West Virginia SB893: Providing tax credits for expenditures and activities related to biochar manufacturing

What the bill says

To amend the Code of West Virginia, 1931, as amended, by adding a new section, designated §11-24-45, relating to providing a tax credit against the state corporation net income tax for expenditures and activities related to the establishment and operation of biochar manufacturing facilities; defining terms; providing for rulemaking; establishing the amount of the tax credit; providing for limitations of the tax credit; establishing the duration of the tax credit; and providing for verification requirements. ARTICLE 24. CORPORATION NET INCOME TAX. §11-24-45. Tax credit for biochar-based.

From the introduced text, February 10, 2026:

A BILL to amend the Code of West Virginia, 1931, as amended, by adding a new section, designated §11-24-45, relating to providing a tax credit against the state corporation net income tax for expenditures and activities related to the establishment and operation of biochar manufacturing facilities; defining terms; providing for rulemaking; establishing the amount of the tax credit; providing for limitations of the tax credit; establishing the duration of the tax credit; and providing for verification requirements. ARTICLE 24. CORPORATION NET INCOME TAX. §11-24-45. Tax credit for biochar-based carbon oxide sequestration. (a) Legislative findings. The Legislature finds and declares (2) Federal law currently provides income tax credits under 26 U.S.C. § 45Q for certain manufacturing processes and industrial activities that result in the permanent utilization or storage of carbon oxides, including through the production and commercial use of biochar, subject to certification by the Internal Revenue Service; (3) Aligning state tax policy with existing federal incentives will improve West Virginia's ability to compete with other states for private capital investment, advanced manufacturing facilities, and long-term job creation; (4) Biochar production facilities represent a manufacturing opportunity that can be located in rural and coal-impacted communities by repurposing existing industrial sites, transportation infrastructure, and a skilled workforce with experience in energy, materials handling, and industrial operations; (5) In-state biochar production provides secondary …

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