Browse Arkansas Code titles and sections
26-51-1215. Tax credit for waste reduction, reuse, or recycling equipment — Definition.
Arkansas Code — all titles (historical 2020) · legal_authorities
26-51-1215. Tax credit for waste reduction, reuse, or recycling equipment — Definition.
(a) As used in this section, “waste reduction, reuse, or recycling equipment” means the same as defined in § 26-51-506 except that it also includes production, processing, and testing equipment used to manufacture products containing recovered materials.
(b) To be eligible for the income tax credit allowed under this section, a taxpayer shall:
(1) Be a qualified manufacturer of steel as defined in § 26-51-1211, § 26-52-901, § 26-52-911, Acts 2013, No. 1084, or Acts 2013, No. 1476;
(2) Have made the minimum investment required under § 26-51-1212, § 26-52-902, § 26-52-912, Acts 2013, No. 1084, or Acts 2013, No. 1476; and
(3) Either:
(A) Have obtained a certification under § 26-51-1212, § 26-52-902, § 26-52-912, Acts 2013, No. 1084, or Acts 2013, No. 1476; or
(B) Be located on the same or an adjacent manufacturing site as a qualified manufacturer of steel that has obtained such a certification.
(c)(1) A qualified manufacturer of steel that qualifies for the income tax credit for the purchase of waste reduction, reuse, or recycling equipment under § 26-51-506 may carry forward any unused income tax credit earned under § 26-51-506 for a period of fourteen (14) consecutive years following the taxable year in which the income tax credit originated.
(2) Acts 2013, No. 1084, § 5(b) and § 7(a)(1)(B), and Acts 2013, No. 1476, shall continue to apply to the carry forward period for qualified manufacturers of steel certified under those acts.
(3) Income tax credits that would otherwise expire during the carry forward period shall be claimed first.
(d) To claim the benefits of § 26-51-506, a qualified manufacturer of steel shall either:
(1) Meet the requirements of § 26-51-
Source: Arkansas Code — historical release 78 (November 6, 2020) · 26-51-1215
Stored review status: Historical 2020-11-06 source release; later amendments not reconciled; machine-extracted, not independently legally reviewed; source heading status: text_in_historical_source. A text match is a research starting point; applicability is not established.
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Stable record: arkansas_code:legal_authorities:26-51-1215
Source file: gov.ar.code.title.26.odt
Pages: Not recorded – Not recorded
Passage SHA-256: 83f665920eeabe08629f4ba63d9dcf6d0b2ee6352c59fbf8884d2c3066821210
Source location: content.xml paragraph 15527
Stored source content
26-51-1215. Tax credit for waste reduction, reuse, or recycling equipment — Definition.
(a) As used in this section, “waste reduction, reuse, or recycling equipment” means the same as defined in § 26-51-506 except that it also includes production, processing, and testing equipment used to manufacture products containing recovered materials.
(b) To be eligible for the income tax credit allowed under this section, a taxpayer shall:
(1) Be a qualified manufacturer of steel as defined in § 26-51-1211, § 26-52-901, § 26-52-911, Acts 2013, No. 1084, or Acts 2013, No. 1476;
(2) Have made the minimum investment required under § 26-51-1212, § 26-52-902, § 26-52-912, Acts 2013, No. 1084, or Acts 2013, No. 1476; and
(3) Either:
(A) Have obtained a certification under § 26-51-1212, § 26-52-902, § 26-52-912, Acts 2013, No. 1084, or Acts 2013, No. 1476; or
(B) Be located on the same or an adjacent manufacturing site as a qualified manufacturer of steel that has obtained such a certification.
(c)(1) A qualified manufacturer of steel that qualifies for the income tax credit for the purchase of waste reduction, reuse, or recycling equipment under § 26-51-506 may carry forward any unused income tax credit earned under § 26-51-506 for a period of fourteen (14) consecutive years following the taxable year in which the income tax credit originated.
(2) Acts 2013, No. 1084, § 5(b) and § 7(a)(1)(B), and Acts 2013, No. 1476, shall continue to apply to the carry forward period for qualified manufacturers of steel certified under those acts.
(3) Income tax credits that would otherwise expire during the carry forward period shall be claimed first.
(d) To claim the benefits of § 26-51-506, a qualified manufacturer of steel shall either:
(1) Meet the requirements of § 26-51-506(d); or
(2) Obtain a certification from the Director of the Division of Environmental Quality certifying to the Revenue Division of the Department of Finance and Administration that:
(A) The qualified manufacturer of steel is engaged in the business of reducing, reusing, or recycling solid waste material for commercial purposes, whether or not for profit;
(B) The machinery or equipment purchased is waste reduction, reuse, or recycling equipment;
(C) The machinery or equipment is being used in the collection, separation, processing, modification, conversion, treatment, or manufacturing of products containing at least twenty-five percent (25%) postconsumer waste; and
(D) The qualified manufacturer of steel has filed a statement with the director acknowledging that the qualified manufacturer of steel will make a good faith effort to utilize Arkansas postconsumer waste as a part of the materials used.
(e)(1) Except as provided in subdivision (e)(2) of this section, § 26-51-506(f) does not apply to a qualified manufacturer of steel meeting the requirements of this section.
(2) A qualified manufacturer of steel shall refund the amount required under subdivision (e)(3) of this section if within three (3) years of the taxable year in which the credit originated:
(A)(i) The waste reduction, reuse, or recycling equipment is removed from Arkansas, disposed of, or transferred to another person, or the qualified manufacturer of steel otherwise ceases to use the required materials or operate in accordance with § 26-51-506 or this section.
(ii) Reorganization transactions, changes of ownership and control, and sales and transfers of waste reduction, reuse, or recycling equipment among affiliates that do not constitute sales or transfers to a third-party purchaser are not disposals, transfers, or cessations of use for purposes of § 26-51-506 or this section; or
(B) The director finds that the qualified manufacturer of steel has operated the waste reduction, reuse, or recycling equipment in a manner that demonstrates a pattern of intentional failure to comply with final administrative or judicial orders that clearly indicates a disregard for environmental regulation.
(3) If a qualified manufacturer of steel is required to make a refund under subdivision (e)(2) of this section, the qualified manufacturer of steel shall refund the amount of the allowed income tax credit claimed by the qualified manufacturer of steel that exceeds the following amounts:
(A) Within the first taxable year, zero dollars ($0.00);
(B) Within the second taxable year, an amount equal to thirty-three percent (33%) of the amount of credit allowed; and
(C) Within the third taxable year, an amount equal to sixty-seven percent (67%) of the credit allowed.
(4) A refund required under subdivision (e)(2)(A) of this section applies only to the credit given for the particular waste reduction, reuse, or recycling equipment to which subdivision (e)(2)(A) of this section applies.
(5) A qualified manufacturer of steel that is required to refund part of an income tax credit under this section shall no longer be eligible to carry forward any amount of the income tax credit that had not been used as of the date the refund is required.
(f) A qualified manufacturer of steel aggrieved by a decision of the director under this section may appeal to the Arkansas Pollution Control and Ecology Commission through administrative procedures adopted by the commission and to the courts in the manner provided in §§ 8-4-222 — 8-4-229.
(g) Acts 2013, No. 1084, and Acts 2013, No. 1476, continue in full force and effect and are not amended or limited by this section.
(h) This section applies only to income tax credits certified on or after January 1, 2015.
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Arkansas Code — all titles (historical 2020) · legal_authorities
26-51-1211. Definitions.
As used in this section and §§ 26-51-1212 — 26-51-1214:
(1) “Invested” includes expenditures made from the proceeds of bonds including interim notes or other evidence of indebtedness issued by a municipality, county, or an agency or instrumentality of a municipality, county, or the State of Arkansas, if the obligation to repay the bonds, including interest thereon, is a legal, binding obligation, directly or indirectly, of the taxpayer;
(2) “Production and processing equipment” includes machinery and equipment essential for the receiving, storing, processing, and testing of raw materials and the production, storage, testing, and shipping of finished products, including facilities for the production of steam, electricity, chemicals, and such other materials that are essential to the manufacturing process, but which are consumed in the manufacturing process and do not become essential components of the finished product; and
(3) A taxpayer is a “qualified manufacturer of steel” if:
(A) The taxpayer is a natural person, company, or corporation engaged in the manufacture, refinement, or processing of steel; and
(B) More than fifty percent (50%) of the electricity or natural gas consumed in the manufacture, refinement, or processing of steel by the taxpayer is used either:
(i) To power an electric arc furnace or furnaces, continuous casting equipment, or rolling mill equipment in connection with melting, continuous casting, or rolling of steel; or
(ii) In the preheating of steel for processing through a rolling mill.
Source: Arkansas Code — historical release 78 (November 6, 2020) · 26-51-1211
Stored review status: Historical 2020-11-06 source release; later amendments not reconciled; machine-extracted, not independently legally reviewed; source heading status: text_in_historical_source. The source passage cites 26-51-1211. This identifies an authority to review, not proof of applicability.
Arkansas Code — all titles (historical 2020) · legal_authorities
26-51-506. Tax credit for waste reduction, reuse, or recycling equipment — Eligibility — Definitions.
(a) The intent and purpose of this section is to increase capacity in the State of Arkansas for the use of recovered materials.
(b) As used in this section:
(1) “Cost”, in the case of a transfer of title or a finance lease, means the amount of the purchase price, and, in the case of a lease which is not a finance lease but which otherwise qualifies as a purchase under this section, means the amount of the lease payments due to be paid during the term of the lease after deducting any portion of the lease payments attributable to interest, insurance, and taxes;
(2) “Equipment to service waste reduction, reuse, or recycling equipment” means expenditures, machinery, or equipment that keeps existing machinery or equipment in running order by providing repair, maintenance, adjustment, inspection, or supplies;
(3) “Finance lease” means a lease agreement which is treated as a purchase by a lessee for Arkansas income tax purposes;
(4) “Home scrap” means materials or by-products generated from and commonly reused within an original manufacturing process;
(5) “Maintenance” means expenditures, machinery, or equipment used to keep existing machinery or equipment in a condition that approaches or equates to its original condition;
(6) “Motor vehicle” means a vehicle or trailer that is licensed, or that normally would be licensed, for use on highways in Arkansas;
(7) “Postconsumer waste” means products or other materials generated by a business, governmental entity, or consumer which have served their intended end use and have been recovered from or otherwise diverted from the solid waste stream for the purpose of recycling;
(8) “Preconsumer material” means materia
Source: Arkansas Code — historical release 78 (November 6, 2020) · 26-51-506
Stored review status: Historical 2020-11-06 source release; later amendments not reconciled; machine-extracted, not independently legally reviewed; source heading status: text_in_historical_source. The source passage cites 26-51-506. This identifies an authority to review, not proof of applicability.
Arkansas Code — all titles (historical 2020) · legal_authorities
26-52-901. Definitions.
As used in this subchapter:
(1) “Invested” includes expenditures made from the proceeds of bonds, including interim notes or other evidence of indebtedness, issued by a municipality, county, or an agency or instrumentality of a municipality, county, or the State of Arkansas, if the obligation to repay the bonds, including interest thereon, is a legal binding obligation, directly or indirectly, of the taxpayer; and
(2) “Qualified manufacturer of steel” means any natural person, company, or corporation engaged in the manufacture, refinement, or processing of steel whenever more than fifty percent (50%) of the electricity or more than fifty percent (50%) of the natural gas consumed in the manufacture, refinement, or processing of steel is used to power an electric arc furnace or furnaces, continuous casting equipment, or rolling mill equipment in connection with the melting, continuous casting, or rolling of steel or in the preheating of steel for processing through a rolling mill or rolling mills, or both.
Source: Arkansas Code — historical release 78 (November 6, 2020) · 26-52-901
Stored review status: Historical 2020-11-06 source release; later amendments not reconciled; machine-extracted, not independently legally reviewed; source heading status: text_in_historical_source. The source passage cites 26-52-901. This identifies an authority to review, not proof of applicability.
Arkansas Code — all titles (historical 2020) · legal_authorities
26-52-911. Definitions.
As used in this section and §§ 26-52-912 — 26-52-914:
(1) “Invested” includes expenditures made from the proceeds of bonds including interim notes or other evidence of indebtedness issued by a municipality, county, or an agency or instrumentality of a municipality, county, or the State of Arkansas, if the obligation to repay the bonds, including interest thereon, is a legal, binding obligation, directly or indirectly, of the taxpayer;
(2) “Production and processing equipment” includes machinery and equipment essential for the receiving, storing, processing, and testing of raw materials and the production, storage, testing, and shipping of finished products, including facilities for the production of steam, electricity, chemicals, and other materials that are essential to the manufacturing process, but which are consumed in the manufacturing process and do not become essential components of the finished product; and
(3) A taxpayer is a “qualified manufacturer of steel” if:
(A) The taxpayer is a natural person, company, or corporation engaged in the manufacture, refinement, or processing of steel; and
(B) More than fifty percent (50%) of the electricity or natural gas consumed in the manufacture, refinement, or processing of steel by the taxpayer is used either:
(i) To power an electric arc furnace or furnaces, continuous casting equipment, or rolling mill equipment in connection with melting, continuous casting, or rolling of steel; or
(ii) In the preheating of steel for processing through a rolling mill.
Source: Arkansas Code — historical release 78 (November 6, 2020) · 26-52-911
Stored review status: Historical 2020-11-06 source release; later amendments not reconciled; machine-extracted, not independently legally reviewed; source heading status: text_in_historical_source. The source passage cites 26-52-911. This identifies an authority to review, not proof of applicability.