PDF document

- 1 -

Rev. 02-17
Schedule West Virginia
State Tax
CL Credit for Coal Loading Facilities Department

T axPeriod
Beginning End
Date Date
Business ID
Name Number
Computation of nEW E ligiblE invEstmEnt
Column 1 Column 2 Column 3
Net Cost Percentage Allowable Cost Investment
1. Coal loading facilities property with useful life of 4 or more
but less than 6 years............................................................... $ 33 ⅓% $
2. Coal loading facilities property with useful life of 6 or more
but less than 8 years............................................................... $ 66 ⅔% $

3. Coal loading facilities property with useful life of 8 years or more $ 100% $

4. Total eligible coal loading facilities investment........................................................................................................ $
5. Total potential coal loading facilities credit (10% of line 4)..................................................................................... $
6. Available annual coal loading facilities credit (10% of line 5)................................................................................. $
Incomplete information will result in the disallowance of the credit.**Adjustments, including the disposal of property or machinery before the originally stated useful
life, may also result in the recapture of credit previously claimed. See instructions.
CredIt ClAImed
(Years prior to current tax period)
Tax Period Ending Original Available Annual Credit Adjustments** Net Available Annual Credit
9
8
7
6
5
4
3
2
1
7. Available annual coal loading facilities credit from prior years. ............................................................................ $
8. Total available annual coal loading facilities credit (line 6 plus line 7).................................................................... $
9. a) Total severance tax (Sch. A, Line 1 of the SEV-401C)...................................................................................... $
b) Credit limit (50% of 9a)....................................................................................................................................... $
c) Coal loading facilities credit offset....................................................................................................................... $
10. a) Total business and occupation tax (From BOT-301E Line1)............................................................................ $
b) Credit limit (50% of 10a)................................................................................................................................... $
c) Coal loading facilities credit offset..................................................................................................................... $
11. Total credit claimed (lines 9c + 10c)...................................................................................................................... $
Note: that the sum of credit claimed on lines 9c and 10c. may not exceed 50% of the sum of the liabilities reported on lines 9a and 10a. this 50% limit also
applies to the sum of all tax credit claimed under §11-13e of the West Virginia Code. Unused annual credit is forfeited. Unused annual credit is forfeited.

Schedule CL

- 2 -

Enlarge image

Identification Number________________________________ Business Name__________________________________  Tax Period ________________ eaCh Item SeParately) loCatIoN of Item (lISt 

deSCrIPtIoN aNd 
ItemIzatIoN of ProPerty PurChaSed for Coal loadINg faCIlItIeS

PurPoSe

mm/dd/YYYY aCquIred
date 

mm/dd/YYYY PlaCed IN 
ServICe
ToTaL date 

Line 1, Schedule CL
page 1 Column 1, 4 or more but less 
Enter amount on 

than 6

Net CoSt/uSeful lIfe (yearS)

Line 2, Schedule CL Page 1 Column 1, 6 or more but less 
Enter amount on 

than 8

Line 3, Schedule CL Page 1, Column 1, Enter amount on 

8 or more

- 3 -

Enlarge image

Schedule CL
Coal Loading Facilities Credit Information & Instructions

The purpose of the Coal Loading Facilities Credit is to ProPerty PurChaSed for a
encourage the establishment of new or revitalized coal Coal loadINg faCIlIty
loading facilities in West Virginia. Property purchased for a coal loading facility is defined
NOTE: Coal Loading Facilities Credit no longer may be as real property and improvements thereto, and tangible
applied to reduce Sales and Use Taxes for taxable purchases personal property, but only if such real or personal property
of tangible personal property or services made for taxable is constructed or purchased for use as a component part of
years ending after June 30, 1993. a new or expanded coal loading facility, or the revitalization
of an existing coal facility located in West Virginia. Tangible
elIgIble taxPayerS personal property is included within the above definition
Eligibility for the Coal Loading Facilities Credit is limited to: only if depreciation or amortization, in lieu of depreciation,
is allowable in determining federal personal or corporation
1. Those who construct and operate a new coal loading
net income tax.
facility, and
The property to be included must have a useful life of four
2. Those who revitalize and operate existing coal loading
years or more. Useful life is defined as the period over which
facilities.
the asset may reasonably be expected to be useful in the
tyPe of Coal loadINg faCIlIty taxpayer’s business.
elIgIble for tax CredIt The leasing of property for a term of ten years or longer, if
For purposes of determining eligibility for the tax credit, a coal used as a component part of a coal loading facility, shall be
facility includes any building or structure specifically designed considered property purchased for a coal loading facility.
and solely used to transfer coal from a coal processing or
INelIgIble ProPerty
preparation facility, or from a coal storage facility, or both,
or from any means of transportation, to any means of rail or Property purchased for a coal loading facility shall not
barge transportation used to move coal. The credit applies include the following:
only when the transfer of coal is to any means of rail or barge 1. Property which was qualified for the Business
transportation and is not applicable when the transfer is to Investment and Jobs Expansion Credit (WV Code
any other form of transportation. The cost of land, if directly 11-13C-1 et seq.) or the Industrial Expansion and
associated and solely used for the loading of coal, is eligible Revitalization and Research Development Credits
for the credit. a coal loading facility also includes any device (WV Code 11-13D-1 et seq.);
or combination of machinery and equipment that is directly
associated with and solely used for the loading of coal. Such 2. Repair costs, including materials used in making the
items as the coal loading tipple, conveyors, coal storage repair, unless under generally accepted accounting
facilities, weighing equipment and rail trackage, if they are Principles the cost of the repair must be capitalized
directly associated with and solely used for the loading of and not expensed;
coal, are included within the definition. 3. motor vehicles licensed by the Department of motor
Eligible investment in a coal loading facility does not include Vehicles;
the cost of any coal processing, preparation, blending or 4. Airplanes;
sizing equipment or facility. Such equipment and facilities 5. Off-premise transportation equipment;
are not included even though the equipment may physically
be part of the coal loading facility and necessary or essential 6. Property located or primarily used outside of West
to the loading of commercially usable or marketable coal. Virginia;
7. Property acquired incident to the purchase of the
amouNt of CredIt stock or assets of an industrial taxpayer, which has
The tax credit shall be limited to 10% (1% for each of ten been previously designated property purchased for
consecutive years) of the total qualified investment in a coal Business Investment and Jobs Expansion Credit,
loading facility. The amount of credit employed in any given Industrial Expansion or Revitalization Credit, or
year shall not reduce the taxpayer’s liability for each of the Research and Development Credit.
following by more than 50%: Severance Tax (§11-13A), and
8. Property purchased prior to april 1, 1983.
Business and Occupation (§11-13). Any unused credit for a
particular year is forfeited.

WEST VIRgINIa STaTE Tax DEPaRTmENT 1 of 3
Sch. CL - Rev. 2/17

- 4 -

Enlarge image

Net CoSt CredIt reCaPture
Net Cost is the net monetary consideration provided for Credit attributable to property that ceases to be used in this
acquisition of title and/or ownership to the subject property. State prior to the end of its categorized useful life must be
Net cost does not include the value of any property given recalculated for all tax years according to actual useful life.
in trade or exchange for the property purchased for a coal For example, Company C invested $12 million in a coal
loading facility. If property is damaged or destroyed by loading facility with a designated useful life of over 8 years
fire, flood, storm, or other casualty or is stolen, the cost in 2000. The credit for Company C was calculated to equal
of replacement shall not include any insurance proceeds $1,200,000 or $120,000 per year for 10 years. However,
received in compensation. Company C closed its facility in 2005, so the facility’s actual
In the case of leased property, net cost shall be the rent useful life in West Virginia is reduced to only five years. The
reserved for the primary term of the lease, not to exceed 20 corresponding credit is reduced according to the above
years. Lease renewals, subleases or assignments shall not formula from $1,200,000 to $400,000 or $40,000 per year.
be considered. A reconciliation statement for 2000 through 2005 reflecting
an over utilization of credit must then be submitted with
In the case of self-constructed property, the cost thereof payment of additional tax, interest and penalties owed.
shall be the amount properly charged to the capital account
for purposes of depreciation. INStruCtIoNS for ComPutatIoN of
Coal loadINg faCIlItIeS CredIt
ProPerty PurChaSed for
multIPle buSINeSS uSeS Column 1 Enter the net costs of the property in Column
1 on the appropriate line determined by the
If property is purchased for multiple business uses including life of the property.
use as a component part of a new expanded or revitalized Columns 2,3 multiply the net costs in Column 1 by the
coal loading facility together with some other business or applicable percentages in Column 2. Enter
occupation not qualifying (for example, coal processing), the the results in Column 3.
cost of the property must be apportioned. The apportionment
of multiple-use properties must be thoroughly supported line 4 Add the figures in Column 3 and enter on Line
and explained by separate documents submitted with the 4. This is the taxpayer’s eligible investment.

application. Computation of Potential Current annual Credit
elIgIble INveStmeNt line 5 To determine the taxpayer’s total potential
current annual credit, which can be taken over
To determine the amount of investment eligible for the a period of ten years, multiply the total eligible
Coal Loading Facility Credit, the net cost of each property investment (Line 4) by 10%. Enter the result
purchased is multiplied by the applicable percent shown on Line 5.
below according to the useful life of the property. In order to
be eligible for the credit, the property must have been placed Computation of Current annual Credit
into use in West Virginia during the taxable year. To determine the taxpayer’s annual credit
Line 6
earned during the taxable year, multiply the
The applicable percent- total potential credit on Line 5 by 10%. Enter
If useful life is:
age is: the result on Line 6.
4 years or more but less Credit from Previous years
33 1/3%
than 6 years line 7 Enter any annual Coal Loading Facilities Credit
6 years or more but less from prior year(s). For eligible investments for
66 2/3%
than 8 years multiple year(s) a worksheet must be provided
8 years or more 100 % showing the computation.

examPle: Computation of total annual Credit
If a taxpayer purchases for $25,000 after april 1, 1983, a line 8 To determine the total amount of credit
conveyor belt for use in its coal loading facility which has available in the current taxable year, add the
a useful life of 6 years, the eligible investment is equal credit earned during the current year shown on
to $16,666.66. The eligible investment is calculated by Line 6 to the amounts available from previous
multiplying the cost of the equipment, ($25,000), times the years shown on Line 7. Enter the total on Line
applicable percentage according to the useful life, (66 ⅔%) 8.
to arrive at $16,666.66. The credit is equal to 10% of the line 9a Enter your total amount of pre-credit
eligible investment ($1,666.67). This credit must be claimed Severance Tax liability. (Line 1, Schedule A of
over a period of 10 years at a rate of 10% ($166.67) per year. SEV 401C)

WEST VIRgINIa STaTE Tax DEPaRTmENT 2 of 3
Sch. CL - Rev. 2/17

- 5 -

Enlarge image

line 9b   Enter 50% of Line 9a                           line 10b Enter 50% of Line 10a
line 9c  Enter the lesser of the amount shown on         line 10c Enter the lesser of the amount shown on 
         Line 8 or the amount shown on Line 9c.                   Line 8 or the amount shown on Line 10b.  
         This represents the maximum Coal Loading                 This represents the maximum Coal Loading 
         Facilities Credit available against your                 Facilities Credit available against your 
         Severance Tax Liability.                                 Business and Occupation Tax liability.
line 10a Enter your total amount of pre-credit Business  line 11  Enter the sum of credit claimed on line 9c and 
         and  Occupation  Tax  liability  (Line  1  BOT-          10c.
         301E).

WEST VIRgINIa STaTE Tax DEPaRTmENT                                                     3 of 3
Sch. CL - Rev. 2/17

PDF file checksum: 2289588138

(Plugin #1/8.13/12.0)