Coal conversion facility tax - Exemption - Lignite research tax - Imposition. (Effective through June 30, 2026) 1. Excluding the generation tax imposed under subsection 3 of section 57-60-02, a coal conversion facility is exempt from eighty-five percent of the tax imposed under section 57-60-02 and instead shall pay a lignite research tax equal to eighty-five percent of the tax imposed under section 57-60-02 multiplied by five percent.
2. An electrical generating plant is exempt from the generation tax imposed under subsection 3 of section 57-60-02 and instead shall pay a lignite research tax equal to the tax imposed under subsection 3 of section 57-60-02 multiplied by five percent. Coal conversion facility tax - Exemption - Lignite research tax - Imposition. (Effective after June 30, 2026, and through June 30, 2031) (Contingent repeal - See note) 1.
a. Excluding the generation tax imposed under subsection 3 of section 57-60-02, a coal conversion facility is entitled to a partial exemption from the coal conversion state share of the tax imposed under section 57-60-02 equal to:
(1) Ninety percent of the coal conversion state share for taxable production after June 30, 2026, and through June 30, 2027.
(2) Eighty percent of the coal conversion state share for taxable production after June 30, 2027, and through June 30, 2028.
(3) Seventy percent of the coal conversion state share for taxable production after June 30, 2028, and through June 30, 2029.
(4) Sixty percent of the coal conversion state share for taxable production after June 30, 2029, and through June 30, 2030.
(5) Thirty-five percent of the coal conversion state share for taxable production after June 30, 2030, and through June 30, 2031.
b. The coal conversion facility shall pay a lignite research tax equal to eighty-five percent of the tax imposed under section 57-60-02 before the application of the exemption under subdivision a, multiplied by five percent.
c. For purposes of this subsection, "coal conversion state share" means eighty-five percent of the tax imposed under section 57-60-02, excluding the generation tax imposed under subsection 3 of section 57-60-02.
2.
a. An electrical generating plant is entitled to a partial exemption from the generation tax imposed under subsection 3 of section 57-60-02 equal to:
(1) Ninety percent of the generating plant state share for taxable production after June 30, 2026, and through June 30, 2027.
(2) Eighty percent of the generating plant state share for taxable production after June 30, 2027, and through June 30, 2028.
(3) Seventy percent of the generating plant state share for taxable production after June 30, 2028, and through June 30, 2029.
(4) Sixty percent of the generating plant state share for taxable production after June 30, 2029, and through June 30, 2030.
(5) Thirty-five percent of the generating plant state share for taxable production after June 30, 2030, and through June 30, 2031.
b. The electrical generating plant shall pay a lignite research tax equal to the tax imposed under subsection 3 of section 57-60-02 before the application of the exemption under subdivision a, multiplied by five percent.
c. For purposes of this subsection, the "generating plant state share" means one hundred percent of the generation tax imposed under subsection 3 of section 57-60-02.