Special Assessment for Wind Energy Systems

Last updated: August 28, 2018

Program Overview

Implementing Sector:State
Category:Financial Incentive
State:West Virginia
Incentive Type:Property Tax Incentive
Administrator:West Virginia Division of Energy
Eligible Renewable/Other Technologies:Wind (All), Wind (Small)

Authorities

Name:W. Va. Code § 11-6A-5a
Date Enacted:5/2001
Effective Date:7/2001
Name:Guide for County Assessors
Effective Date:07/01/2011

Summary

For the purposes of property tax assessment, utility-owned wind projects are considered to have a value equal to their salvage value, with certain limitations. This incentive effectively lowers the property tax base on utility-owned wind turbines from 100% of fair market value to as little as 24.95% of fair market value.* This results in an effective property tax rate on wind turbines that is 24.95% of the effective tax rate on most other types of newly constructed electricity-generating units.

*The law states that up to 79% of the total property may be assigned salvage value. Salvage value of a pollution control facility, of which a wind turbine is considered for assessment purposes, is 5%. Therefore, if 79% of the property is valued at 5% (salvage value), and the remaining 21% of the property is valued at 100%, the effective value for property tax purposes is 24.95%.

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