PCM-2: Post-Coal Mine Site Business Credit for Individuals (Revision 2020-06)
West Virginia · WV Tax Division · Used for tax years 2026
West Virginia Schedule PCM-2 calculates the Post-Coal Mine Site Business Credit for individuals. It reports eligible investments, the credit available to a shareholder, the amount applied against West Virginia income tax, and any remaining credit carryover.
Who files this form
Schedule PCM-2 is for individuals claiming the West Virginia Post-Coal Mine Site Business Credit. It calculates a shareholder’s available credit and the amount that can be applied against West Virginia income tax.
The form lists resident, nonresident, part-year resident, and fiduciary as personal income tax filer types.
What you'll need
Have these details ready to complete the schedule:
- Your name, SSN, West Virginia tax ID, and tax period.
- The business name, West Virginia tax ID, and West Virginia apportionment factor.
- An itemized investment listing, if not already provided. List each item separately with its description, purpose, date acquired or placed in service, useful life, and net cost. Use additional sheets if necessary.
- Your shareholder ownership percentage and ordinary income from the business, plus your West Virginia income and income tax amounts.
- If claiming unused credit from a prior period, the credit year, original credit amount, amounts used in prior periods and this year, and remaining credit for Section D.
Common mistakes
- Leaving out the investment listing: An itemized listing is required if it has not already been provided. List investments separately and use additional sheets if necessary.
- Skipping the carryover recap: You must complete Section D if you report prior-period unused credit on line 6.
- Entering percentages in the wrong format: The form requires the shareholder ownership percentage and qualified income fraction to be expressed as decimals.
- Applying too much credit: The amount on line 19 must be no more than the smaller of line 18, the offset limit, or line 12, the credit available to the shareholder.
Questions people ask
How does an investment’s useful life affect the qualified amount?
Section B applies 33.33% of cost for a useful life of at least 4 but less than 6 years, 66.66% for at least 6 but less than 8 years, and 100.00% for 8 years or more.
How is the potential credit calculated?
Line 5 calculates the potential Post-Coal Mine Site Business Credit as 50% of the total qualified investment on line 4.
Where do I report unused credit from a prior period?
Report prior-period unused credit on line 6 and complete Section D, the Credit Carryover Recap.
How much credit can I apply this year?
Line 19 cannot exceed the smaller of the credit available to the shareholder on line 12 or the offset limit on line 18. The offset limit is 50% of the tax attributable to business income on line 17.