AN ACT TO AMEND TITLE 30 OF THE DELAWARE CODE RELATING TO BUSINESS TAX CREDITS AND DEDUCTIONS.

Plain English Breakdown

Checked against official source text during the last sync.

HB310: Excluding Large Energy Use Facilities From Tax Credits

This bill changes Delaware law to stop large energy use facilities from getting certain tax credits or license fee reductions for creating jobs and investing in business.

What This Bill Does

• Adds a new definition for 'large energy use facility' to the state code.
• Defines these facilities as those using at least 30 megawatts of power that are primarily engaged in providing services under industry code 518210.
• Removes large energy use facilities from the list of properties called 'qualified facilities'.
• Prevents these excluded facilities from receiving tax credits or license fee reductions for job creation and qualified investment.

Who It Names or Affects

• Businesses operating facilities that use 30 megawatts or more of power.
• Companies primarily engaged in services listed under code 518210 of the North American Industry Classification System.
• Taxpayers seeking credits for creating employment and investing in business facilities.

Terms To Know

Large energy use facility

A facility that uses or is able to use 30 megawatts or more of power and is primarily engaged in providing a service described under code 518210.

Qualified facility

New or expanded property in Delaware used for business activities, which now cannot be a large energy use facility to get tax benefits.

Limits and Unknowns

• The official text does not state the exact date this law will take effect.
• The source material lists specific industry codes but does not explain what services those codes cover in plain English.

Official Summary Text

AN ACT TO AMEND TITLE 30 OF THE DELAWARE CODE RELATING TO BUSINESS TAX CREDITS AND DEDUCTIONS.
This Act excludes large energy use facilities from the definition of a qualified facility for purposes of determining eligibility for a tax credit or license fee reduction for the creation of employment and qualified investment in business facilities.

Current Bill Text

Legislation Document

SPONSOR:

Rep. Heffernan & Rep. Minor-Brown & Rep. Harris & Rep. Griffith & Sen. Hansen

Reps. Burns, Gorman, K. Johnson, Morrison, Romer, Snyder-Hall, Lambert; Sens. Sokola, Lockman

HOUSE OF REPRESENTATIVES

153rd GENERAL ASSEMBLY

HOUSE BILL NO. 310

AN ACT TO AMEND TITLE 30 OF THE DELAWARE CODE RELATING TO BUSINESS TAX CREDITS AND DEDUCTIONS.

BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF DELAWARE:

Section 1. Amend § 2010, Title 30 of the Delaware Code by making deletions as shown by strike through and insertions as shown by underline as follows and by redesignating accordingly:

§ 2010. Definitions.

As used in this subchapter and in subchapters III, V and VIII of this chapter:

(1) “Large energy use facility” means a facility that uses or is able to use 30 megawatts or more and is primarily engaged in providing a service described under code 518210 of the 2022 North American Industry Classification System.

(1)

(2)

“Qualified facility” is any qualified property

that is not a large energy use facility

located within this State that constitutes a new facility or an expanded facility and that is used by the taxpayer in or in connection with a qualified activity.

SYNOPSIS

This Act excludes large energy use facilities from the definition of a qualified facility for purposes of determining eligibility for a tax credit or license fee reduction for the creation of employment and qualified investment in business facilities.