reglab/statecodes huggingface dataset:
West Virginia Code of State Rules › Agency 110 - Tax › Title 110 - LEGISLATIVE RULE STATE TAX DEPARTMENT › Series 110-21G - Income Tax Paid At The Entity Level By Electing Pass-Through Entities › Section 110-21G-6 - Pass-Through Entity Qualification to Make the Election

Current through Register Vol. XLI, No. 28, July 12, 2024
Generally, a pass-through entity qualifies to make the
				  election only if it is taxable under W. Va. Code §11-21-1
et seq.,
and not taxable under W. Va. Code §11-24-1
et seq.
Any pass-through entity that is treated as a disregarded entity for federal
				  income tax purposes may not elect to be taxed under W. Va. Code
				  §11-21-3a.
West Virginia Code of State Rules › Agency 110 - Tax › Title 110 - LEGISLATIVE RULE STATE TAX DEPARTMENT › Series 110-21G - Income Tax Paid At The Entity Level By Electing Pass-Through Entities › Section 110-21G-7 - Taxable Income

Current through Register Vol. XLI, No. 28, July 12, 2024
7.1. West
				Virginia Taxable Income -- An electing PTE's West Virginia taxable income is
				the total of:
(1) all resident owner's share
				of the electing PTE's income or loss;
(2) all nonresident owner's share of
				pass-through entity income or loss, other than apportionable income, multiplied
				by the pass-through entity's apportionment percentage; and
(3) each nonresident owner's share of income
				allocable to West Virginia.
7.1.1.
				The electing PTE must determine the status of each owner as a resident or
				nonresident of West Virginia.
7.1.2. Individual owners of a pass-through
				entity are West Virginia residents if they meet the definition of "resident
				individual" specified in W. Va. Code §11-21-7.
7.1.3. Estates or trusts that are owners of a
				pass-through entity are West Virginia residents if they meet the definition of
				"resident
				estate or trust" specified in W. Va. Code §11-21-7.
7.1.4. Individual owners of a pass-through
				entity are nonresidents of West Virginia if they meet the definition of
				"nonresident individual" specified in W. Va. Code §11-21-7.
7.1.5. Estates or trusts that are owners of a
				pass-through entity are nonresidents of West Virginia if they meet the
				definition of "nonresident estate or trust" specified in W. Va. Code
				§11-21-7.
7.1.6. For the purposes of the electing PTE
				tax computation, owners may not be classified as part-year residents. Part-year
				residents will be calculated as nonresidents on the electing PTE
				return.
West Virginia Code of State Rules › Agency 110 - Tax › Title 110 - LEGISLATIVE RULE STATE TAX DEPARTMENT › Series 110-21G - Income Tax Paid At The Entity Level By Electing Pass-Through Entities › Section 110-21G-9 - Filing the Annual Electing Pass-Through Entity Tax Return

Current through Register Vol. XLI, No. 28, July 12, 2024
9.1. Electing PTEs
				are required to file their returns and the accompanying schedules, and make any
				tax payments electronically.
9.2.
				Electing PTE tax returns are due by the 15th day of the third month following
				the close of the taxable year.
9.3.
				For calendar year filers, the PTE tax return is due by March 15. West Virginia
				allows an automatic 6-month filing extension for electing PTE. An application
				for extension is required and must be filed on or before the original due date
				of the income tax return. An extension of time to file does not extend the due
				date for payment of taxes. An electing PTE must pay all electing PTE tax due by
				the original due date for filing the return.
9.4. If the annual return is filed within the
				automatic extension period, but less than 100 percent of the tax liability was
				paid on or before the original due date, a penalty will apply. That penalty may
				include revocation of the election of the pass-through entity to be taxed at
				the entity level, with tax liabilities, penalties and interest being assessed
				against the owners of the pass-through entity.
9.5. When an electing PTE files an annual
				West Virginia income tax return reflecting an overpayment, the Tax Division
				will refund the overpayment of electing PTE tax to the electing PTE. Only the
				electing PTE is entitled to request a refund of an overpayment of electing PTE
				tax. Owners of the electing PTE shall not be eligible for a refund of overpaid
				electing PTE tax.
9.6. An electing
				PTE must notify its owners that the election has been made and provide its
				owners with information regarding the income and related deductions and the
				amount of the reconciliation tax credit passed through to the owner so that
				owners can complete their West Virginia tax returns.
9.7. The total amount of reconciliation tax
				credits reported by an electing entity shall not exceed the total electing PTE
				tax paid by the electing PTE.
West Virginia Code of State Rules › Agency 110 - Tax › Title 110 - LEGISLATIVE RULE STATE TAX DEPARTMENT › Series 110-21G - Income Tax Paid At The Entity Level By Electing Pass-Through Entities › Section 110-21G-10 - Estimated Tax Payments

Current through Register Vol. XLI, No. 28, July 12, 2024
10.1. For
				the 2022 tax year, an electing PTE is not required to make estimated payments
				of tax and will not be subject to penalties or interest for not making
				estimated payments for that year.
10.2. For taxable years beginning on and
				after January 1, 2023, an electing PTE is required to make estimated payments
				if its tax for the taxable year can reasonably be expected to exceed
				$2,400.
10.3. Estimated payments
				for electing PTE will be based upon the requirements set forth in W. Va. Code
				§11-21-1
et seq.
and rules promulgated pursuant thereto. Calendar year filers are required to
				make four quarterly installments to the Tax Division: 25 percent of the amount
				due by April 15, 25 percent of the amount due by June 15, 25 percent of the
				amount due by September 15, and 25 percent of the amount due by December
				15.
10.4. Non-calendar year filers
				are required to make four quarterly installments to the Tax Division: 25
				percent of the amount due by the 15th day of the 4th month following the
				beginning of its fiscal year. Subsequent installments are payable by the 15th
				day of the 6th month, the 15th day of the 9th month, and the 15th day of the
				12th month following the beginning of its fiscal year. In case of any
				underpayment of estimated tax payments by an electing PTE, additions to tax,
				penalties and interest may be imposed in accordance with the West Virginia Tax
				Procedure and Administration Act.
West Virginia Code of State Rules › Agency 110 - Tax › Title 110 - LEGISLATIVE RULE STATE TAX DEPARTMENT › Series 110-21G - Income Tax Paid At The Entity Level By Electing Pass-Through Entities › Section 110-21G-11 - Nonresident Withholding Payments and Composite Payments

Current through Register Vol. XLI, No. 28, July 12, 2024
Electing PTEs should not make nonresident withholding
				  payments or payments associated with composite returns ("composite payments").
				  If nonresident withholding payments were made before the electing PTE made the
				  election to be an electing PTE taxed at the entity level, the electing PTE
				  should request the withholding payments be treated as an estimated payment, in
				  the form and manner as directed by the Tax Commissioner, or request a refund of
				  any such payments made.
West Virginia Code of State Rules › Agency 110 - Tax › Title 110 - LEGISLATIVE RULE STATE TAX DEPARTMENT › Series 110-21G - Income Tax Paid At The Entity Level By Electing Pass-Through Entities › Section 110-21G-12 - Filing Requirements for Nonresident Owners of an Electing Pass-Through Entity

Current through Register Vol. XLI, No. 28, July 12, 2024
An electing PTE may not file a composite return on behalf of
				  its nonresident owners. If a nonresident owner's only West Virginia source
				  income is through an electing PTE that fully pays the tax, that nonresident
				  owner is not required to file a West Virginia nonresident return, but may do so
				  at the election of the nonresident owner.
West Virginia Code of State Rules › Agency 110 - Tax › Title 110 - LEGISLATIVE RULE STATE TAX DEPARTMENT › Series 110-21H - Income Tax Credits For Property Taxes Paid › Section 110-21H-1 - General

Current through Register Vol. XLI, No. 28, July 12, 2024
1.1. Scope. -- This
				legislative rule addresses implementation of the income tax credits for
				property taxes paid by certain taxpayers.
1.2. Authority. -- W. Va. Code
				§§29A-2-6(c) and
				11-13MM-6.
1.3. Filing Date. -- April 30,
				2024.
1.4. Effective Date. -- April
				30, 2024.
1.5. Sunset Provision. --
				This rule shall terminate and have no further force or effect after August 1,
				2029.
West Virginia Code of State Rules › Agency 110 - Tax › Title 110 - LEGISLATIVE RULE STATE TAX DEPARTMENT › Series 110-21H - Income Tax Credits For Property Taxes Paid › Section 110-21H-4 - Disabled Veteran Real Property Tax Credit

Current through Register Vol. XLI, No. 28, July 12, 2024
4.1. Disabled veterans are entitled to a tax
				credit against their personal income tax in the amount of the timely paid West
				Virginia
ad valorem
real property tax paid on the disabled
				veteran's homestead during the personal income tax year.
4.2. For purposes of the disabled veteran
				real property tax credit, a "qualified disabled veteran" is both:
4.2.1. Honorably discharged from any branch
				of the armed services of the United States. For purposes of this requirement,
				the term "any branch of the armed services of the United States" means the
				Army, Navy, Air Force, Marine Corps and Coast Guard, the reserve components
				thereof, and the National Guard of the United States or the National Guard of a
				state or territory when members of the same have served on full-time active
				duty pursuant to Title 10 or Title 32 of the United States Code. To claim this
				credit, the taxpayer must provide documentation of honorable
				discharge.
4.2.2. Determined by the
				federal Department of Veterans Affairs to be at least 90 percent totally and
				permanently disabled due solely to service-connected disabilities. To claim the
				credit, the taxpayer must provide documentation of the determination by the
				Department of Veterans Affairs.
West Virginia Code of State Rules › Agency 110 - Tax › Title 110 - LEGISLATIVE RULE STATE TAX DEPARTMENT › Series 110-21H - Income Tax Credits For Property Taxes Paid › Section 110-21H-5 - Small Business Property Tax Adjustment Credit

Current through Register Vol. XLI, No. 28, July 12, 2024
5.1. Definitions. For the purposes of the
				small business property tax adjustment credit, the following terms are defined:
5.1.1. "Aggregate appraised value" means the
				true and actual value of all property in the state owned by the eligible
				taxpayer including the true and actual value of all property in the state owned
				by any related entity. For the purpose of this definition, all appraised
				property will be included into the appraised value including all real property
				and all personal property, including all property eligible for the credits
				granted under subsection 3.2 of this rule;
5.1.2. "Related entity" means:
5.1.2.a. An individual, corporation,
				partnership, affiliate, association or trust or any combination or group
				thereof controlled by the taxpayer;
5.1.2.b. An individual, corporation,
				partnership, affiliate, association or trust or any combination or group
				thereof that is in control of the taxpayer;
5.1.2.c. An individual, corporation,
				partnership, affiliate, association or trust or any combination or group
				thereof controlled by an individual, corporation, partnership, affiliate,
				association or trust or any combination or group thereof that is in control of
				the taxpayer; or
5.1.2.d. A member
				of the same controlled group as the taxpayer.
5.1.3. For purposes of this rule, "control,"
				with respect to a corporation, means ownership, directly or indirectly, of
				stock possessing 50 percent or more of the total combined voting power of all
				classes of the stock of the corporation which entitles its owner to vote.
				"Control", with respect to a trust, means ownership, directly or indirectly, of
				50 percent or more of the beneficial interest in the principal or income of the
				trust. The ownership of stock in a corporation, of a capital or profits
				interest in a partnership or association or of a beneficial interest in a trust
				shall be determined in accordance with the rules for constructive ownership of
				stock provided in section 267(c) of the United States Internal Revenue Code, as
				amended: Provided, That paragraph (3) of section 267(c) of the United States
				Internal Revenue Code shall not apply.
5.1.4. "Small business" means a business with
				personal property located in this state with an aggregate appraised value of $1
				million or less. For the purposes of this rule, "small business" does not
				include any person holding a working interest in any oil, natural gas, or
				natural gas liquid producing property or any public service company that is
				centrally assessed by the state for property tax purposes.
West Virginia Code of State Rules › Agency 110 - Tax › Title 110 - LEGISLATIVE RULE STATE TAX DEPARTMENT › Series 110-22 - Property Transfer Tax › Section 110-22-1 - General

Current through Register Vol. XLI, No. 28, July 12, 2024
1.1. Scope. --
				These regulations establish general operating procedures for the Property
				Transfer Tax.
1.2. Authority. -- W.
				Va. Code §§
									11-10-5 and
				11-22-5.
1.3. Filing Date. -- April 24,
				2023.
1.4. Effective Date. -- April
				24, 2023.
1.5. Sunset Provision. --
				This rule shall terminate and have no further force or effect upon August 1,
				2028.
West Virginia Code of State Rules › Agency 110 - Tax › Title 110 - LEGISLATIVE RULE STATE TAX DEPARTMENT › Series 110-22 - Property Transfer Tax › Section 110-22-3 - Taxation Rate

Current through Register Vol. XLI, No. 28, July 12, 2024
3.1. A state
				excise tax is levied and imposed on and after midnight of June 30, 1959, upon
				the privilege of transferring title to real estate by every person who
				delivers, accepts, or presents for recording, any document referred to in
				Section 2 of these regulations, or in whose behalf any document is delivered,
				accepted, or presented for recording.
3.1.1.
				The rate of tax is one dollar and ten cents ($1.10) for each five hundred
				dollars ($500) value or fraction thereof as represented by such document as
				stated in the declaration of value appended thereto, which is a state tax. In
				addition, by an Act of the 1967 Regular Session of the West Virginia
				Legislature, on and after January 1, 1968, and additional county excise tax for
				the privilege of transferring title to real estate is imposed at the rate of
				fifty-five cents (.55) for each five hundred dollars ($500) or fraction thereof
				as represented by such document, for a total tax of one dollar and sixty-five
				cents ($1.65), which shall be payable by the grantor unless the grantee accepts
				the same without the tax having been paid, in which case the tax shall be paid
				by grantee at the time of delivery or presenting for recording of such
				document.
3.1.2. On and after July
				1, 1989, the county excise tax of fifty-five cents (55) for each five hundred
				dollars ($500) of value, or fraction thereof, may be increased to an amount
				equal to the State excise tax of one dollar and ten cents ($1.10) for each five
				hundred dollars ($500) of value, or fraction thereof: Provided, that on and
				after July 1, 2017, the county may increase the excise tax to an amount not to
				exceed one dollar and sixty-five cents for each five hundred dollars' value, or
				fraction thereof: Provided, however, That such county excise tax may only be
				either fifty-five cents (55) or one dollar and ten cents ($1.10) or one dollar
				and sixty-five cents ($1.65) for each five hundred dollars ($500) of value, or
				fraction thereof. No such increase in the county excise tax may occur unless
				approved by a majority vote of the members of the county commission: Provided,
				That no vote may occur unless the county commission published a notice of its
				intention to increase such tax, and the proposed effective date of such
				increase, at least sixty (60) days prior to the meeting where the matter will
				be considered, the notice was published as a Class I legal advertisement in
				accordance with W. Va. Code §
										59-3-1 et seq., and the
				publication area is the county in which the county commission is
				located.
West Virginia Code of State Rules › Agency 110 - Tax › Title 110 - LEGISLATIVE RULE STATE TAX DEPARTMENT › Series 110-22 - Property Transfer Tax › Section 110-22-4 - Stamps, Affixation And Cancellation

Current through Register Vol. XLI, No. 28, July 12, 2024
4.1. Evidence of Payment. -- The payment of
				the tax imposed upon the privilege of transferring title to real estate shall
				be evidenced by the affixing of the documentary stamp, or stamps, to every
				document by the person executing, delivering, or presenting for recording such
				document.
4.2. Affixing Stamps. --
				Each stamp shall be affixed in such a manner that its removal will require the
				continued application of steam or water.
4.3. Cancellation of Stamps.
4.3.1. The person using or affixing such
				stamps shall write or stamp, or cause to be written or stamped thereon, the
				initials of his name and the date upon which stamps were affixed or used so
				that stamps may not again be used.
4.3.2. In the event the person presenting the
				document for recording has failed to cancel the stamps affixed thereto, the
				county clerk must then cancel the stamps by writing the date on the face of
				each stamp.
4.3.3. Where recorded
				documents are not microfilmed or otherwise photographically reproduced for
				recordation, the clerk shall write or stamp on the recorded copy of each such
				document the amount of tax stamps which were affixed thereto and the date of
				cancellation of such stamps.
West Virginia Code of State Rules › Agency 110 - Tax › Title 110 - LEGISLATIVE RULE STATE TAX DEPARTMENT › Series 110-22 - Property Transfer Tax › Section 110-22-5 - Reports

Current through Register Vol. XLI, No. 28, July 12, 2024
5.1. Proceeds from
				Sale of Stamps. -- The clerk shall, at the end of the month, pay all of the
				proceeds collected from the sale of stamps for the State excise tax to the
				State Auditor in the manner provided by law. The proceeds shall be credited to
				the state general revenue fund. The clerk shall, at the end of the month pay
				all of the proceeds from the sale of stamps for the county excise tax into the
				county general fund for the use of the county.
5.2. Inventory Report. -- The county clerk
				shall prepare and submit to the Office of the Chief Inspector a semi-annual
				inventory of Documentary Stamps on a form available from the tax
				commissioner.
West Virginia Code of State Rules › Agency 110 - Tax › Title 110 - LEGISLATIVE RULE STATE TAX DEPARTMENT › Series 110-22 - Property Transfer Tax › Section 110-22-6 - Penalties

Current through Register Vol. XLI, No. 28, July 12, 2024
6.1. Recording
				Without Stamps. -- Any clerk who shall record any document without the proper
				documentary stamp or stamps affixed thereto, as is indicated in such document
				or accompanying declaration, shall, upon conviction in a court of competent
				jurisdiction, be fined fifty dollars. Whenever an instrument, claimed to be not
				a document subject to the tax, is presented for recording, the clerk shall
				require the instrument to contain a declaration stating why such instrument is
				not a taxable document within the meaning of the property transfer tax statute.
				No taxable document may be recorded without the proper amount of stamps
				affixed, but if recorded without said stamps, it cannot be used as the basis
				for any legal proceedings or as evidence in any legal proceeding until the
				proper amount of stamps are affixed.
6.2. Unlawful Acts. -- It is unlawful for any
				person to knowingly or willfully violate any of the provisions of the property
				transfer law and upon conviction of any violations, a person shall be fined not
				less than one hundred dollars ($100) nor more than one thousand dollars
				($1,000) or be imprisoned for not more than five (5) years or both.
West Virginia Code of State Rules › Agency 110 - Tax › Title 110 - LEGISLATIVE RULE STATE TAX DEPARTMENT › Series 110-23 - Business Franchise Tax › Section 110-23-1 - General

Current through Register Vol. XLI, No. 28, July 12, 2024
1.1. Scope. --
				These legislative regulations explain and clarify the West Virginia Business
				Franchise Tax set forth at W. Va. Code '11-23-1 et
				seq.
1.2. Authority. -- W. Va. Code
				'11-10-5.
1.3. Filing date. -- April 15,
				1992.
1.5. Effective date. -- April
				15, 1992.
West Virginia Code of State Rules › Agency 110 - Tax › Title 110 - LEGISLATIVE RULE STATE TAX DEPARTMENT › Series 110-23 - Business Franchise Tax › Section 110-23-2 - General Overview

Current through Register Vol. XLI, No. 28, July 12, 2024
2.1. The
				business franchise tax is imposed on partnerships, as defined in Section 3.19
				of these regulations, and corporations, as defined in Section 3.8 of these
				regulations, beginning July 1, 1987. The tax is imposed upon the privilege of
				doing business in the State of West Virginia or owning or leasing property
				having its business situs in the State. The tax is not an ad valorem property
				tax.
2.2. The measure of tax is the
				"capital" of the partnership or corporation, as defined in Section 3.4 of these
				regulations. If the taxpayer is taxable in more than one state, its capital
				must be apportioned using a four factor formula (property, payroll and sales)
				in which the sales factor is double weighted and the denominator is four. The
				tax rate is .75 percent of the adjusted and apportioned capital of the
				taxpayer. The minimum tax is fifty dollars ($50.00).
2.3. The tax is an annual tax, ninety percent
				(90%) of which must be remitted in installment payments during the taxable year
				by taxpayers having an estimated tax liability of more than twelve thousand
				dollars ($12,000.00). The taxable year is the same as the taxpayer's taxable
				year for federal income tax purposes. In the case of calendar year taxpayers,
				the annual return of corporations is due on March 15th of the next taxable
				year, and the annual return of partnerships is due on April 15th of the next
				taxable year. Declarations of estimated tax are due from calendar year
				taxpayers on April 15th of the current taxable year, at which time one-fourth
				(1/4) of the estimated tax must be remitted. Remaining installment payments are
				due June 15th, September 15th and December 15th for such calendar year
				taxpayers.
2.4. Credit is allowed
				against the tax for the payment of West Virginia bank shares taxes. Credit is
				also allowed for West Virginia business franchise taxes paid by subsidiaries,
				and credit is allowed for business and occupation tax paid.
2.5. Certain partnerships and corporations
				are exempt from the tax. This includes entities exempt from federal income
				taxes; insurance companies which pay the State premiums tax; farming
				partnerships and corporations and joint ventures which are not required to file
				federal partnership income tax returns under Section 761 of the Internal
				Revenue Code.
2.6. The business
				franchise tax is administered under the West Virginia Tax Procedure and
				Administration Act, W. Va. Code '11-10-1 et
				seq. Criminal penalties applicable with regard to administration of the
				business franchise tax are found in the West Virginia Tax Crimes and Penalties
				Act, W. Va. Code '11-9-1
				et seq.
West Virginia Code of State Rules › Agency 110 - Tax › Title 110 - LEGISLATIVE RULE STATE TAX DEPARTMENT › Series 110-23 - Business Franchise Tax › Section 110-23-3 - Definitions

Current through Register Vol. XLI, No. 28, July 12, 2024
3.1. General. --
				When used in these regulations, terms defined in this Section shall have the
				meanings ascribed to them herein unless a different meaning is clearly required
				by either the context in which the term is used, or by specific
				definition.
3.2. Business franchise
				tax act. -- The term "Business Franchise Tax Act" means W. Va. Code
				'11-23-1 et
				seq.
3.3. Business income. -- The
				term "business income" means income arising from transactions and activity in
				the regular course of the taxpayer's trade or business and includes income from
				tangible and intangible property if the acquisition, management and disposition
				of the property or the rendering of services in connection therewith constitute
				integral parts of the taxpayer's regular trade or business
				operations.
3.4. Capital. -- The
				term "capital" of a taxpayer means:
3.4.1. In
				the case of corporations, except an electing small business corporation, the
				average of the beginning and ending year balances of the sum of the following
				entries from Schedule L of the "Federal Form 1120," prepared following
				generally accepted accounting principles, and as filed by the taxpayer with the
				Internal Revenue Service for the taxable year:
3.4.1.1. The amount or value of all common
				and preferred stock of the taxpayer;
3.4.1.2. The amount of paid-in or capital
				surplus;
3.4.1.3. The amount of
				retained earnings, appropriated and unappropriated;
3.4.1.4. Less the cost of treasury
				stock.
West Virginia Code of State Rules › Agency 110 - Tax › Title 110 - LEGISLATIVE RULE STATE TAX DEPARTMENT › Series 110-23 - Business Franchise Tax › Section 110-23-4 - Tax Base Determined

Current through Register Vol. XLI, No. 28, July 12, 2024
4.1. The
				tax base of a taxpayer, for purposes of the business franchise tax, is the
				taxpayer's "capital," as defined in these regulations and as adjusted in
				accordance with W. Va. Code '11-23-3
				and Section 3.4 of these regulations.
4.2. If the taxpayer is also taxable in
				another state as defined in Section 3 of these regulations, then the tax base
				of the taxpayer shall be its "capital," as defined in W. Va. Code
				'11-23-3
				and Section 3.4 of these regulations, multiplied by the said taxpayer's
				apportionment fraction determined under W. Va. Code '11-23-5
				and Section 5 of these regulations.
West Virginia Code of State Rules › Agency 110 - Tax › Title 110 - LEGISLATIVE RULE STATE TAX DEPARTMENT › Series 110-23 - Business Franchise Tax › Section 110-23-6 - Imposition Of Tax

Current through Register Vol. XLI, No. 28, July 12, 2024
6.1. General.
				-- An annual business franchise tax is imposed under Section '11-23-6 of the
				West Virginia Code on the privilege of doing business in the State of West
				Virginia and in respect of the benefits and protections conferred. Such tax is
				collected from every domestic corporation, every corporation having its
				commercial domicile in the State of West Virginia, every foreign or domestic
				corporation leasing property located in the State of West Virginia or doing
				business in the State of West Virginia, and from every partnership owning or
				leasing property located in the State of West Virginia or doing business in the
				State of West Virginia. The tax is effective beginning July 1, 1987 for taxable
				years ending after that date.
6.2.
				Amount of tax and rate: July 1, 1987 to December 31, 1988. -- On and after the
				first day of July, 1987, the amount of tax imposed under Section '11-23- 6 and
				generally under Section '11-23-1 et seq. of the West Virginia Code shall be the
				greater of fifty dollars ($50.00) or .55% of the value of the tax base, as
				determined under Section '11-23-1 et seq. of the West Virginia Code and these
				regulations: Provided, That when the taxpayer's first taxable year under the
				said Section '11-23-1 et seq. of the West Virginia Code is a short taxable
				year, the taxpayer's liability shall be prorated based upon the ratio which is
				the number of months which the said short taxable year bears to twelve (12).
6.2.1. Example: If a taxpayer has a fiscal
				year ending on September 30, the 1987 short taxable year for that taxpayer will
				be three (3) months long and will constitute the period of July 1, 1987, to
				September 30, 1987. The taxpayer would be liable for a tax equal to the greater
				of $50 X 3/12ths, or the annual tax liability times 3/12ths.
West Virginia Code of State Rules › Agency 110 - Tax › Title 110 - LEGISLATIVE RULE STATE TAX DEPARTMENT › Series 110-23 - Business Franchise Tax › Section 110-23-7 - Persons And Organizations Exempt From Tax

Current through Register Vol. XLI, No. 28, July 12, 2024
The following organizations and persons shall be exempt from
				  the business franchise tax to the extent provided in Section '11-23-7 of the
				  West Virginia Code and in this Section of these regulations:
7.1. Natural persons doing business in the
				State of West Virginia that are not doing business in the form of a partnership
				(as defined in Section 3 of these regulations). Such persons include persons
				doing business as sole proprietors, sole practitioners and other self-employed
				persons.
7.2. Corporations and
				organizations which by reason of their purposes or activities are exempt from
				federal income tax: Provided, That this exemption shall not apply to that
				portion of their capital (as defined in Section
				110-23-3 of these
				regulations) which is used, directly or indirectly in the generation of
				unrelated business income.
7.2.1. For
				purposes of this regulation, "unrelated business income" means the gross income
				derived by any tax exempt corporation or organization from any unrelated trate
				or business (as defined in I.R.C. 513) regularly carried on by it which
				constitutes gross income for purposes of I.R.C. 512.
7.2.2. For purposes of this regulation, the
				determination of the portion of capital which is used directly or indirectly in
				the generation of unrelated business income shall be made by multiplying
				capital (as defined in Section
				110-23-3 of these
				regulations) of the corporation or organization by a fraction, the numerator of
				which is the total gross unrelated business income of the corporation or
				organization, and the denominator of which is the gross income of the
				corporation or organization from all of its activity.
7.2.3. Capital used directly or indirectly in
				the generation of unrelated business income shall be adjusted as provided in
				Section 3.4 of these regulations and apportioned as provided in Section
				110-23-5
				of these regulations when the corporation or organization is also taxable in
				another state.
West Virginia Code of State Rules › Agency 110 - Tax › Title 110 - LEGISLATIVE RULE STATE TAX DEPARTMENT › Series 110-23 - Business Franchise Tax › Section 110-23-8 - Accounting Periods And Methods Of Accounting

Current through Register Vol. XLI, No. 28, July 12, 2024
8.1. General rule. -- For purposes of the
				business franchise tax, a taxpayer's taxable year shall be the same as the
				taxpayer's taxable year or reporting year for federal income tax
				purposes.
8.2. Change of taxable
				year. -- If a taxpayer's taxable year or reporting year is changed for federal
				income tax purposes, the taxpayer's taxable year for purposes of the business
				franchise tax shall be likewise changed. The taxpayer shall provide a copy of
				the authorization for such change from the Internal Revenue Service with its
				business franchise tax return filed for the taxable year under Section '11-23-1
				et seq. of the West Virginia Code.
8.3. Methods of accounting.
8.3.1. Same as federal. -- A taxpayer's
				method of accounting under the Business Franchise Tax Act shall be the same as
				the taxpayer's method of accounting for federal income tax purposes. In the
				absence of any method of accounting for federal income tax purposes, the
				accrual method of accounting shall be used unless the Tax Commissioner
				consents, in writing, to the use of another method.
8.3.2. Change of accounting methods. -- If a
				taxpayer's method of accounting is changed for federal income tax purposes, its
				method of accounting for purposes of the business franchise tax shall likewise
				be changed. The taxpayer shall provide a copy of the authorization for such
				change from the Internal Revenue Service with its return filed for the taxable
				year under the Business Franchise Tax Act.
West Virginia Code of State Rules › Agency 110 - Tax › Title 110 - LEGISLATIVE RULE STATE TAX DEPARTMENT › Series 110-23 - Business Franchise Tax › Section 110-23-9 - Annual Returns

Current through Register Vol. XLI, No. 28, July 12, 2024
9.1. In
				general. -- Every person subject to the Business Franchise Tax Act shall make
				and file an annual return for the taxable year with the Tax Commissioner on or
				before:
9.1.1. The fifteenth (15th) day of
				the third (3rd) month of the next succeeding taxable year if the person is a
				corporation; or
9.1.2. The
				fifteenth (15th) day of the fourth (4th) month of the next succeeding taxable
				year if the person is a partnership.
9.1.3. The annual return shall include such
				information as the Tax Commissioner may require for determining the amount of
				business franchise taxes due for the taxable year.
West Virginia Code of State Rules › Agency 110 - Tax › Title 110 - LEGISLATIVE RULE STATE TAX DEPARTMENT › Series 110-23 - Business Franchise Tax › Section 110-23-10 - Extension Of Time For Filing Returns

Current through Register Vol. XLI, No. 28, July 12, 2024
The Tax Commissioner may grant a reasonable extension of time
				  for filing any returns or other documents required under the Business Franchise
				  Tax Act upon such terms as the Tax Commissioner prescribes in these
				  regulations. An extension of time for filing "Federal Form 1120," Federal Form
				  990T or Federal Form 1065 shall automatically extend the time for filing any
				  return or other document required by the Business Franchise Tax Act for the
				  same period as the extension for filing such federal form. An extension of time
				  for filing a return shall not extend the time for payment of the tax.
10.1. Documents and payment to be submitted
				for granting of an extension of time for filing returns. -- Taxpayers seeking
				an extension of time for filing a return under this Section shall pay the total
				amount of tax estimated to be due at the time of filing the request for such
				extension, unless an extension of time for paying tax has been requested and
				not denied, or has been granted, and shall at the time of filing the request
				for such extension file a copy of the taxpayer's request for an extension of
				time for filing "Federal Form 1120," Federal Form 990T or Federal Form 1065.
				Failure to file the aforesaid documents in a proper and timely manner or, if an
				extension of time for paying tax has not been requested or has been denied,
				failure to pay the total estimated tax due at the time of the submission of a
				request for an extension of time for filing a return under this Section shall
				result in the denial of an extension of time to file the West Virginia Business
				Franchise Tax return.
West Virginia Code of State Rules › Agency 110 - Tax › Title 110 - LEGISLATIVE RULE STATE TAX DEPARTMENT › Series 110-23 - Business Franchise Tax › Section 110-23-11 - Time And Place For Paying Tax Shown On Returns

Current through Register Vol. XLI, No. 28, July 12, 2024
11.1. In general. -- The person required to
				make the annual return required by the Business Franchise Tax Act, shall,
				without assessment or notice and demand from the Tax Commissioner, pay such tax
				at the time and place fixed for filing the return (determined without regard to
				any extension of time for filing the return).
11.2. Date fixed for payment of tax. -- The
				date fixed for payment of the business franchise tax shall be deemed to be a
				reference to the last day fixed for such payment (determined without regard to
				any extension of time for paying the tax).
West Virginia Code of State Rules › Agency 110 - Tax › Title 110 - LEGISLATIVE RULE STATE TAX DEPARTMENT › Series 110-23 - Business Franchise Tax › Section 110-23-11a - Priority of Tax in Distributions of Property and Estates

Current through Register Vol. XLI, No. 28, July 12, 2024
11a.1. In the distribution, voluntary or
				compulsory, in receivership, bankruptcy or otherwise, of the property or estate
				of any person, all taxes due and unpaid under W. Va. Code '11-23-1 et.
				seq. shall be paid from the first money available for distribution in priority
				to all claims and liens except taxes and debts due the United States which
				under federal law are given priority over the debts and liens created by this
				article. Any person charged with the administration or distribution of any such
				property or estate who shall violate the provisions of this section shall be
				personally liable for any taxes accrued and unpaid under this article which are
				chargeable against the person whose property or estate is in administration or
				distribution.
11a.2. There is a
				priority for all unpaid business franchise tax in distributions of the property
				or estate of any person, and the tax must be paid from the first money
				available for distribution in priority to all other claims an liens, except
				taxes and debts due the United States.
11a.2.1. The distribution of property subject
				to federal tax liens is subject to the priority of such liens provided in the
				Internal Revenue Code.
11a.2.2. The
				distribution of property in federal bankruptcy proceedings is subject to the
				priorities of debts and liens provided in the United States Bankruptcy Code (11
				U.S.C. '101 et seq.)
11a.2.3. This
				priority applies to the amount of tax, interest, additions to tax, and
				penalties.
West Virginia Code of State Rules › Agency 110 - Tax › Title 110 - LEGISLATIVE RULE STATE TAX DEPARTMENT › Series 110-23 - Business Franchise Tax › Section 110-23-12 - Extensions Of Time For Paying Tax

Current through Register Vol. XLI, No. 28, July 12, 2024
12.1. Amount determined on return. -- The Tax
				Commissioner may extend the time for payment of the amount of the tax shown, or
				required to be shown, on any return required by the Business Franchise Tax Act
				(or any periodic installment payments), for a reasonable period not to exceed
				six (6) months from the date fixed for payment thereof.
12.2. Amount determined as deficiency. -- In
				accordance with Section '11-23-12 of the West Virginia Code and under these
				regulations, the Tax Commissioner may extend the time for the payment of the
				amount determined as a deficiency of the tax imposed by Section '11-23-1 of the
				West Virginia Code for a period not to exceed eighteen (18) months from the
				date fixed for payment of the deficiency. In exceptional cases, a further
				period of time not to exceed twelve (12) months may be granted. An extension of
				time under Section '11-23-12(b) of the West Virginia Code and this Section of
				these regulations may be granted only where it is shown to the satisfaction of
				the Tax Commissioner that payment of a deficiency upon the date fixed for the
				payment thereof will result in undue hardship to the taxpayer.
12.3. No extension for certain deficiencies.
				-- No extension shall be granted under Section '11-23-12 of the West Virginia
				Code or this Section of these regulations for any deficiency of tax, interest,
				penalties or other charges if such deficiency is due to negligence, intentional
				disregard of rules and regulations, or to fraud with intent to evade
				tax.
12.4. Documents to be
				submitted for granting an extension of time for paying the tax and procedure
				for applying for an extension of time for paying tax. - Taxpayers seeking an
				extension of time for paying tax under these regulations shall file a written
				request with the Tax Commissioner for such an extension on or before the time
				fixed by statute for payment of the tax. Such request shall set forth the
				relevant facts and the reason for the taxpayer's inability to make payment of
				the tax due on its tax return.
12.4.1. The
				taxpayer shall file its tax return or, in the case of a request for extension
				of time for paying tax made in conjunction with a request for extension of time
				for filing a return under Section
				110-23-10
				of these regulations, a copy of such request for extension of the time to file
				the return, with the request for an extension of time for paying the
				tax.
West Virginia Code of State Rules › Agency 110 - Tax › Title 110 - LEGISLATIVE RULE STATE TAX DEPARTMENT › Series 110-23 - Business Franchise Tax › Section 110-23-13 - Declaration And Payment Of Estimated Tax

Current through Register Vol. XLI, No. 28, July 12, 2024
13.1. Requirement of declaration. -- Every
				taxpayer subject to the business franchise tax under Section '11-23-1 et
				seq. of the West Virginia Code shall file a declaration of estimated tax for
				the taxable year if the taxpayer's liability for tax under Section '11-23-1 et
				seq. of the West Virginia Code can reasonably be expected to exceed twelve
				thousand dollars ($12,000.00) for the taxable year. A taxpayer not required by
				Section '11-23-13 of the West Virginia Code or this Section of these
				regulations to file a declaration and pay estimated tax may elect to so file
				and pay.
13.2. Definition of
				estimated tax. -- The term "estimated tax" means the amount which a taxpayer
				estimates to be its liability under W. Va. Code '11-23-1 et seq. for the
				taxable year.
13.3. Contents of
				declaration. -- The declaration shall contain such information as the Tax
				Commissioner may prescribe by the instructions for the declaration of estimated
				tax form or by the form itself.
13.4. Time for filing declaration. -- A
				declaration of estimated tax shall be filed on or before the fifteenth (15th)
				day of the fourth (4th) month of the taxable year, for any taxable year
				beginning after the thirtieth (30th) day of June, 1987.
13.4.1. Time for filing declaration for the
				period of July 1, 1987 to the end of the taxpayer's taxable year. - A
				declaration of estimated tax shall be filed on or before the fifteenth (15th)
				day of the third (3rd) month of any fiscal or calendar year tax quarter ending
				after July 1, 1987 for the tax liability accrued on and after July 1, 1987,
				through the end of any taxable year ending before June 30, 1988, if the
				taxpayer's liability for tax under Section '11-23-1 et seq. of the West
				Virginia Code, can reasonably be expected to exceed six thousand dollars
				($6,000.00) for the period of July 1, 1987 to the end of the taxpayer's taxable
				year or through December 31, 1987, whichever comes first, based on a monthly
				pro ration of the estimated annual tax liability.
13.4.2. Payment of estimated tax for the
				period of July 1, 1987, to the end of the taxpayer's taxable year. - The
				estimated tax due for the period of July 1, 1987, to the end of the taxable
				year ending before June 30, 1988, shall be paid in equal installments, the
				number of which is determined by the number of tax quarters, or partial tax
				quarters, remaining in the taxable year which end on or after July 1, 1987, but
				prior to June 30, 1988. The first installment payment shall be made at the time
				of filing the declaration. Remaining installments, if any, shall be paid on or
				before the fifteenth (15th) day of the third (3rd) month of each remaining tax
				quarter of the short taxable year.
West Virginia Code of State Rules › Agency 110 - Tax › Title 110 - LEGISLATIVE RULE STATE TAX DEPARTMENT › Series 110-23 - Business Franchise Tax › Section 110-23-14 - Requirements Concerning Returns, Notices, Records And Statements

Current through Register Vol. XLI, No. 28, July 12, 2024
14.1. General. --
				The Tax Commissioner may require any person to make such returns, render such
				statements, or keep such records, as the Tax Commissioner may deem sufficient
				to show whether or not such person is liable for tax under the Business
				Franchise Tax Act.
14.2. As a part
				of a full and complete tax return, the taxpayer shall provide:
14.2.1. A copy of pages one (1) through four
				(4) of its signed federal corporation income tax return or its signed federal
				partnership income tax return, as filed with the Internal Revenue Service for
				the taxable year; and
14.2.2. If a
				consolidated federal income tax return was filed for the taxable year:
14.2.2.1. Supporting schedules showing the
				consolidation of its income statement and balance sheet, including schedules
				supporting any eliminations and adjustments made to the income statement and
				balance sheet;
14.2.2.2. A copy of
				Federal Form 851 as filed with the Internal Revenue Service and supporting
				schedules displaying subsidiary corporations in which the taxpayer has stock
				ownership; and
14.2.2.3. A signed
				statement explaining the relationship and differences, if any, between the
				income statement and the balance sheet reported for federal consolidated filing
				purposes and the income statement and the balance sheet reported to the State
				of West Virginia under the tax imposed by Section '11-23-1 et seq. of the West
				Virginia Code.
West Virginia Code of State Rules › Agency 110 - Tax › Title 110 - LEGISLATIVE RULE STATE TAX DEPARTMENT › Series 110-23 - Business Franchise Tax › Section 110-23-15 - Signing Of Returns And Other Documents

Current through Register Vol. XLI, No. 28, July 12, 2024
15.1. General. -- Any return, statement or
				other document required to be made or filed under the provisions of the
				Business Franchise Tax Act or these regulations shall be signed in accordance
				with the instructions prescribed by the Tax Commissioner and in accordance with
				these regulations.
15.2. Signing of
				corporation returns. -- The return of a corporation shall be signed by the
				president, vice president, treasurer, assistant treasurer, chief accounting
				officer or any other officer duly authorized to so act. In the case of a return
				made for a corporation by a fiduciary, such fiduciary shall sign the return.
				The fact that an individual's name is signed on the return shall be prima facie
				evidence that such individual is authorized to sign the return on behalf of the
				corporation.
15.3. Signature
				presumed authentic. -- The fact that an individual's name is signed to a
				return, statement or other document shall be prima facie evidence for all
				purposes that the return, statement or other document was actually signed by
				that individual.
15.4. Verification
				of returns. -- Except as otherwise provided by the Tax Commissioner, any
				return, declaration or other document required to be made under Section
				'11-23-1 et seq. of the West Virginia Code shall contain or be verified by a
				written declaration that it is made under the penalties of perjury.
West Virginia Code of State Rules › Agency 110 - Tax › Title 110 - LEGISLATIVE RULE STATE TAX DEPARTMENT › Series 110-23 - Business Franchise Tax › Section 110-23-16 - Place For Filing Returns Or Other Documents

Current through Register Vol. XLI, No. 28, July 12, 2024
Tax returns, statements or other documents, or copies
				  thereof, required by Section '11-23-1 et seq. of the West Virginia Code or by
				  these regulations shall be filed with the Tax Commissioner by delivering such
				  returns, statements or other documents, or copies thereof, in person or by
				  mail, to the Tax Commissioner's office in Charleston, West Virginia: Provided,
				  That the Tax Commissioner may, by regulation, prescribe the place for filing
				  tax returns, statements or other documents or copies thereof.