Kentucky Application and Credit Certificate of Clean Coal Incentive Tax Credit

Application and Credit Certificate of Clean Coal Incentive Tax Credit
Schedule CCI
SCHEDULE

CCI

APPLICATION AND CREDIT CERTIFICATE
OF CLEAN COAL INCENTIVE TAX CREDIT

Commonwealth of Kentucky
Department of Revenue

2023

  See instructions.
  For Coal Purchased During Calendar Year

KRS 141.428

Name of Entity	

Federal Identification Number

  __ __ __ __ __ __ __ __ __

	
Number and Street	

Kentucky Corporation/LLET Account Number

__ __ __ __ __ __

	
City	

State	

ZIP Code	

Telephone Number

Name and Facility Location

Type of Entity (check applicable box):	
   Other 

Corporation	

Limited Liability Pass-through Entity	

Date Certified by the Energy and Environment Cabinet (Attach certification letter.) 	

General Partnership

__ __ / __ __/ __ __

PART I—Qualifying Tons of Coal Purchased During the Taxable Year and Used to Generate Electricity
	A	
	

B	

C	

D

For Department
		 Name and Kentucky Coal Severance Tax Account Number
Qualifying Tons of
Name of Supplier
of Taxpayer Subject to Kentucky
of Revenue Use Only
						
Coal Purchased
Coal Severance Tax On Qualifying Coal Purchases
Approved Tons Purchased
	

 1

 2
 3
 4
 5
 6
 7
 8
 9
10  Total Tons Purchased 	
I, the undersigned, declare under the penalties of perjury, that I have examined this application, including all accompanying schedules and statements, and to
the best of my knowledge and belief, it is true, correct, and complete.
	

Signature	

Title	

Date

	

Contact Name (if different from signer)	

Email Address

	

Telephone Number	

Fax Number

Department of Revenue Use Only
Part II—Tax Credit	
		
1	
Number of tons of approved eligible coal................................................................................. 	1	
2	 Tax credit (line 1 multiplied by $2)............................................................................................ 	2	

00

Taxpayer Use Only
Part III—Recap Schedule
1	 Approved credit from Part II, line 2...............................................................................................	1	
2	 Less:
	 (a) Credit against KRS 141.0401, Enter on Schedule TCS, Part II, Column E 	 2(a)	00	
	 (b) Credit against KRS 141.040, Enter on Schedule TCS, Part II, Column F.. 	 2(b)	00
	 (c)	 Credit against KRS 141.020................................................................... 	 2(c)	00
3	 Credit against KRS 136.120 (line 1 less the greater of line 2(a), 2(b), or 2(c)).............................	3	

00

00

No Carryforward Allowed

230255 41A720CCI (10-23)	

Page 1 of 2

Schedule CCI
(2023)

INSTRUCTIONS FOR SCHEDULE CCI

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The Clean Coal Incentive Tax Credit is applied against the individual income tax imposed by KRS 141.020 or the corporation income
tax imposed by KRS 141.040 and/or the limited liability entity tax (LLET) imposed by KRS 141.0401, and the public service corporation
property tax (state portion only) imposed by KRS 136.120. The amount of credit claimed against the corporation income tax and the LLET
can be different.
Purpose of Schedule—This schedule is used by taxpayers to
apply for the clean coal incentive tax credit per KRS 141.428 and
by the Department of Revenue to determine the approved tons of
coal purchased.
Who is Entitled to the Credit
(a) Any electric power company subject to tax per KRS 136.120
and certified as a clean coal facility or any taxpayer that owns or
operates a clean coal facility and purchases eligible coal that is
used by the taxpayer in a certified clean coal facility; or
(b) A parent company of an entity identified in paragraph (a) if the
subsidiary is wholly owned.
Amount of Credit—The credit is equal to $2 for each ton of
qualifying coal. “Qualifying coal” means coal subject to the coal
severance tax imposed by KRS 143.020 which is purchased and
used by the company to generate electricity.
Due Date of Schedule—The taxpayer must submit this schedule
by March 15 of each year to apply for the credit on coal purchases
for the prior calendar year.
Where to Submit Schedule—This schedule must be submitted to:
	
	
	
	
	

Kentucky Department of Revenue
Office of Property Valuation
Division of Minerals Taxation and GIS Services
501 High Street, Station 33
Frankfort, Kentucky 40601-2103

SPECIFIC INSTRUCTIONS
General Information—The taxpayer must complete all information
in the name and address portion of this schedule. If the entity type
is not listed, check “Other” and list the entity type.
Maintaining Records—The taxpayer must maintain records
reflecting verification of the tons of coal purchased subject to
Kentucky coal severance tax imposed by KRS 143.020, including
invoices and proof of payments, for a period of five years.
When Credit May be Claimed—The credit cannot be carried
forward and must be used on the tax return filed for the period
during which the eligible coal was purchased.
Claiming Credit—Corporations and limited liability pass-through
entities are entitled to take this credit against both income tax and
LLET. The credit claimed may be different because of limitations
and cannot reduce the LLET below the $175 minimum.
Note: Attach certification received from DOR to the return filed.
41A720CCI (10-23)	

A pass-through entity must include on each Schedule K-1 the
partner’s, member’s, or shareholder’s pro rata share of the
approved credit. In addition, a pass-through entity must notify
the department electronically of all partners, members, or
shareholders who may claim any amount of the approved credit.
Failure to provide information to the department in the following
manner may constitute the forfeiture of available credits to all
partners, members, or shareholders in the pass-through entity.
Email address:
[email protected]
The electronic mail must contain a separate attachment in plain
format text or plain ASCII format that includes each partner’s,
member’s, or shareholder’s: (a) Name; (b) Address; (c) Telephone
number; (d) Identification number; and (e) Distributive share of
the tax credit.

PART I—Qualifying Tons of Coal Purchased During the Taxable
Year and Used to Generate Electricity
Columns A and B—Enter in Column A the name of each supplier
from whom qualifying coal was purchased. If the supplier listed in
Column A is the person subject to the Kentucky coal severance
tax on the qualifying coal, enter the supplier’s Kentucky coal
severance tax account number in Column B. If the person subject
to the Kentucky coal severance tax on the qualifying coal is different
than the supplier listed in Column A, enter in Column B the name
and Kentucky coal severance tax account number of the person
subject to the Kentucky coal severance tax on the qualifying coal
purchased from each supplier. In the event more than one person
was subject to the Kentucky coal severance tax on coal purchased
from the same supplier, use a separate line to list the supplier, the
name, and Kentucky coal severance tax account number of each
person subject to the Kentucky coal severance tax on the coal
purchased from such supplier.
Column C—Enter on each line in this column the tons of qualifying
coal purchased related to each entry in Columns A and B.
Part III—Recap Schedule
Taxes to Which the Credit Applies—KRS 141.428 provides that
this credit must first be applied against both the taxes imposed
by KRS 141.020 or KRS 141.040 and the tax imposed by KRS
141.0401, with the ordering of credits per KRS 141.0205. Any
remaining credit must be applied against the taxes imposed by
KRS 136.120.
The credit must meet the entirety of the taxpayer’s liability under the
first tax listed in consecutive order before applying any remaining
credit to the next tax listed in consecutive order. The taxpayer’s
total liability under each preceding tax must be fully met before
the remaining credit can be applied to the subsequent tax listed in
consecutive order.