West Virginia Code of State Rules › Agency 110 - Tax › Title 110 - LEGISLATIVE RULE STATE TAX DEPARTMENT › Series 110-21D - Residential Solar Energy Tax Credit › Section 110-21C-2 - Definitions

Current through Register Vol. XLI, No. 28, July 12, 2024
2.1. General Rule.
				-- Unless a specific definition is provided in subsection 2.2 of this section,
				or the context in which the term is used clearly requires a different meaning,
				the terms used in this rule have the definitions provided under W. Va. Code
				§§
									11-10-1, et
				seq. and 11-21-1, et seq.
2.2.
				Terms defined.
2.2.a. "Active solar heating"
				means a solar system that uses air or water that is moved by pumps or fans to
				collect, store and distribute the sun's energy to a residence or part of a
				residence.
2.2.b. "Component" means
				a solar energy system's equipment and materials.
2.2.c. "Cost to purchase and install" means
				reasonable and prudent funds actually invested and expended by a taxpayer into
				acquiring and placing into service equipment or components of a solar energy
				system in a residence to operate and produce energy at the expected level for a
				system of its size.
2.2.c.1. The costs may
				include expenditures for:
2.2.c.1.A.
				Architectural and engineering services, and designs and plans directly related
				to the construction or installation of the solar energy system;
2.2.c.1.B. Labor costs properly allocable to
				on-site preparation, assembly and original installation;
2.2.c.1.C. Materials; and
2.2.c.1.D. Delivery Fees.
2.2.c.2. The expenditures may not
				include:
2.2.c.2.A. Any part of the purchase
				price which is optional, such as an extended warranty;
2.2.c.2.B. Discounts; rebates; refunds; or
				federal, state or other grants;
2.2.c.2.C. Fees for use permits or
				variances;
2.2.c.2.D. Interest or
				other finance charges;
2.2.c.2.E.
				Land costs;
2.2.c.2.F. Legal and
				court costs;
2.2.c.2.G. Operating
				and maintenance costs;
2.2.c.2.H.
				Patent search fees;
2.2.c.2.I.
				Repair costs;
2.2.c.2.J. Service
				contracts;
2.2.c.2.K. Supplemental
				heating equipment costs used with solar collectors;
2.2.c.2.L. Unpaid equipment or materials;
				or
2.2.c.2.M. Unpaid labor
				including the taxpayer's labor.
2.2.d. "Credit" means the tax credit for
				purchasing and installing a solar energy system as a qualified rehabilitated
				building investment authorized by W. Va. Code §§
										11-21-8a
				or
				11-24-23a.
2.2.e. "Domestic water heating" means the
				heating of water used in a residence for bathing, clothes washing, dishwashing
				and other related functions.
2.2.f.
				"Installation" means the date in which the solar energy system is placed into
				service and becomes eligible for the solar energy system tax credit.
2.2.g. "OG" means operating guidelines
				developed by the Solar Rating and Certification Corporation (SRCC) including
				system performance or component characteristics defined by the SRCC in its
				directory. Operating guidelines shall be from the directory in effect at the
				date this rule is adopted.
2.2.h.
				"OG-100" means a rating and certification program administered by the SRCC that
				applies to that part of a solar energy system that is exposed to the sun and
				collects the sun's heat. The collectors can be used to heat water, air or other
				heat transfer media.
2.2.i.
				"OG-300" means a rating and certification program administered by the SRCC that
				applies to solar hot water systems and integrates results of collector tests
				with a performance model for the entire system and determines whether the
				system meets minimum standards for system durability, reliability, safety and
				operation.
2.2.j. "Passive solar
				space heating" means an energy system or building design that collects and
				stores solar energy received directly through south facing windows. The system
				or design is without powered moving parts and includes provisions to collect,
				store and distribute the sun's energy using only convection, radiation and
				conduction of energy.
2.2.k.
				"Photovoltaic (PV)" means relating to the production of electric current at the
				junction of two substances exposed to light.
2.2.l. "Photovoltaic cell" means a device
				capable of converting sunlight directly to direct current
				electricity.
2.2.m. "Photovoltaic
				module" means a number of photovoltaic cells (usually 20 or more) that are
				usually mounted within a frame under a transparent glass or plastic covering to
				form a module.
2.2.n. "Photovoltaic
				panel" means a panel consisting of a collecting of solar cells capable of
				producing direct current (DC) electrical energy when exposed to
				sunlight.
2.2.o. "Photovoltaic (PV)
				system" means an energy system that collects or absorbs sunlight for conversion
				into electricity. This includes solar collectors, batteries, inverters and
				solar system related wiring.
2.2.p.
				"Placed in service" means the date when a solar energy system is ready and
				available to produce useable energy.
2.2.q. "Solar collector" means a solar
				thermal collector or photovoltaic module.
2.2.r. "Solar domestic water heating system"
				means an energy system that uses roof-mounted or free-standing solar collectors
				to pre-heat incoming cold water so that on a sunny day, little or no backup
				water heating is needed.
2.2.s.
				"Solar electric system" (also called "PV" system) means an energy system that
				generates electricity directly from the sun using photovoltaic
				modules.
2.2.t. "Solar energy
				collector" means the solar thermal system component that absorbs solar energy
				for conversion into heat.
2.2.u.
				"Solar energy system" means a solar thermal system or photovoltaic system. The
				system includes all controls, tanks, pumps, heat exchangers, and other
				equipment used directly and exclusively for the solar energy system. The system
				does not include any land or structural elements of the building, such as walls
				and roofs, or other equipment ordinarily contained in the structure.
2.2.v. "Solar Rating and Certification
				Corporation (SRCC)" means an independent third-party certification entity that
				administers national certification and rating programs for solar energy
				equipment.
2.2.w. "Solar thermal
				system" means a system consisting of a solar energy collector with the primary
				purpose of converting sunlight to thermal energy and all devices and apparatus
				necessary to transfer and store the collected thermal energy for the purposes
				of heating water, space heating, or space cooling.
2.2.x. "Tax Commissioner" means the West
				Virginia State Tax Commissioner or his or her designee.
2.2.y. "Tax credit" means the solar energy
				system state tax credit.
2.2.z.
				"Taxpayer" means and includes any person or entity seeking to establish
				entitlement to the tax credit addressed in this rule.