58.1-436 - Tax credit for purchase of advanced technology pesticide and fertilizer application equipment.
§ 58.1-436. Tax credit for purchase of advanced technology pesticide andfertilizer application equipment.
A. Any corporation engaged in agricultural production for market which has inplace a nutrient management plan approved by the local Soil and WaterConservation District by the required tax return filing date of thecorporation shall be allowed a credit against the tax imposed by § 58.1-400of an amount equaling twenty-five percent of all expenditures made by suchcorporation for the purchase of equipment certified by the Virginia Soil andWater Conservation Board as providing more precise pesticide and fertilizerapplication. Virginia Polytechnic Institute and State University and VirginiaState University shall provide at the request of the Virginia Soil and WaterConservation Board technical assistance in determining appropriatespecifications for certified equipment which would provide for more precisepesticide and fertilizer application to reduce the potential for adverseenvironmental impacts. The equipment shall be divided into the followingcategories:
1. Sprayers for pesticides and liquid fertilizers;
2. Pneumatic fertilizer applicators;
3. Monitors, computer regulators, and height adjustable booms for sprayersand liquid fertilizer applicators;
4. Manure applicators;
5. Tramline adapters; and
6. Starter fertilizer banding attachments for planters.
B. The amount of such credit shall not exceed $3,750 or the total amount ofthe tax imposed by this chapter, whichever is less, in the year of purchase.If the amount of such credit exceeds the taxpayer's tax liability for suchtaxable year, the amount which exceeds the tax liability may be carried overfor credit against the income taxes of such corporation in the next fivetaxable years until the total amount of the tax credit has been taken.Credits granted to a partnership or electing small business corporation (Scorporation) shall be passed through to the partners or shareholders,respectively.
C. For purposes of this section, the amount of any credit attributable to thepurchase of equipment certified by the Virginia Soil and Water ConservationBoard as providing more precise pesticide and fertilizer application by apartnership or S corporation shall be allocated to the individual partners orshareholders in proportion to their ownership or interest in the partnershipor S corporation.
(1990, c. 416; 1996, c. 739.)