§40-18-214. Availability of tariff credits; tariff costs treated as income; minimum employment level.

(a) Tariff credits authorized by this article shall not be available for new qualifying projects after December 31, 2015, unless the Legislature, by joint resolution, votes to continue or reinstate the tariff credit for new projects after that date. No action or inaction on the part of the Legislature shall reduce or suspend any tariff credit in any past or future calendar year with respect to any investing company which files a statement of intent pursuant to Section 40-18-207 on or prior to December 31, 2015, it being the sole intention of this section that failure of the Legislature to adopt a joint resolution continuing the tariff credit for periods after December 31, 2015, shall affect only the availability of the tariff credit to new qualifying projects after that date, and shall not affect qualifying projects which have established their eligibility to receive tariff credits under Section 40-18-208 on or prior to December 31, 2015.

(b) If at any time after the receipt of a notice of tariff credit from the state as provided in Section 40-18-208 the investing company should receive a refund, credit, or other form of return of its tariff costs from the United States from a final assessment upon which such tariff credit is based, such tariff costs shall be treated as income up to the total value of the tariff credit listed in the notice of tariff credit received by the investing company as of the date of receipt of the refund, credit, or return of tariff costs. The investing company shall pay tax on the income at the rate of one hundred percent, against which no credit under Article 7 of this chapter shall be allowed.

(c) If an investing company does not maintain the minimum employment level for a qualifying project for each of the eight consecutive tax years after the year in which the term of the qualifying project is completed, as shown by an affidavit provided in subsection (b) of Section 40-18-211, the state will be entitled to seek return of the tariff credit provided to the investing company in an amount pro rata to the eight tax years commencing after the term of the qualifying project is completed.

(Act 2011-648, p. 1651, §10.)