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Renewable energy generation or storage excise tax
What is renewable energy?
Renewable energy is energy produced by a solar or wind facility, with nameplate capacity sufficient to generate at least 10 megawatts (MW) of alternating current (AC) power.
Who pays the tax?
Operators of renewable energy generation or storage systems where construction began on or after July 1, 2023, and that are exempt from personal property tax under RCW 84.36.680.
What is the tax rate?
The tax rate is based on the per month per MW nameplate capacity as shown below:
| Activity | 10-year exemption | 15-year exemption |
|---|---|---|
| Solar energy generation | $80 | $75 |
| Wind energy generation | $150 | $130 |
| Storage (solar or wind) | $19 | $14 |
How do I pay the tax?
You will report the tax on your excise tax return using classifications based on your facility type and exemption period. These classifications will only be available on your return if you have applied and been approved for the property tax exemption.
What are the funds used for?
The taxes will be distributed to qualified counties, qualified federally recognized Indian tribes, and qualified school districts.
