72 Pa. Stat. § 8703-J

Current through Pa Acts 2024-53, 2024-56 through 2024-92

Section 8703-J - Definitions.

The following words and phrases when used in this article shall have the meanings given to them in this section unless the context clearly indicates otherwise:

"Affiliate." A person that directly or indirectly through one or more intermediaries controls, is controlled by or is under common control with a qualified taxpayer. For purposes of this definition, the terms "control," "controlling," "controlled by" and "under common control with" mean the possession, directly or indirectly, of the power to direct or cause the direction of management and policies of a person, whether through the ownership of 20% or more of the voting securities, capital interests, profit interests or any similar equity interests in a business association of a person by contract or otherwise.

"Department." The Department of Community and Economic Development of the Commonwealth.

"Eligible facility." An electric generating facility placed in service before the effective date of this section consisting of one or more units placed in service before the effective date of this section that generates electricity located on the same property and that:

(1) combusts qualified coal refuse or fuel composed of at least 75% qualified coal refuse by BTU energy value in the prior calendar year;

(2) utilizes at a minimum a circulating fluidized bed combustion unit or pressurized fluidized bed combustion unit equipped with a limestone injection system for control of acid gases and a fabric filter particulate emission control system; and

(3) beneficially uses ash produced by the facility in the prior calendar year to reclaim mining-affected sites in accordance with 25 Pa. Code Ch. 290 (relating to beneficial use of coal ash) in amounts equal to at least 50% of the ash produced by the facility in the prior calendar year.

"Federal coal refuse reclamation tax credit amount." The actual amount of tax credits obtained by an eligible facility under a federal coal refuse reclamation tax credit program in the four federal tax quarters that precede the fiscal year in which credits are awarded under Section 1707-j(A).

"Federal coal refuse reclamation tax credit program." A program established under the federal internal revenue code that provides a tax credit for an eligible facility against federal income taxes based upon the amount of coal refuse used at the eligible facility.

"Pass-through entity." Any of the following:

(1) A partnership as defined in section 301(n.0).

(2) A Pennsylvania S corporation as defined in section 301(n.1).

(3) An unincorporated entity subject to section 307.21.

"Qualified coal refuse." Any waste coal, rock, shale, slurry, culm, gob, boney, slate, clay and related materials associated with or near a coal seam that are either brought above ground or otherwise removed from a coal mine in the process of mining coal or that are separated from coal during the cleaning or preparation operations. The term includes underground development wastes, coal processing wastes and excess spoil, but does not include overburden from surface mining activities.

"Qualified tax liability." The liability for taxes imposed under Article III, IV, VI, VII, VIII, IX, XI or XV. The term does not include tax withheld by an employer from an employee under Article III.

"Qualified taxpayer." A person that owns an eligible facility in this Commonwealth or is a transferor, purchaser, affiliate or assignee of a person to which a tax credit certificate is issued under this article.

"Tax credit." The coal refuse energy and reclamation tax credit provided under this article.

"Ton." Two thousand pounds of qualified coal refuse, including inherent moisture, ash, sulphur and other noncalorific substances, but excluding excess moisture.

72 P.S. § 8703-J

Amended by P.L. TBD 2019 No. 13, § 14, eff. 7/1/2019.

Added by P.L. TBD 2016 No. 84, § 33, eff. 7/13/2016.