W. Va. Code R. § 110-13-1a
Current through Register Vol. XLI, No. 50, December 13, 2024
Section 110-13-1a - Definitions1a.1. For purposes of this rule, terms have the meaning given to them by this Section, unless a different meaning is clearly required by either the context in which the term is used or by specific definition elsewhere in these rules.1a.2. Terms defined. 1a.2.1. Average four year generation - See Section 2o.1 of this rule.1a.2.2. "Business" includes all activities engaged in or caused to be engaged in with the object of gain or economic benefit, either direct or indirect. "Business" includes the rendering of gas storage service by any person for the gain or economic benefit of any person, including, but not limited to, the storage operator, whether or not incident to any other business activity. 1a.2.2.1. The business and occupation tax act imposes taxes upon persons engaged in business. The term "Business" includes all activities engaged in or caused to be engaged in with the object of gain or economic benefit, either direct or indirect.1a.2.2.2. In determining whether a business is engaged in for direct or indirect economic gain or benefit, the lack of profit suffered in the activity is not relevant; nor is it material that the business was engaged without profit as the primary motivation.1a.2.3. Capacity factor - See Section 2o.1 of this rule.1a.2.4. "Company use" means that amount of electrical energy, excluding station use and line loss, used to construct, maintain or operate generation, transmission, office or other facilities of the taxpayer in West Virginia, used in the conduct of any electric utility business in West Virginia or any electric energy generation business in West Virginia.1a.2.5. "Dekatherm" means the thermal energy unit equal to one million British thermal units (BTU's) or the equivalent of one thousand cubic feet of gas having a heating content of one thousand BTU's per cubic foot. 1a.2.5.1. For the purpose of calculating the tax imposed upon any gas storage business, the number of dekatherms of gas injected into or withdrawn from the gas storage reservoir during a tax month shall not include: 1a.2.5.1.a. Any gas consumed by a gas storage operation as fuel for compressors used to pump gas into or out of storage, including gas used in a recycling operation, whether or not that gas was temporarily placed into storage prior to its withdrawal for such use as fuel; or1a.2.5.1.b. Any gas used in a recycling operation of the storage reservoir.1a.2.5.2. All other gas injected into or withdrawn from a storage reservoir shall be included in the number of dekatherms constituting the measure of the tax base, and the measure shall not be decreased to reflect any loss of gas from storage or any gas which may escape or otherwise be lost.1a.2.6. "Ferroalloy" - See Section 2n.2 of this rule.1a.2.7. "Gas" means either natural gas unmixed, or any mixture of natural and artificial gas or any other gas.1a.2.8. "Gas storage operator" means any person who operates a storage reservoir or provides a storage service as defined in this Section, either as owner or lessee.1a.2.9. "Gas storage service" means the injection of gas into a storage reservoir, the storage of gas for any period of time in a storage reservoir, or the withdrawal of gas from a storage reservoir. Such gas may be owned by the storage operator or any other person.1a.2.10. Generating unit - See Section 2o.1 of this rule.1a.2.11. "Gross income" means the gross receipts of the taxpayer, received as compensation for personal services and the gross receipts of the taxpayer derived from trade, business, commerce or sales and the value proceeding or accruing from the sale of tangible personal property (real or personal), or service, or both, and all receipts by reason of the investment of the capital of the business engaged in, including rentals, royalties, fees, reimbursed costs or expenses or other emoluments however designated and including all interest, carrying charges, fees or other like income, however denominated, derived by the taxpayer from repetitive carrying of accounts, in the regular course and conduct of his or her business, and extension of credit in connection with the sale of any tangible personal property or service, and without any deductions on account of the cost of property sold, the cost of materials used, labor costs, taxes, royalties paid in cash or in kind or otherwise, interest or discount paid or any other expenses whatsoever.1a.2.12. "Gross proceeds of sales" means the value, whether in money or other property, actually proceeding from the sale of tangible property or the providing of services without any deduction on account of the cost of property sold or expenses of any kind.1a.2.13. "Gross West Virginia electric energy generation" means the total amount of electric energy produced by a generating station located in West Virginia without reduction for station use, company use, line loss or any other use, loss or deduction.1a.2.14. "Inactive reserve." - See Section 2o.1 of this rule.1a.2.15. "Kilowatt hours of electricity sold to consumers in this State that were not generated or produced in this State" means total kilowatt hours of electricity sold to consumers located in West Virginia less net kilowatt hours generated or produced in West Virginia as defined in Section 1a.2.21 of this rule.1a.2.16. "Kilowatt hours of net generation available for sale that was generated or produced in this State" means gross West Virginia electric energy generation less station use, as defined in this rule. "Kilowatt hours of net generation available for sale that was generated or produced in this State" shall not be reduced by company use, line loss or any other use, loss or deduction, except station use, as defined in this rule.1a.2.17. "Line loss" means loss of electrical energy by electrical resistance and electromagnetism occurring from or in electrical transmission lines or apparatus between any two points along the transmission lines or apparatus.1a.2.18. "Maximum possible annual generation." - See Section 2o.1 of this rule.1a.2.19. "Month" or "tax month" means the calendar month.1a.2.20. "Net generation." - See Section 2o.1 of this rule.1a.2.21. "Net Kilowatt hours generated or produced in West Virginia" means kilowatt hours of net generation available for sale that was generated or produced in this State, as defined in Section 1a.2.16 of this rule.1a.2.22. "Net number of dekatherms of gas injected" means the sum of the daily injections of dekatherms of gas in excess of the sum of the daily withdrawals of dekatherms of gas during a tax month.1a.2.23. "Net number of dekatherms of gas withdrawn" means the sum of the daily withdrawals of dekatherms of gas in excess of the sum of the daily injections of dekatherms of gas during a tax month.1a.2.24. "Official capability." - See Section 2o.1 of this rule.1a.2.25. "Peaking unit." - See Section 2o.1 of this rule.1a.2.26. "Person" or the term "company," used interchangeably in this rule, includes any individual, firm, partnership, joint venture, association, corporation, trust or any other group or combination acting as a unit, and the plural as well as the singular number, unless the intention to give a more limited meaning is disclosed by the context.1a.2.27. "Recycling operation" means the withdrawal of gas from a storage reservoir and the subsequent reinjection of gas into the same reservoir solely for the purpose of regulating the pressure of the storage reservoir or portion of the storage reservoir.1a.2.28. "Retired from service." - See Section 2o.1 of this rule.1a.2.29. "Sale," "sales" or "selling" includes any transfer of title to property or electricity, whether for money or in exchange for other property.1a.2.30. "State" or "this State" means the State of West Virginia.1a.2.31. "Station" or "generating station" means a station at which electrical generators, dynamos or other equipment or apparatus are used to convert mechanical, chemical, solar, geothermal or nuclear energy into electrical energy. The term includes, but is not limited to, those generating stations producing electrical energy by means of coal fired, gas fired, wood fired, gob fired, coal waste fired, coal refuse fired or waste fired electrical energy generation technology; and also includes, but is not limited to, stations producing electrical energy by means of nuclear fission or fusion, magnetohydro dynamic, fluidized bed combustion, solar, biomass, wind, fuel cell, steam turbine, fluid turbine, gas turbine, hydroelectric or pumped-storage hydroelectric electrical energy generation technology.1a.2.32. "Station use" or "plant use" means that amount of electric energy used by a generating station in the production of electricity and general operation of the generating station. The term "station use" or "plant use" includes the energy used for pumping water for purposes of providing stored energy at a pumped storage hydroelectric plant. "Station use" or "plant use" does not include company use or line loss.1a.2.33. "Storage reservoir" means that portion of any subterranean sand or rock stratum or strata into which gas is, was or may have been injected for the purpose of storage prior to March 1, 1989.1a.2.34. "Storage Utilization Index." - See Section 2e.1 of this rule.1a.2.35. "Taxable generating capacity." - See Section 2o.1 of this rule.1a.2.36. "Tax" means the Business and Occupation Tax imposed pursuant to W. Va. Code '11-13-1 et seq.1a.2.37. "Taxpayer" means any person liable for any tax under this rule.1a.2.38. "Taxable year" means the calendar year, or the fiscal year ending during the calendar year, upon the basis of which tax liability is computed under W. Va. Code '11-13-1 et seq. "Taxable year" means, in case of a return made for a fractional part of a year under the provisions of W. Va. Code '11-13-1 et seq., or under this rule, the period for which the return is made.1a.2.39. "Twelve consecutive months." - See Section 2o.1 of this rule.W. Va. Code R. § 110-13-1a