Source: http://www.wvlegislature.gov/Bill_Status/bills_text.cfm?billdoc=sb13%20intr.htm&yr=2012&sesstype=RS&i=13
Timestamp: 2018-04-20 11:42:42
Document Index: 415209258

Matched Legal Cases: ['§5', '§5', '§5', '§5', '§5', '§5']

SB 13 Text
Introduced Version Senate Bill 13 History
(By Senators Browning, Williams, Foster and Klempa)
A BILL to amend and reenact §5B-2E-7a of the Code of West Virginia, 1931, as amended; and to amend said code by adding thereto a new section, designated §5B-2E-7b, all relating generally to tourism development projects; removing annual credit cap for expansion projects; providing rule for determining credit for multiyear, multiphase projects; and providing consumers sales and service tax presumption.
That §5B-2E-7a of the Code of West Virginia, 1931, as amended, be amended and reenacted; and that said code be amended by adding thereto a new section, designated §5B-2E-7b, all to read as follows:
(b) The maximum amount of credit allowable in this article is equal to twenty-five percent of the approved, if the tourism development expansion project site is located within the permit area or an adjacent area of a surface mining operation, as these terms are defined in section three, article three, chapter twenty-two of this code, from which all coal has been or will be extracted prior to the commencement of the tourism development project, the maximum amount of credit allowable is equal to thirty-five percent of the approved company's approved costs as provided in the agreement.
(f) The total amount of tourism development expansion project tax credits for all approved companies pursuant to this section may not exceed $1,500,000 each calendar year: Provided, That this cap shall be eliminated for calendar years beginning on or after January 1, 2013, for project applications approved by the Development Office after June 30, 2012.
§5B-2E-7b. Computation and allowance of credit for multiphase,
multiyear projects; sales tax presumption.
(a) When an approved project, whether an original project or
an expansion project, will be completed in two or more phases over a period of forty-eight months or less, with such period computed beginning with the month in which construction first began, and the
phases have separate completion dates and separate dates on which
they will be open to the public, the baseline consumers sales and
service tax collections for that approved destination tourism development project sha11 be the taxes collected during the twelve
month period immediately preceding the month in which the first phase of the approved project is open to the public. The amount of
the credit, allowed by this article shall be twenty-five percent of
the cost of the first phase applied in equal installments over a ten-year period, and sha11 be applied against the additional consumers sales and service taxes collected over the baseline collections during the ten-year period that begins on the first day
of the calendar month in which the first phase of the project is first open to the public. When each subsequent phase of the approved project is completed and is opened to the public, twenty- five percent of the cost of that phase of the project shall constitute the amount of credit that may be claimed over a ten-year
period that begins on the first day of the calendar month in which
that phase is open to the public. In determining the amount of sales tax that the project may retain, the baseline sales tax collections applicable to the first phase of the project shall be
used for all phases of the approved project.
(b) For purposes of this article, it shall be presumed that the owners or lessees of the project collect and remit consumers sales and service taxes on a calendar year basis, with the annual
return for the calendar year filed at the end of January following
the close of the sales tax year as required by section twenty-one,
article fifteen, chapter eleven of this code.
NOTE: The purpose of this bill is to remove the cap on the amount of annual credit that may be awarded for destination tourism expansion projects approved after June 30, 2012. It provides a rule for determining amount of allowable credit when approved project is a multiyear, multiphase project; and provides a presumption that consumers sales and service tax is collected on calendar year basis.
§5B-2E-7b is new; therefore, strike-throughs and underscoring have been omitted.