Property Tax Exemption for Wind Energy Generation Facilities (Nebraska)

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Summary

Last modified on February 12, 2015.

Financial Incentive Program

Place Nebraska

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
Eligible Technologies Wind
Active Incentive Yes

Implementing Sector State/Territory
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
Start Date 2010-04-12







Maximum Incentive 100%










Program Administrator Nebraska Department of Revenue

Date added to DSIRE 2011-08-03
Last DSIRE Review 2014-08-15



References DSIREDatabase of State Incentives for Renewables and Efficiency[1]


Summary

Personal Property


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.


Eligibility


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.


Exemptions


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.


Real Property


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.


Incentive Contact

Department Nebraska Department of Revenue

Address Nebraska State Office Building
Address 2 301 Centennial Mall South
Place Lincoln, Nebraska
Zip/Postal Code 68509-4818
Phone (800) 742-7474
Phone 2 (402) 471-5729


Website http://www.revenue.state.ne.us/
     
     

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.[1]

References

  1. 1.0 1.1  "Database of State Incentives for Renewables and Efficiency"