Coal value added facilities-tax exemptions.

WORKING DRAFT

ORIGINAL HOUSE

BILL

NO.
0061

ENROLLED ACT NO. 5, HOUSE OF REPRESENTATIVES

FIFTY-EIGHTH LEGISLATURE OF THE STATE OF
WYOMING
2006 BUDGET SESSION

AN ACT relating to taxation and revenue; creating a sales and use tax exemption for new coal gasification or coal liquefaction facilities as specified; providing for annual reports; and providing for an effective date.

Be It Enacted by the Legislature of the State of
Wyoming
:

Section 1.

W.S. 39
‑
15
‑
105(a)(viii) by creating a new subparagraph (R) and 39
‑
16
‑
105(a)(viii) by creating a new subparagraph (G) are amended to read:

39
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15
‑
105.

Exemptions.

(a)

The following sales or leases are exempt from the excise tax imposed by this article:

(viii)

For the purpose of exempting sales of services and tangible personal property as an economic incentive, the following are exempt:

(R)

The sale of equipment used to construct a new coal gasification or coal liquefaction facility. The exemption provided by this subparagraph shall be limited to the acquisition of equipment used in a project to make it operational. The exemption shall not apply to tools and other equipment used in construction of a new facility, contracted services required for construction and routine maintenance activities nor to equipment utilized or acquired after the facility is operational.

39
‑
16
‑
105.

Exemptions.

(a)

The following purchases or leases are exempt from the excise tax imposed by this article:

(viii)

For the purpose of exempting sales of services and tangible personal property as an economic incentive, the following are exempt:

(G)

The purchase of equipment used to construct a new coal gasification or coal liquefaction facility. The exemption provided by this subparagraph shall be limited to the acquisition of equipment used in a project to make it operational. The exemption shall not apply to tools and other equipment used in construction of a new facility, contracted services required for construction and routine maintenance activities nor to equipment utilized or acquired after the facility is operational.

Section 2.

(a)

The
Wyoming
business council and the department of revenue shall jointly report on or before December 1 of each year the exemption provided by this act is in effect to the joint minerals, business and economic development interim committee and the joint revenue interim committee. The report shall evaluate the cumulative effects of the exemption from initiation of the exemption and shall include:

(i)

A history of employment in the coal gasification and coal liquefaction industry in terms of numbers of employees, full-time and part-time employees, and rate of turnover;

(ii)

A history of wages and benefits disaggregated by gender for each job category; and

(iii)

A comprehensive history of taxes paid to the state of
Wyoming
by companies in the coal gasification and coal liquefaction industry.

Section 3.

This act is effective immediately upon co
m
pletion of all acts necessary for a bill to become law as provided by Article 4, Section 8 of the Wyoming Constit
u
tion.

(END)

Speaker of the House

President of the Senate

Governor

TIME APPROVED: _________

DATE APPROVED: _________

I hereby certify that this act originated in the House.

Chief Clerk

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