26, 2022; Referred to the Committee on Energy and Manufacturing then Finance]
A BILL to amend and reenact §11-12B-3 of the Code of West Virginia, 1931, as amended, relating to the imposition of the minimum severance tax on coal; and making technical corrections to the code.
Be it enacted by the Legislature of West Virginia:
ARTICLE 12B. MINIMUM SEVERANCE TAX ON COAL.
§11-12B-3. Imposition of tax, credit.
(a) Imposition of tax.
– Upon every person exercising the privilege of engaging within this state in
severing, extracting, reducing to possession or producing coal for sale, profit
or commercial use, there is hereby imposed an annual minimum severance tax
equal to 50¢ cents per ton of coal produced by the taxpayer for
sale, profit or commercial use during the taxable year: Provided, That
for taxable years ending after May 31, 1993, the minimum severance tax imposed
on coal produced by the taxpayer for sale, profit or commercial use during such
taxable year shall be 75¢ cents per ton, with such rate increase
to apply only to tons of coal produced after May 31, 1993: Provided,
however, That for taxable years ending after December 31, 1999, the minimum
severance tax on coal may not be imposed on any ton of thin seam coal
produced on or after April 1, 2000, on which the severance tax is imposed by the
provisions of subsection (f), section three, article thirteen-a of this chapter
§11-13A-3 of this code.
(b) Credit against article
thirteen-a tax the severance tax imposed under §11-13A-1
et seq. of this code – A person who pays the minimum severance
tax imposed by this article shall be allowed a credit against the severance tax
imposed on the privilege of producing coal by section three, article
thirteen-a of this chapter §11-13A-3 of this code, but not including
the additional severance tax on coal imposed by section six of article
thirteen-a of this chapter §11-13A- 6 of this code or, for taxable
years ending after December 31, 1999, the severance tax imposed by the
provisions of subsection (f), section three, article thirteen-a of this
chapter §11-13A-3 of this code on thin
seam coal produced on or after April 1, 2000. The amount of credit allowed
shall be equal to the liability of the taxpayer for the taxable year for
payment of the minimum severance tax on coal imposed by this article: Provided,
That the amount of credit allowed by this section may not exceed the severance
tax liability of the taxpayer for the taxable year determined under section
three of that article §11-13A-3 of this code exclusive of the
additional tax on coal imposed by section six of that article §11-13A-6
of this code and, for taxable years ending after December 31, 1999, of the
severance tax imposed by the provisions of subsection (f), section three,
article thirteen-a of this chapter §11-13A-3 of this code on thin
seam coal produced on or after April 1, 2000, after application of all
credits to which the taxpayer may be entitled except any credit allowed
pursuant to chapter five-e §5E-1-1 et seq. of this code,
any credit for installment payments of estimated tax paid pursuant to section
six of this article §11-12B-6 of this code during the taxable year
and any credit for overpayment of article thirteen-a tax the
severance tax imposed under §11-13A-1 et seq. Notwithstanding
anything herein to the contrary, in no event may the credit allowed under chapter
five-e of this code §5E-1-1 et seq. of this code be allowed
as a credit against the minimum severance tax imposed by this article.
NOTE: The purpose of this bill is correct cross references that exempt thin seam coal from the minimum severance tax.
Strike-throughs indicate language that would be stricken from a heading or the present law. and underscoring indicates new language that would be added.
