72nd OREGON LEGISLATIVE ASSEMBLY--2003 Regular Session
NOTE: Matter within { + braces and plus signs + } in an
amended section is new. Matter within { - braces and minus
signs - } is existing law to be omitted. New sections are within
{ + braces and plus signs + } .
LC 3484
Senate Bill 874
Sponsored by COMMITTEE ON RULES
SUMMARY
The following summary is not prepared by the sponsors of the
measure and is not a part of the body thereof subject to
consideration by the Legislative Assembly. It is an editor's
brief statement of the essential features of the measure as
introduced.
Exempts wind turbines from property taxation.
Imposes electricity output tax on electricity generated by wind
turbines. Distributes electricity output tax moneys to local
governments in counties where wind turbines are operated.
Applies exemption and tax to periods beginning on or after July
1, 2004.
A BILL FOR AN ACT
Relating to taxation; appropriating money; and providing for
revenue raising that requires approval by a three-fifths
majority.
Be It Enacted by the People of the State of Oregon:
SECTION 1. { + Section 2 of this 2003 Act is added to and made
a part of ORS chapter 307. + }
SECTION 2. { + (1) Wind turbines that are used for the
generation of electricity are exempt from ad valorem property
taxation.
(2) ORS 306.353 to 306.359 do not apply to this section. + }
SECTION 3. { + Section 2 of this 2003 Act applies to tax years
beginning on or after July 1, 2004. + }
SECTION 4. { + (1) An electricity output tax is imposed on
electricity generated in this state by a wind turbine.
(2) The tax shall be imposed at a rate of $.002 per kilowatt
hour.
(3) The tax imposed under this section is a liability of the
operator of the wind turbine that generated the electricity on
which the tax is imposed. + }
SECTION 5. { + (1) Each operator of a wind turbine that
generates electricity in this state shall file a tax return
reporting the amount of tax due under section 4 of this 2003 Act.
(2) The return shall be filed with the Department of Revenue on
or before the 20th day following the end of each calendar quarter
in which a tax is due, on a form prescribed by the department
that lists:
(a) Each location at which the operator operates wind turbines
in this state;
(b) The amount of kilowatt hours of electricity generated at
each location; and
(c) Any other information required by the department.
(3) The tax imposed under section 4 of this 2003 Act shall be
paid at the time the operator files a return under this section.
The payment shall accompany the return. + }
SECTION 6. { + (1) A wind turbine operator who fails to file a
return or pay the tax at the time the return or tax is due under
section 5 of this 2003 Act and:
(a) Who files a return and completely pays all tax liability
within 60 days following the due date of the return, is subject
to a penalty equal to five percent of the amount of tax;
(b) Who files a return and completely pays all tax liability
within 120 days following the due date of the return, is subject
to a penalty equal to 25 percent of the amount of tax; or
(c) Who does not file a return or pay an outstanding amount of
tax until 120 or more days after the due date of the return or
tax, is subject to a penalty equal to 100 percent of the amount
of the tax liability.
(2) The Department of Revenue may waive all or a portion of the
penalty imposed under this section. + }
SECTION 7. { + Unless the context requires otherwise, the
provisions of ORS chapters 305, 314 and 316 as to the audit and
examination of reports and returns, determination of
deficiencies, assessments, claims for refunds, penalties,
interest, jeopardy assessments, warrants, confidentiality and
disclosure of taxpayer information, conferences and appeals to
the Oregon Tax Court, and procedures relating thereto, apply to
sections 4 to 9 of this 2003 Act, the same as if the tax were a
tax imposed upon or measured by net income. + }
SECTION 8. { + If the amount of tax paid by the taxpayer under
section 5 of this 2003 Act exceeds the amount of tax imposed
under section 4 of this 2003 Act, the Department of Revenue shall
refund the amount of the excess with interest thereon at the rate
established under ORS 305.220 for each month or fraction of a
month from the date of payment of the excess until the date of
the refund. No refund shall be made to a taxpayer who fails to
claim the refund within two years after the due date for filing
of the return with respect to which the claim for refund
relates. + }
SECTION 9. { + (1) Amounts collected pursuant to section 5 or
6 of this 2003 Act shall be deposited in a suspense account
established pursuant to ORS 293.445. After the payment of
refunds, the net amount is continuously appropriated to the
Department of Revenue for distribution to counties as prescribed
in subsection (2) of this section.
(2) On or before 45 days following the end of each calendar
quarter, the department shall distribute the net amount of
revenues in the suspense account to those counties in this state
in which wind turbine operations are conducted. The amount
distributed to each county shall be proportionate to that share
of total statewide wind turbine generated electricity that was
generated in that county.
(3) Amounts received by a county under this section shall be
deposited in the unsegregated tax collections account established
under ORS 311.385, to be distributed to local taxing districts in
the same manner as property tax revenues are distributed. + }
SECTION 10. { + Sections 4 to 9 of this 2003 Act apply to
electricity from wind turbines that is generated on or after July
1, 2004. + }
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