This bill proposes the establishment of a new excise tax on the production of electricity generated from wind and solar resources in West Virginia, effective January 1, 2027. The tax will be levied at a rate of $3 per megawatt hour of electricity produced for sale or trade. The bill outlines specific exemptions, including electricity produced by federal, state, or local government entities, as well as personal consumption up to 500 kilowatt hours per day. Additionally, electricity produced from wind turbines will not be taxed for the first three years after they begin generating electricity for sale.

The bill also details compliance and collection procedures, requiring producers to report their electricity production annually by February 1 and to remit the tax payment by the same date. It establishes penalties for late payments, including interest on delinquent taxes and potential penalties for failure to file returns. Furthermore, the proceeds from this tax will be distributed to the 55 counties in West Virginia based on the number of volunteer fire departments compliant with the West Virginia Checkbook fiscal reporting system, ensuring that these funds support local fire services.

Statutes affected:
Introduced Version: 11-29-1, 11-29-2, 11-29-3, 11-29-4, 11-29-5, 11-29-6