HB 656

Abstract

Coal refuse energy and reclamation tax credit.Creates a nonrefundable individual and corporate income tax creditfor taxable years 2023 through 2027 equal to $4 per ton of qualifiedcoal refuse used to generate electricity at an eligible facility,defined in the bill, in the Commonwealth by an eligible taxpayer,defined in the bill, during the taxable year. The amount of creditsthat may be claimed for a single eligible facility shall not exceed$1,665,000 in taxable year 2023, $2,220,000 in taxable year 2024,and $4,440,000 in taxable years 2025, 2026, and 2027. The aggregatecredits in each taxable year are capped at $7.5 million in taxableyear 2023, $10 million in taxable year 2024, and $20 million in taxableyears 2025, 2026, and 2027. The credit may be carried forward forfive taxable years. The credit shallbe administered by Department of Taxation, who shall compile andsubmit an annual report by November 1 of each taxable year with thenumber of eligible taxpayers applying for and utilizing the credit,the amount of credits approved, and data on the benefits to the Commonwealthof the use of qualified coal refuse to generate electricity at aneligible facility to the Chairmen of the House Committee on Finance,the House Committee on Appropriations, and the Senate Committee onFinance and Appropriations.