(a) "Qualified investment" means, with respect to any taxable year, the aggregate of the applicable percentage of the cost of each property purchased for the purpose of warehouse expansion as defined in subsection (b) hereof in the City, which is placed in service or use in the City by a warehouse taxpayer during such taxable year, determined under the following table:
If useful life is: The applicable percentage is: 4 years or more but less than 6 years 33 1/3 6 years or more but less than 8 years 66 2/3 8 years or more 100 |
For purposes of this subsection, the useful life of any property shall be determined as of the time such property is placed in service or use in the City by the taxpayer.
(b) "Property purchased for warehouse expansion" means real property and improvements thereto and tangible personal property but only if such property is constructed or purchased for use as a component part of a new or expanded business of warehouse taxpayer as defined in Section 787.36, which property is located within the City. Such term includes only tangible personal property with respect to which depreciation, or amortization in lieu of depreciation, is allowable in determining the personal income tax or corporation net income tax under West Virginia Code Article 11-21 and 11-24 and has a useful life, determined as of the time such property is placed in service or use, of four years or more. "Property purchased for warehouse expansion" does not include replacement property, motor vehicles licensed by the Department of Motor Vehicles, airplanes, off-premises transportation equipment or property purchased prior to the effective date of this section, nor property the construction, reconstruction or erection of which has begun, or contract therefor let, prior to the effective date of this section, nor does the term include property which is acquired incident to the purchase of the stock or assets of warehouse taxpayer as defined in Section 787.36, which property has been previously designated "property purchased for warehouse expansion" and so used to qualify for the tax credit provided by this section.
(c) "Cost" shall not include the value of any property given in trade or exchange for such new property purchased for warehouse expansion.
(d) Property acquired by lease for a term of ten years or longer if used as a component part of a new or expanded business of warehouse taxpayer as defined in Section 787.36 shall be considered "property purchased for warehouse expansion" and the applicable percentage of the cost of such property shall be one hundred percent (100%) of the rent reserved for the primary term of the lease not to exceed twenty years. Lease renewals, subleases or assignments shall not be considered "property purchased for warehouse expansion."
(e) The cost of property purchased for multiple business use including use as a component part of a new or expanded business of warehouse taxpayer together with some other business or occupation not qualifying under Section 787.37, shall be apportioned between such business and occupations and the proportions allocated to businesses of warehouse taxpayers shall be considered as "qualified investment" subject to the conditions and limitations of subsections (a) and (b) hereof.
(Ord. 9003. Passed 11-18-86.)