Chap. 179.—An ACT to amend and re-enact Section 228 of the Tax Code of Vir
ginia, as heretofore amended, relating to water, heat, light and power com:
panies. _ [H 275

Approved March 10, 1944

Be it enacted by the General Assembly of Virginia:

1. That section two hundred and twenty-eight of the Tax Code 0!
Virginia, as heretofore amended, be amended and re-enacted, as follows

Section 228. Water, heat, light and power companies.—(1) Al
corporations doing in Virginia the business of furnishing water or heat
light and power, whether by means of electricity or gas, shall, on or be.
fore the first day of May of each year, report to the State Corporatior
Commission all of its real and personal property of every description ir
this State belonging to it as of the beginning of the first day of January
preceding; showing particularly in what city, town or county and schoo
district therein the property is located. This report shall include all
water power rights and privileges, dams, flumes and canals, and shall be
itemized as provided in paragraphs two and three of this section. Eacl
such corporation shall also report its gross receipts from all business
done in Virginia for the year ending December thirty-first preceding.
The gross receipts to be reported and subject to taxation, shall include
those received from incidental operations as well as those derived from
the sale of water or heat, light and power. The reports herein required
shall be made on forms and in the manner prescribed by the State Cor-
poration Commission and shall be certified by the oath of the president
or other proper person making the same. The State Corporation Com-
mission shall, after thirty days’ notice, previously given to the president
or other proper person, assess the value of the property of each such
corporation, and shall assess the franchise tax hereinafter provided for.
Should any such corporation fail to make the reports required by this
section on or before the first day of May of each year, the State Cor-
poration Commission shall at such time as it may elect, upon the best and
most reliable information that can be procured, assess the value of the
property of such corporation, and shall, in the execution of such duties,
he authorized and empowered to send for persons and papers, and ad-
minister an oath to witnesses and examine the same. The State Cor-
poration Commission shall, after thirty days’ notice previously given by
it to the president, treasurer or other proper officer of such corporation,
proceed to ascertain the value of the property and gross receipts so re-
ported upon the best and most reliable information that can be procured,
and to this end shall be authorized and empowered to send for persons
and papers. The State Corporation Commission shall assess upon said
property and gross receipts the taxes imposed thereon by law. A certi-
fied copy of the assessment when made shall be immediately forwarded
by the clerk of the State Corporation Commission to the Comptroller,
and to the president or other proper officer of each such corporation,
and such corporation shall pay into the treasury of the State by the first
day of October following the taxes assessed against it. It shall be the
duty of the clerk of the State Corporation Commission to furnish to the
council of every city and town and to the board of supervisors of every
county wherein any property belonging to such corporation is situated
a certified copy of the assessment made by the State Corporation Com-
mission of such company’s property, which assessment shall definitely
show the character of the property, its value and location for the pur-
pose of taxation, in each city, town or county and school district therein,
so that city, town, county and district levies may be imposed upon the
same. Any such corporation failing to pay the tax into the treasury
within the time herein prescribed shall incur a penalty thereon of five per
centum, which shall be added to the amount of said tax.

(2) All electric light and power companies shall, to the extent that
the property hereinafter particularly set forth is situated in Virginia,
report to the State Corporation Commission the following property,
which shall be particularly set forth in said report: (a) land and improve-
ments. (b) generating and substation equipment, (c) transmission and
distribution lines, (d) underground conduit, conductors and devices, (e)
line transformers, (f) services, (g) meters, (h) street lighting and signal
svstems, (i) general equipment, (j) materials and supplies, (k) mer-
chants capital, (1) all other property not enumerated in either of the fore-
going heads and whether used in public service operations or otherwise.

(3) All corporations manufacturing and furnishing gas, and all cor-
porations furnishing and selling water shall, to the extent that the prop-
erty hereinafter particularly set forth is situated in Virginia, report to
the State Corporation Commission the following property, which shall
be particularly set forth in said report: (a) land and improvements, (b)
production equipment, (c) general equipment, (d) mains, (e) services,
(f) meters, (g) materials and supplies, (h) merchants capital and (i)
all other property not enumerated in either of the foregoing heads and
whether used in public service operations or otherwise.

(4) Railway companies which, in addition to operating a railroad,
also sell heat, light or power within this State, shall come within the pro-
visions of this section. The value of the plant of each such company
shall be apportioned as between its heating, lighting and power business
on the one hand, and its railroad business on the other, upon the basis
of its gross receipts from each department, and each such company shall

segregate its gross receipts from the sale of heat, light and power from
its gross receipts from its railroad, and report its gross receipts from the
sale of heat, ight and power to the State Corporation Commission, and
pay the property and franchise tax as herein provided.

The provisions of this section, as hereby amended, shall applyato the
assessment for the tax year nineteen hundred and forty-four and.an-
nually theredfter, unless otherwise provided by law. \Y joo.

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