H.B. No. 3017 proposes the introduction of an additional franchise tax specifically targeting solar and wind energy producers in Texas with a capacity exceeding 1 megawatt. The new Section 171.0012 of the Tax Code outlines that the tax will be calculated based on the total benefits received by these entities during the reporting period, which includes federal subsidies, tax credits, and other federal benefits. Furthermore, entities that receive such benefits are required to file a report detailing the dollar amounts of these benefits, regardless of any exemptions they might have previously qualified for.

The bill stipulates that the provisions of this new tax will apply to reports due on or after the effective date of the Act, which is set for January 1, 2026. This legislation aims to ensure that solar and wind energy producers contribute to the state's tax revenue in proportion to the federal benefits they receive, thereby promoting a fairer tax structure within the energy sector.

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