CORPORATE INCOME TAX ANALYSIS
Three years worth of returns (1995-7) estimated using pro forma Federal Income Tax Returns
- Income apportioned to Virginia using single weighted Multistate Apportionment formula
- Coal credit available at $3/ton
- assumed that same coal would have been purchased under income tax as was under gross receipts
- FASB 109 adjustment
- Amortized some $5 billion in deferred taxes over 30 years, representing a total of nearly $300 million in reduced tax liability over 30 years