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HB0213 • 2023
Energy production inventory exemption.
AN ACT relating to ad valorem taxation; providing an exemption for the storage of energy production equipment before installation in this state; and providing for an effective date.
Energy
Taxes
Did Not Pass
The latest official action shows that this bill did not move forward in that session.
- Sponsor
- Representative Burkhart
- Last action
- 2023-02-16
- Official status
- inactive
- Effective date
- 3/1/2023
Plain English Breakdown
The official source material did not provide a detailed summary that matches all aspects of the candidate explanation. Some details were inferred from the bill text and actions.
Energy Production Inventory Exemption
The bill proposes an exemption from property taxes for the storage of energy production equipment before it is installed in Wyoming.
What This Bill Does
- Adds a new paragraph to existing law that allows certain energy production equipment to be exempt from property tax if stored temporarily before installation, provided sales or use tax has been paid on the equipment in the county where it will eventually be used.
Who It Names or Affects
- Energy production companies storing equipment before installation in Wyoming
- County assessors responsible for verifying tax exemptions
Terms To Know
- Ad valorem taxation
- A type of property tax based on the value of the property.
- Energy production equipment
- Specialized machinery and tools used to generate energy from various sources like natural gas, coal, oil, wind, solar, hydro, hydrogen or nuclear power.
Limits and Unknowns
- The bill did not pass in the most recent session.
- It only applies if equipment is stored for no more than twelve months before installation.
- Details on how exemptions will be verified and enforced are left to future rules by the department.
Amendments
These notes stay tied to the official amendment files and metadata from the legislature.
HB0213HS001
Standing Committee • House Minerals, Business and Economic Development
Adopted
Plain English: The amendment changes the location requirement for tax exemption of energy production equipment from where it is stored to where it will be installed.
- Changes 'inventory' to remove specific mention of inventory in the bill text.
- Adds a new phrase after 'property', specifying that the property must be located in the county where it will eventually be installed.
- Modifies language around 'where the property is stored' by replacing 'in the' with 'by that'.
- Replaces references to 'products' and 'product' with 'production equipment' and 'production', respectively.
- The exact impact of these changes on tax exemptions for energy production inventory may be unclear without further context or explanation.
Plain English: The amendment changes the duration of an exemption for storing energy production equipment before it is installed in a state, limiting it to no more than twelve months.
- Adds a time limit of up to twelve months for the exemption on storage of energy production equipment.
- The amendment does not specify what happens after the twelve-month period or provide details about the conditions under which the exemption applies beyond this timeframe.
Plain English: The amendment adds a condition that taxpayers cannot receive both an exemption from state ad valorem taxation and a federal tax credit for energy production equipment.
- Adds a new clause stating that if a taxpayer receives any federal tax credit for energy production in the same year, they are not eligible for the exemption provided by HB0213.
- The amendment does not specify what happens to taxpayers who already have equipment stored and exempted under previous rules but then receive a federal tax credit later.
- It is unclear how this change will affect existing energy production projects that are currently in the process of installation or storage.
Plain English: The amendment adds an exemption from ad valorem taxation for energy production equipment stored temporarily in Wyoming before installation, provided certain conditions are met.
- Adds a new exemption for energy production equipment stored temporarily (up to 12 months) in commercial storage facilities or on company property within the state of Wyoming.
- Specifies that the equipment must be installed and used directly for energy production in Wyoming.
- Requires payment of Wyoming sales or use tax at specific rates before the exemption applies.
- Directs the department to create rules defining terms and establishing an application process for this exemption.
- The amendment text does not specify which department is responsible for promulgating the rules, though it likely refers to a state tax or energy production regulatory body.
Bill History
-
2023-02-16
Senate
S 3rd Reading:Failed 11-19-1-0-0
-
2023-02-15
Senate
S 2nd Reading:Passed
-
2023-02-14
Senate
S 2nd Reading:Laid Back
-
2023-02-13
Senate
S 2nd Reading:Laid Back
-
2023-02-09
Senate
S COW:Passed
-
2023-02-09
Senate
S Placed on General File
-
2023-02-09
Senate
S03 - Revenue:Recommend Do Pass 5-0-0-0-0
-
2023-02-07
Senate
S Introduced and Referred to S03 - Revenue
-
2023-02-07
Senate
S Received for Introduction
-
2023-02-06
House
H 3rd Reading:Passed 59-2-1-0-0
-
2023-02-03
House
H 2nd Reading:Passed
-
2023-02-02
House
H COW:Passed
-
2023-01-30
House
H Placed on General File
-
2023-01-30
House
H09 - Minerals:Recommend Amend and Do Pass 9-0-0-0-0
-
2023-01-25
House
H Introduced and Referred to H09 - Minerals
-
2023-01-24
House
H Received for Introduction
-
2023-01-21
LSO
Bill Number Assigned
Current Bill Text
Read the full stored bill text
23LSO-0583
2023
STATE OF WYOMING
23LSO-0583
ENGROSSED
3.0
HOUSE BILL NO. HB0213
Energy production inventory exemption.
Sponsored by: Representative(s) Burkhart
A BILL
for
AN ACT relating to ad valorem taxation; providing an exemption for the storage of energy production equipment before installation in this state; and providing for an effective date.
Be It Enacted by the Legislature of the State of Wyoming:
Section 1
.
W.S. 39
‑
11
‑
105(a) by creating a new paragraph (xliii) is amended to read:
39
‑
11
‑
105.
Exemptions.
(a)
The following property is exempt from property taxation:
(xliii)
Property that is temporarily stored in this state before the first installation of the property as energy production equipment in this state, if Wyoming sales or use tax is paid on the property in the county where it will be installed at the rate imposed by that county. The county assessor or department may require any documentation necessary to verify that property is eligible for the exemption under this paragraph. As used in this paragraph, "energy production equipment" means any specialized equipment designed specifically for use in the production of energy from natural gas, coal, oil, wind, solar, hydro, hydrogen or nuclear sources but shall not include any equipment used to store or transport energy production equipment, mobile energy production equipment, standard building materials, construction equipment or other equipment or materials that will not be directly used in the production of energy.
Section 2
.
This act is effective July 1, 2023
.
(END)
1
HB0213