Producers of coal are the persons liable for payment of this tax. A producer of coal is the person who owns the coal immediately after it is severed from the ground. Producers are also responsible for payment of the severance tax imposed by
W. Va. Code §11-13A-3 and the minimum severance tax imposed by
W. Va. Code §11-12B-3.
As a general rule, a contract miner does not own the coal immediately after it is severed. Therefore, a contract miner is, as a general rule, not the producer of the coal and he is not liable for payment of either the severance tax, the minimum severance tax or this special tax on coal.
Although a person who processes coal that he purchased from another person is liable for severance tax, he is not liable for payment of either the minimum severance tax, or this tax, on tons of clean coal processed from purchased tons of raw coal.