| State: |
WV |
| Incentive Type: |
Income/Franchise Tax Incentives and Credits |
| Incentive Title: |
Investment Credits |
| Description: |
1. MANUFACTURING INVESTMENT CREDIT: Allows a credit equal to 5% of the qualified investment pro-rated over a 10 year period at a rate of 10% per year. The credit may be used to offset up to 50% of the annual liability of corporate net income tax, severance tax and franchise tax credit for a period of 10 years. Any unused portion is forfeited.
2. CAPITAL COMPANY CREDIT: Investors in qualified West Virginia capital companies are entitled to a state tax credit equal to 50 percent of their investment. Capital companies must have a capital base of at least $1 million but not greater than $4 million.
3. HIGH GROWTH BUSINESS INVESTMENT TAX CREDIT A credit equal to 50% of the total value of the qualified investment made by an eligible taxpayer in a qualified research and development company that maintains its corporate headquarters in West Virginia is available. The credit is applied to business franchise tax with unused credit then applied to corporation net income tax. If taxpayer is an LLC (electing small business corporation or a partnership), then remaining unused portions are applied against the personal income tax liability of the eligible taxpayer's owners. Any unused remaining credit may be carried forward for 4 years, at the end of which any remaining credit is forfeited.
4. COAL LOADING FACILITIES CREDIT A credit is available for businesses which purchase real or personal property for the purpose of building or constructing a new or expanded coal loading facility or for revitalizing an existing coal loading facility. This credit is only available for such property which will transfer coal to rail or barge transportation. The credit is equal to 10% of calculated qualified investment and is applied over a 10-year period to offset up to 50% of annual tax liability for Business Franchise Tax, Business and Occupation TAx and Severence Tax. |
| Eligibility Requirements: |
1. Must be a new or expanding manufacturer with a qualified investment. Revitalizations are eligible. All applications must be timely filed.
2. Deferral based on investment with no new job creation required.
3. Must be an eligible taxpayer having made a qualified investment in a qualified research and development company maintaining its corporate headquarters in West Virginia.
4. Business must be purchasing property for revitalization of an existing coal loading facility, or for the construction of a new or expanded coal loading facility. The facility must transfer coal directly to rail or barge transportation. |
| Geographic Restrictions: |
Statewide |
| Granting Authority: |
State of West Virginia |
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