H. B. 2322
(By Delegates Williams, Hartman and Shaver)
[Introduced February 12, 2009; referred to the
Committee on Finance.]
A BILL to amend the Code of West Virginia, 1931, as amended, by
adding thereto a new section, designated §11-24-11c, relating
to authorizing a corporation net income tax credit for
reducing charges for home heating fuel and propane gas
provided to low-income residents.
Be it enacted by the Legislature of West Virginia:
That the Code of West Virginia, 1931, as amended, be amended
by adding thereto a new section, designated §11-24-11c, to read as
follows:
ARTICLE 24. CORPORATION NET INCOME TAX.
§11-24-11c. Credit for reducing heating fuel and propane gas
charges for low-income residential customers.
(a) General. -- A credit shall be allowed against the primary
tax liability of an eligible taxpayer under this article for the
cost of providing heating fuel or propane gas service at special reduced rates to qualified low-income residential customers which
has not been reimbursed by any other means.
(b) Definitions. -- For purposes of this section, the term:
(1) "Eligible taxpayer" means a utility or other corporate
entity which has provided heating fuel or propane gas
service to
qualified low-income residential customers at special reduced
rates.
(2) "Cost of providing heating fuel or propane gas
service at
special reduced rates" means the amount certified by the Public
Service Commission under the provisions of section two, article
two-c, chapter twenty-four, as the revenue deficiency incurred by
a utility or other corporate entity in providing heating fuel or
propane gas service at special reduced rates, as required by
section two, article two-c of chapter twenty-four.
(3) "Special reduced rates" means the rates ordered by the
Public Service Commission under the authority of section one,
article two-c of chapter twenty-four.
(4) "Qualified low-income residential customers" means
customers eligible to receive heating fuel or propane gas service
at special reduced rates.
(c) Amount of credit. -- The amount of the credit available to
any eligible taxpayer shall be equal to its costs of providing
heating fuel or propane gas
service at special reduced rates to
qualified low-income residential customers less any reimbursement of the cost which the taxpayer has received through any other
means.
(d) When credit may be taken. -- An eligible taxpayer may
claim a credit allowed under this section on its annual return for
the taxable year for which it receives certification of the amount
of its revenue deficiency from the Public Service Commission.
Notwithstanding the provisions of section sixteen of this
article to the contrary, no credit may be claimed on any
declaration of estimated tax filed for such taxable year prior to
July 1 of that taxable year. The credit may be claimed on a
declaration or amended declaration filed on or after that date, but
only if the amount certified will not be recovered by application
of the tax credit allowed by article thirteen-g of this chapter.
In that event, only that amount not recovered by the tax credit
allowed by article thirteen-g of this chapter may be considered or
taken as a credit when estimating the tax due under this article.
The eligible taxpayer may not recover more than one hundred percent
of its revenue deficiency as certified by the Public Service
Commission.
(e) Application of credit. -- The credit allowable by this
section for a taxable year is not subject to the fifty percent
limitation specified in section nine of this article.
Notwithstanding the provisions of section four, article thirteen-g
of this chapter, any unused credit may be carried over and applied against the eligible taxpayer's tax liability in the manner
specified in section five, article thirteen-g of this chapter.
(f) Copy of certification order. -- A copy of the
certification order from the Public Service Commission shall be
attached to any annual return on which a credit allowed by this
section is taken.
NOTE: The purpose of this bill is to
authorize a corporation
net income tax credit for reducing charges for home heating fuel
and propane gas provided to low-income residents.
Strike-throughs indicate language that would be stricken from
the present law, and underscoring indicates new language that would
be added.