TITLE 63

REVENUE AND TAXATION

CHAPTER 6

EXEMPTIONS FROM TAXATION

63-602JJ.  property exempt from taxation — certain property of producer of electricity by means of wind, solar or geothermal energy. [effective until january 1, 2026] Real estate, fixtures or personal property is exempt from taxation if it is:

(1)  Owned, controlled, operated or managed by an electrical or natural gas association or producer of electricity by means of wind energy, solar energy or geothermal energy, excluding entities that are regulated by the Idaho public utilities commission as to price;

(2)  Held or used in connection with or to facilitate the generation, transmission, distribution, delivery or measuring of electric power, natural gas or electrical energy generated, manufactured or produced by means of wind energy, solar energy or geothermal energy, and all conduits, ducts or other devices, materials, apparatus or property for containing, holding or carrying conductors used for the transmission, distribution and delivery of electric power, natural gas or electric energy generated, manufactured or produced by means of wind energy, solar energy or geothermal energy, including construction tools, materials and supplies; and

(3)  Subject to the taxes on gross wind, solar or geothermal energy earnings pursuant to chapter 35, title 63, Idaho Code.

63-602JJ.  property exempt from taxation — certain property of producer of electricity by means of wind, solar, or geothermal energy — RATE-REGULATED ELECTRIC UTILITY COMPANIES, rate-regulated affiliated gas COMPANIES, And rate-regulated gas companies. [effective january 1, 2026] Real estate, fixtures, or personal property is exempt from taxation if it is:

(1)  Owned, controlled, operated, or managed by an electrical or natural gas association; a rate-regulated electric utility company; a producer of electricity by means of wind energy, solar energy, or geothermal energy; a rate-regulated affiliated gas company; or a rate-regulated gas company;

(2)  Held or used in connection with or to facilitate the generation, transmission, distribution, delivery, or measuring of electric power, natural gas, or electric energy, and all conduits, ducts or other devices, materials, apparatus, or property for containing, holding, or carrying conductors used for the transmission, distribution, and delivery of electric power, natural gas, or electric energy, including construction tools, materials, and supplies; and

(3)  Subject to the taxes on gross earnings of wind, solar, or geothermal energy, the kilowatt hour taxes on rate-regulated electric utility companies, or the taxes on therms of natural gas for rate-regulated affiliated gas companies and rate-regulated gas companies pursuant to chapter 35, title 63, Idaho Code, but not subject to assessment by a county assessor pursuant to section 63-402, Idaho Code.

(4)  For purposes of this section and chapter 35, title 63, Idaho Code:

(a)  "Rate-regulated affiliated gas company" means a public utility as defined in section 61-129, Idaho Code, that is engaged in the transmission, distribution, or delivery of natural gas in this state and that is part of a combined utility company that also owns and operates a rate-regulated electric utility company subject to tax pursuant to chapter 35, title 63, Idaho Code.

(b)  "Rate-regulated gas company" means a public utility as defined in section 61-129, Idaho Code, that is engaged in the transmission, distribution, or delivery of natural gas in this state and is not part of a combined utility company and does not own or operate any other utility company subject to tax pursuant to chapter 35, title 63, Idaho Code.

(c)  "Therm" means a measure of the heat content of natural gas equal to one hundred thousand (100,000) British thermal units.

History:

[63-602JJ, added 2016, ch. 189, sec. 2, p. 513; am. 2025, ch. 188, sec. 4, p. 876.]