Property Tax Exemption for Wind Energy Generation Facilities (Nebraska)
Last modified on February 12, 2015.
Financial Incentive Program
|Name||Property Tax Exemption for Wind Energy Generation Facilities|
|Incentive Type||Property Tax Incentive|
|Applicable Sector||Commercial, Residential, Local Government, State Government, Fed. Government, Municipal Utility, Rural Electric Cooperative|
|Energy Category||Renewable Energy Incentive Programs|
|Amount||100% of appreciable tangible personal property tax; payment in lieu of tax required|
|Eligible System Size||None specified|
|Equipment Requirements||Wind must be used as fuel source|
|Program Administrator||Nebraska Department of Revenue|
|References||DSIREDatabase of State Incentives for Renewables and Efficiency|
In 2010 Nebraska created a nameplate capacity tax that replaced the Nebraska Department of Revenue's central assessment and taxation of depreciable tangible personal property associated with wind energy generation facilities (see L.B. 1048).
The nameplate capacity tax is $3,518 per installed megawatt (MW). On March 1 of each year, the owner of a wind generation facility must file with the Department of Revenue a report on the nameplate capacity of the facility for the previous calendar year. Nameplate capacity taxes for any calendar year are due on April 1 of the following year. The Department of Revenue pays all proceeds related to the tax to the county treasurer of the county where the wind energy generation facility is located.
Wind energy generation facilities are defined as facilities that generate energy with wind as the fuel source.
Any depreciable tangible personal property used directly in the generation of electricity using wind as the fuel source is exempt from the property tax levied on depreciable tangible personal property. Depreciable tangible personal property includes, but is not limited to, wind turbines, rotors and blades, towers, trackers, generating equipment, transmission components, substations, supporting structures or racks, inverters, and other system components such as wiring, control systems, switchgears, and generator step-up transformers.
Wind facilities are exempt from both the nameplate capacity tax and the real property tax assessment if they are owned by the federal government, the State of Nebraska, a public power district, a public power and irrigation district, a municipality, a registered group of municipalities, an electric membership association, a cooperative, or an electricity customer-generator who installs a wind energy system with a capacity of 25 kilowatts or less on his or her side of the meter, interconnects to the grid, and uses the electricity generated by the wind energy system to offset the customer-generator’s requirements for electricity at the location of the system.
The real property of the facility is subject to local assessment. While supporting structures to wind turbines are exempted, real property upon which wind generation facilities are based will not be exempt from property taxes. Real property associated with wind energy generation includes, but is not limited to, concrete pads, foundations, operations and maintenance buildings, road construction, leasehold value, and lease payments, and it is assessed at 100% of actual value.
|Department||Nebraska Department of Revenue|
|Address||Nebraska State Office Building|
|Address 2||301 Centennial Mall South|
|Phone 2||(402) 471-5729|
Authorities (Please contact the if there are any file problems.)
|Authority 1:||Neb. Rev. Stat. § 77-202(9)|
|Authority 2:||Neb. Rev. Stat. § 77-6203(2)(a)|
|Authority 3:||Nebraska Directive 11-3|
- Incentive and policy data are reviewed and approved by the N.C. Solar Center's DSIRE project staff.