TAX IMPOSED; EXEMPTIONS AND CREDITS

Charleston, W. Va., City Code ch. 110, art. II, div. 2

in effect

Charleston, W. Va., City Code § 110-51 Imposition of privilege tax.

Sec. 110-51. - Imposition of privilege tax. (a) There are hereby levied and imposed and shall be collected annual privilege taxes, against the persons, on account of the business and other activities and in the amounts to be determined by the application of rates against values or gross income or gross proceeds as set forth in sections 110-52 to 110-60, inclusive. (b) If any person liable for any tax under section 110-52 or 110-53 shall ship or transport his products, or any part thereof, out of the city without making sale of such products, the value of the products in the condition or form in which they exist immediately before transportation out of the city shall be the basis for the assessment of the tax imposed in those sections. (c) Gross income included in the measure of the tax under section 110-52 or 110-53, except in the production of natural gas, shall neither be added nor deducted in computing the tax levied under the other sections of this article. (d) In determining value, however, as regards sales from one to another of affiliated companies or persons, or under other circumstances where the relation between the buyer and the seller is such that the gross proceeds from the sale are not indicative of the true value of the subject matter of the sale, the value upon which such privilege tax shall be levied shall correspond as nearly as possible to the gross proceeds from the sale of similar products of like quality or character where no common interest exists between the buyer and the seller but where the circumstances or conditions are otherwise similar. (e) Sufficiency of contacts. The municipal business and occupation tax is imposed on each person engaged in privileges taxable under this article if such person is engaged in purposive revenue generating activities within the municipal limits of the city and such person has sufficient contacts to sustain the city's taxing jurisdiction. By way of example (but not limitation), if a person's activities within the city contributes to the establishment and maintenance of a market, such contacts are considered to be sufficient to sustain the city's taxing jurisdiction assuming federal constitutional nexus standards are satisfied. (Bill No. 6799, § 6-108, 1-22-2002)

Charleston, W. Va., City Code § 110-52 Producers of natural resource products.

Sec. 110-52. - Producers of natural resource products. (a) Upon every person engaging or continuing within the city in the business of severing, extracting, mining, quarrying, reducing to possession and/or producing for sale, profit or commercial use any natural resource products, the amount of such tax shall be equal of the value of the articles produced as shown by the gross proceeds derived from the sale thereof by the producer, except as hereinafter provided, multiplied by the respective rates as follows: coal, one percent; limestone or sandstone quarried or mined, one percent; oil, one percent; natural gas in excess of the value of $5,000.00, one percent; blast furnace slag, one percent; sand gravel or other mineral products, not quarried or mined, one percent; timber one percent, and other natural resource products, one percent. (b) The measure of this tax is the value of the entire production in the city, regardless of the place of sale or the fact that delivery may be made to points outside the city. (c) A person exercising privileges taxable under this section and using or consuming the same in his business or transferring or delivering the same as any royalty paid, in kind, or the like, shall be deemed to be engaged in the business of producing natural resources and shall be required to make returns on account of the production of the business, showing the gross proceeds or equivalent in accordance with uniform and equitable rules for determining the value upon which privilege taxes shall be levied, corresponding as nearly as possible to the gross proceeds from the sale of similar products of like quality or character by other taxpayers. (d) Persons who produce natural resource products outside the city and who make sale of the same within the city shall not pay the tax imposed by this section but shall pay the tax imposed by section 110-54 for the privilege of selling such products within the city. (e) A person exercising any privilege taxable under this section and engaging in the business of selling his natural resource products at retail in the city shall be required to make returns of the gross proceeds of such retail sales and pay the tax imposed in section 110-54 for the privilege of engaging in the business of selling such natural resource products at retail in the city. In addition, any person exercising any privilege taxable under this section and engaging in the business of selling his natural resource products to producers of natural resources, manufacturers, wholesalers, jobbers, retailers or commercial consumers for use or consumption in the purchaser's business shall be required to make returns of the gross proceeds of such wholesale sales and pay the tax imposed in section 110-54. (Bill No. 6799, § 6-109, 1-22-2002)

Charleston, W. Va., City Code § 110-53 Manufacturing, compounding or preparing products.

Sec. 110-53. - Manufacturing, compounding or preparing products. (a) Upon every person engaging or continuing within the city in the business of manufacturing, compounding or preparing for sale, profit or commercial use, either directly or through the activity of others, in whole or part, any article or articles, substance or substances, commodity or commodities, or newspaper publishing (including all gross income or proceeds of sale from circulation and advertising), except electric power produced by public utilities or others, the amount of the tax shall be equal to the value of the article, substance, commodity or newspaper manufactured, compounded or prepared for sale, as shown by the gross proceeds derived from the sale thereof by the manufacturer or person compounding or preparing the same, except as otherwise provided, multiplied by a rate of thirty one-hundredths of one percent; provided, that effective January 1, 2014, this rate of tax shall be reduced to zero on the privilege of manufacturing, compounding or preparing exercised on and after said January 1, 2014. (b) A person exercising any privilege taxable under this section, and engaging in the business of selling his product at wholesale in the city, shall be required to make returns of the gross proceeds of such wholesale sales at the rate set forth in this section 110-53 for the privilege of engaging in the business of selling such manufactured goods in the city, regardless of the place of sale or the fact that deliveries may be made to points outside the city, and such reporting of wholesale sales of manufactured goods must be reported under this section 110-53, exclusively. (c) A person exercising any privilege taxable under this section and engaging in the business of selling his product at retail in the city shall be required to make returns of the gross proceeds of such retail sales and pay the tax imposed in section 110-54 for the privilege of engaging in the business of selling such products at retail in the city. All retail sales of manufactured goods must be reported under section 110-54, exclusively. (d) The dressing and processing of food intended for human consumption by a person, or the cooking and serving of food by a restaurant which food is to be sold in the city by such person, shall not be considered manufacturing or compounding or preparing for sale, but the sale of these products shall be reported under section 110-54 either as wholesale or retail sale, as the case may be. (e) Persons who manufacture, compound or prepare products outside the city and who make sale of the same within the city shall not pay the tax imposed by this section but shall pay tax imposed by section 110-54 for the privilege of selling such product within the city. If any person shall ship or transport his products or any part thereof out of the state without making sale of such products, the value of the products in the condition or form in which they exist immediately before transportation out of the state shall be the basis for the assessment of the tax imposed. The city collector shall prescribe equitable and uniform rules of ascertaining such value. To determine whether freight charges are deductible, see section 110-26-2b.6 of the Code of State Regulations. (f) The reduction of this rate of tax does not equate to an elimination of the privilege taxable under this section dealing with the manufacturing, compounding or preparing within the city. (Bill No. 6799, § 6-110, 1-22-2002; Bill No. 7578, § 1, 5-20-2013; Bill No. 7902, 4-19-2021)

Charleston, W. Va., City Code § 110-54 Business of selling tangible property; certain sales exempt.

Sec. 110-54. - Business of selling tangible property; certain sales exempt. (a) Upon every person engaging or continuing within the city in the business of selling any tangible property whatsoever, real or personal, including the sale of food in hotels, restaurants, cafeterias, confectioneries and other public eating houses and wholesale sales from a rolling stockpile, except sales of any person engaging or continuing in the business of horticulture, agriculture or grazing, or selling stocks, bonds, or other evidence of indebtedness, there is hereby levied, and shall be collected, a tax equal to five-tenths of one percent of the gross income of the business; except, therein the case of selling at wholesale, the tax shall be equal to three-twentieths of one percent of the gross income of the business. (b) Gross income or gross proceeds of sales derived from sales within West Virginia, which is not taxed or taxable by any other municipality are included in the measure of city business and occupation tax if the sales are either directed from a city location or the taxpayer's principal West Virginia office is located in the city. Without limiting the generality of the foregoing, when the taxpayer has only one office location and this office is located within the municipal limits of the city and its activities elsewhere in West Virginia are neither taxed nor taxable by another municipality, the gross income or gross proceeds from those activities are taxable by the city. "Directed from a city location" shall encompass the location of the customer or destination of the tangible property as a result of the sale. (c) All sales of real estate (such as by a speculative builder) are sales at retail and must be reported accordingly. On sales of realty, the status of the purchaser or the intention or use made of the property by the purchaser is of no consequence to the vendor's tax status. To illustrate; where a speculative builder constructs apartment buildings which he later sells to a tax exempt entity, such sales must be reported at retail on the tax return of the speculative builder. (d) Casual sales of real estate are not taxable to the vendor. (e) Sales of tangible personal property made by vendors to persons engaging in exempt business activities (e.g., non profit hospitals and the activities of agriculture, horticulture, grazing) are not exempt sales and the gross income derived from such sales must be reported by the vendor under the retail classification. This rule results from the fact that the purchaser (non-profit hospital, farmer, etc.) is not engaged in a business subject to the municipal business and occupation tax. (f) All sales made through vending machines are sales at retail. The term "vending machines" means and includes only those machines which, through the insertion of a coin of a specified amount, will return to the vendee a predetermined specific article of merchandise. It includes, but is not limited to, machines which vend cigarette, toilet articles, sandwiches, beverages, candies, confections, et cetera. (g) Persons domiciled outside the city limits of the city who solicit sales within the city and sell tangible personal property of the city are doing business in the city, irrespective of the domicile of such persons irrespective of whether or not such persons maintain a permanent place of business in the city and irrespective of how a sales order is transmitted or processed. If an order is placed in connection with solicitation by a representative (regardless whether there is an employment or agency relationship or whether acting as an independent contractor) who solicits orders within the city, and the tangible personal property is to be delivered in the city, then the gross proceeds of such sales are included in the measure of the city's business and occupation tax. (Bill No. 6799, § 6-111, 1-22-2002; Bill No. 7902, 4-19-2021)

Charleston, W. Va., City Code § 110-55 Public service or utility business.

Sec. 110-55. - Public service or utility business. Upon any person engaging or continuing within the city in any public service or utility business, except railroad, railroad car, express, pipeline, telephone and telegraph companies, water carriers by steamboat or steamship and motor carriers, there are levied, and shall be collected, taxes on account of the business engaged in equal to the gross income of the business multiplied by the respective rates as follows: Water companies, four percent; electric light and power companies, four percent on sales and demand charges for domestic and commercial lighting and three percent on sales and demand charges for all other purposes; natural gas companies, three percent of the gross income, such gross income for this purpose to be determined by deducting from gross income from all sales of gas to consumers the amount of the tax paid by the taxpayer under section 110-52 upon the production of the same gas; and upon all other public service or utility business, 2 35/100 percent. The measure of this tax shall not include gross income derived from commerce between the state and other states of the United States. The measure of the tax under this section shall include only gross income received from the supplying of public service. The gross income of the taxpayer from any other activity shall be included in the measure of the tax imposed upon such other activity by the appropriate section of this article. (Bill No. 6799, § 6-112, 1-22-2002)

Charleston, W. Va., City Code § 110-56 Business of contracting.

Sec. 110-56. - Business of contracting. (a) Upon every person engaging or continuing within the city in the business of contracting, the tax shall be equal to two percent of the gross income of the business. A person performing any contracting activity shall report his/her gross income therefrom under the contracting classification of the municipal business and occupation tax return and shall receive no deduction from gross income on the account of any expenses incurred. All income derived from said activity shall be reported under the contracting classification, and the form of contract entered into by the parties shall not be determinative of taxable classification. (b) Form of contract. Persons engaged in the contracting business shall report the entire gross income under the contracting classification, regardless of whether the contract is a turnkey contract, lump sum contract, per unit contract, cost plus fixed fee contract, or other contract having a similar basis. Gross income received from a contracting activity must be reported under the contracting classification and the manner of performance, basis of determining cost, fee or income or form of contract shall not alter the definition of contractor or of contracting and shall not change the taxability of such income from the contracting classification to another classification. A contracting activity remains a contracting activity regardless of what the parties may name it and regardless of the manner in which the parties may make payment and perform work. (c) Costs. The measure of the tax under the contracting classification is gross income and includes all items of cost where the contractor has incurred liability. The cost of materials and labor can only be exempted from the measure of the tax in those cases where the contractor is not liable to vendors or workmen for payment. In those cases where the contractor contends that he/she has not incurred a municipal business and occupation tax liability because he/she acted solely as a agent for the owner, the burden of proving alleged principal-agency relationship shall be upon the contractor. (d) Separate contracts for labor and materials. In cases where the contractor enters into a separate contract for the furnishing of materials by the contractor and a separate contract for erection of such materials by the contractor, the gross income from both contracts is taxable under the contracting classification, unless it can be provided by the contractor that passage of title of the materials was not dependent upon the erection of the materials by the contractor and that the sale of such materials is, in fact, a separate and distinct transaction, taxable under the municipal business and occupation tax law, as a retail or wholesale sale, as the case may be. The contract to furnish materials shall not be considered a separate and distinct transaction from the contract to erect the same, unless it is established by the contractor to be a complete arm's length transaction with no dependency existing between the contract for materials and the contract for erection. The burden of proving any alleged arm's length transaction shall be upon the contractor. (e) Separate purchase orders. A separate purchase order for the furnishing of work or labor and a separate purchase order for the furnishing of materials which constitutes the contract(s) between the parties shall be treated in the same manner as set forth in the paragraph above. (f) Prime and subcontractors. A prime contractor, one who furnishes work or both materials and work under a written or oral contract, for the construction, alteration, repair, decoration or improvement of a new or existing building or structure or any part thereof, or for the alteration, improvement or development of realty, must report his/her gross income under the contracting classification without any deduction on account of any expenses incurred. If the prime contractor executes a contract with another for a portion of the job or project, the prime contractor receives no deduction from gross income on account of any payment made to the subcontractor. The subcontractor will also be taxed on his/her gross income under the contracting classification. (g) Contract entered into with government. Gross income received by a person for contracting activities performed for the State of West Virginia, the federal government or any of their instrumentalities, agencies, boards, commissions or political subdivisions, etc., or performed for nonprofit organizations is taxable and shall be reported under the contracting classification. The fact that the owner is a governmental unit or a non profit organization does not relieve the contractor, subcontractor, supplier or any other person from liability for municipal business and occupation tax on the full amount of gross income. (Bill No. 6799, § 6-113, 1-22-2002)

Charleston, W. Va., City Code § 110-57 Business of operating amusements.

Sec. 110-57. - Business of operating amusements. Upon every person engaging or continuing within the city in the business of operating a theater, opera house, moving picture show, vaudeville, amusement park, carnival, circus, dance hall, skating rink, racetrack, radio broadcasting station or any other place at which amusements are offered to the public, the tax shall be equal to 5/10 of one percent of the gross income of the business. (Bill No. 6799, § 6-114, 1-22-2002)

Charleston, W. Va., City Code § 110-58 Service business or calling not otherwise specifically taxed.

Sec. 110-58. - Service business or calling not otherwise specifically taxed. (a) Upon every person engaging or continuing within the city in any service business or calling not otherwise specifically taxed under this article, there is hereby levied, and shall be collected, a tax equal to one percent of the gross income of any such business. (b) Gross income or gross proceeds of sales derived from services within West Virginia which is not taxed or taxable by any other municipality are included in the measure of the city business and occupation tax if the services are either directed from a Charleston location or the taxpayer's principal West Virginia office is located in the city. Without limiting the generality of the foregoing, when a taxpayer has only one (1) office location and this office is located within the municipal limits of the city and its activities elsewhere in West Virginia are neither taxed nor taxable by another municipality, the gross income or gross proceeds from those activities are taxable by the city. (Bill No. 6799, § 6-115, 1-22-2002)

Charleston, W. Va., City Code § 110-59 Business of furnishing property for hire.

Sec. 110-59. - Business of furnishing property for hire. (a) Upon every person engaging or continuing within the city in the business of furnishing any real or tangible personal property which has a tax situs in the city, or any interest therein, for hire, loan, lease or otherwise, whether the return is in the form of rentals, royalties, fees or otherwise, the tax shall be one percent of the gross income of any such activity. (b) The term "tangible personal property", as used herein, shall not include money or public securities. (Bill No. 6799, § 6-116, 1-22-2002)

Charleston, W. Va., City Code § 110-60 Banking and other financial businesses; findings of city council.

Sec. 110-60. - Banking and other financial businesses; findings of city council. (a) Upon every person engaging or continuing within the city in the business of banking or financial business, from and after July 1, 1971, the tax shall be equal to one percent of the gross income received from interest, premiums, discounts, dividends, service fees or charges, commissions, fines, rents from real or tangible personal property, however denominated, royalties, charges for bookkeeping or data processing, receipts from check sales, charges or fees, and receipts from the sale of tangible personal property; provided, that gross income shall not include (a) interest received on the obligations of the United States, its agencies and instrumentalities; (b) interest received on the obligations of this or any other state, territory or possession of the United States, or any political subdivision of any of the foregoing or of the District of Columbia; or (c) interest received on investments or loans primarily secured by first mortgages or deeds of trust on residential property occupied by nontransients; provided further, that all interest derived on activities exempt under (c) above, shall be reported, as to amounts, on the return of a person taxable under the provision of this section. (b) Gross income of a banking or financial business, from whatever source derived, shall be taxable under this section only, and persons taxed pursuant to the provisions of this section shall not be taxed under sections 110-52 to 110-55, inclusive. (c) The city council hereby finds and declares that it is the intent of the council to subject national banking associations and other financial organizations to the tax imposed by this article, in accordance with the authorization contained in Section 5219 of the Revised Statutes of the United States as amended by Public Law 91-156, enacted December 24, 1969. (1) Standards for reporting banking business income. Each person engaging in banking business in the city that also maintains a banking location outside the city shall make a good faith allocation of its gross income in accordance with this article, subject to the approval of the city collector. Each person subject to this regulation shall report gross income for the city municipal business and occupation tax purposes to reflect all gross income generated from loans originated and services provided to customers at or through each banking location within the municipal limits of the city and each such person's report shall fully reflect gross income earned from investments (other than loans) funded by deposits and repurchase agreements regularly maintained at or through each banking location within the municipal limits of the city. Other gross income shall be allocated in a reasonable manner that attributes all income to banking locations. No allocation methodology used to make such a report shall allocate or apportion gross income to locations other than a banking location. (2) Without limiting the generality of the foregoing: a. The phrase "banking location" (and all derivations thereof) means a physical facility maintained by a person engaged in banking business at which customers normally personally visit to conduct typical banking transactions, such as opening accounts, originating loans, making deposits, etc. b. Gross income from loans is reportable (without adjustment, apportionment or allocation) to the banking location at which the loan originates. The transfer of loan files to a location outside of a municipality for processing or collection does not alter the taxability of the interest from such loans with respect to the banking location at which such loans originate. c. Gross income from investments (other than loans) acquired or funded from deposits or repurchase agreements is reportable to banking location(s) in which deposits giving rise to the income are maintained, regardless of whether the investments function is managed or directed at a separate location. Deposits and repurchase agreements are considered maintained only at banking locations in accordance with reasonable procedures that reflect typical customer deposit activities and repurchase agreement relationships maintained at banking locations of the taxpayer subject to the approval of the city collector. Gross income from investments (other than loans) acquired or funded from sources other than deposits or repurchase agreements shall be reported to banking location(s) in a reasonable manner that fairly allocates all such gross income to banking locations. d. Gross income from fees is reportable to the banking location at which the activity giving rise to the fee is primarily undertaken, using a reasonable method that fully reports fee income to one or more banking locations. (3) The city collector of the city shall have authority to review and approve reasonable allocation methods in accordance with this ordinance. (4) Each person subject to this regulation shall establish and maintain sufficient records for review by the city collector and his or her designee as long as the contents of such records may be material in the administration of the municipal business and occupation tax of the city along with such additional information as may otherwise be required. Each person subject to this regulation shall file reports on such forms designed from time to time by the city collector and shall follow all instructions in connection therewith. (Bill No. 6799, § 6-117, 1-22-2002)

Charleston, W. Va., City Code § 110-61 Persons taxable on multiple activities—Credits.

Sec. 110-61. - Persons taxable on multiple activities—Credits. (a) A person taxable under section 110-54 with respect to selling products at wholesale in the city shall be allowed a non-refundable credit against those taxes for any: (1) Extracting taxes paid by such person with respect to the extracting of products so sold at wholesale in this city or ingredients of products so sold at wholesale in this city. (b) For purposes of this section: (1) Extracting tax means a gross receipts tax imposed by a municipality or other local government unit on the act or privilege of engaging in the business as a producer of natural resource products and includes (i) the tax imposed in section 110-52 and (ii) similar gross receipts taxes paid to other municipalities or other local government units within the United States (other than state governments) within the United States. (2) Gross receipts tax means a tax which (i) is imposed on or measured by the gross volume of business in terms of gross receipts or in other terms and in the determination of which deductions allowed would not constitute the tax an income tax or value added tax and (ii) which is not, pursuant to law or custom, separately stated from the sales price. (Bill No. 6799, § 6-118, 1-22-2002; Bill No. 7902, 4-19-2021)

Charleston, W. Va., City Code § 110-62 Tax rate for HMO.

Sec. 110-62. - Tax rate for HMO. The rate of municipal business and occupation or privilege tax on the activity of a health maintenance organization holding a certificate of authority under the provisions of W. Va. Code ch. 33, art. 25a, [§ 33-25A-1 et seq.], shall not exceed one half of one percent to be applied solely to that portion of gross income received from the medicaid program pursuant to Title XIX of the Social Security Act, the state employee programs administered by the public employee insurance agency pursuant to article sixteen [§ 5-16-1 et seq.], chapter five of the West Virginia Code, and other federal programs, for health care items or services provided directly or indirectly by the health maintenance organization that is expended for administrative expenses; and shall not exceed one-half of one percent to be applied to the gross income received from enrollees, or from employers on behalf of enrollees, from sources other than medicaid, state employee programs administered by the public employees insurance agency and other federal programs for health care items or services provided directly or indirectly by the health maintenance organization: provided, that this tax rate limitation shall not extend to that part of the gross income of health maintenance organizations which is received from the use of real property other than property in which any such company maintains it office or offices in the municipal limits of the city, whether such income is in the form of rentals or royalties. (Bill No. 6799, § 6-119, 1-22-2002)

Charleston, W. Va., City Code § 110-63 Exemptions.

Sec. 110-63. - Exemptions. (a) The provisions of this article shall not apply to: (1) Insurance companies which pay the state a tax upon premiums; provided, that such exemption shall not extend to that part of gross income of insurance companies which is received for the use of real property, other than property in which any such company maintains its office or offices, in the city, whether such income is in the form of rentals or royalties; (2) Nonprofit cemetery companies organized and operated for the exclusive benefit of their members; (3) Fraternal societies, organizations and associations organized and operated for the exclusive benefit of their members and not for profit; provided, that this exemption shall not extend to that part of gross income arising from the sale of alcoholic liquor, food and related services of such fraternal societies, organizations and associations which are licensed as private clubs under the provisions of W. Va. Code ch. 60, art. 7; (4) Corporations, associations and societies organized and operated exclusively for religious or charitable purposes; provided that: the city may impose its business and occupation tax on any activity of a corporation, association or society organized and operated exclusively for religious or charitable purposes only to the extent that the income generated by the activity is subject to taxation under the provisions of section 511 of the Internal Revenue Code of 1986, as amended; (5) Production credit associations, organized under the provisions of the federal Farm Credit Act of 1933; provided, that the exemptions of this section shall not apply to corporations or cooperative associations organized under the provisions of W. Va. Code ch. 19, art. 4; (6) Any credit union organized under the provisions of chapter 31 or any other chapter of the Code of West Virginia; provided, that the exemptions of this section shall not apply to corporations or cooperative associations organized under the provisions of W. Va. Code ch. 19, art. 4; (7) Gross income derived from advertising service rendered in the business of radio and television broadcasting; (8) The gross income or gross proceeds of sale of a gasification or liquefaction of coal project in the demonstration, pilot or research states; provided, that prior to the commencement of operation of any such project, the tax commissioner of the state shall have first certified the project as eligible for such exemption; provided, further, that such exemption shall expire seven years from the date the project first receives gross income or gross proceeds from sales; and (9) The first $5,000.00 of gross income or gross proceeds in each calendar year derived from sales or services by a vendor, as defined in section 18-1031 of this Code, shall be exempt from the tax imposed by this article. The vendor shall file a business and occupation tax return for such gross income or gross proceeds even if such revenue is exempt. (b) Effective July 1, 2025: (1) A person engaging in business within the City shall not be subject to the municipal business and occupation or privilege tax imposed by this article for any tax year in which the taxpayer's gross income or gross proceeds is less than $2,500.00. This exemption shall apply on a prospective basis only and shall not affect liability for any tax periods ending prior to July 1, 2025. The person shall file a business and occupation tax return for such gross income or gross proceeds even if such revenue is exempt; and (2) The municipal business and occupation or privilege tax imposed by this article shall not apply to the sale of new automobiles that have never been registered in the name of an individual. For the purposes of this subsection, an automobile is a self-propelled vehicle used on the roads and highways by the use of motor vehicle fuel or propelled by one or more electric motors using energy stored in batteries or a combination thereof. An automobile shall include a light-duty truck with an enclosed cabin and an open loading area at the rear and a sport utility vehicle. An automobile does not include a motorcycle. The full exemption shall apply on a prospective basis. For any tax periods ending prior to July 1, 2025, a partial exemption shall apply as set forth in W.Va. Code § 8-13-5. The person shall file a business and occupation tax return for such gross income or gross proceeds even if such revenue is exempt. (c) An organization is "charitable" for purposes of subdivision (4) of subsection (a) of this section if it satisfies both of the following criteria: (1) it is exempt from Federal Tax, under 26 U.S.C. § 501(c)(3), and (2) its purposes include relief of poverty, advancement of education, advancement of religion, promotion of health, governmental or municipal purposes, or other purposes that are beneficial to the community. (Bill No. 6799, § 6-120, 1-22-2002, Bill. No. 7225, 9-5-2006; Bill No. 7887, 4-19-2021; Bill No. 8028, 2-20-2024; Bill No. 8058, 10-6-2025)

Source: City of Charleston, West Virginia, City Code and City Charter (Municode Library, library.municode.com)URL: https://library.municode.com/wv/charleston/codes/code_of_ordinances?nodeId=PTIICOOR_CH110TA_ARTIIBUOCTA_DIV2TAIMEXCRFetched: 11/7/2026