Fillable Form M25 - Wind Energy Production Report (Page 3 of 3) in pdf

Instructions for Form M25

New for 2013 assessment

differ. Common ownership does not exist

exempt from the wind energy production tax

and subject to payments in lieu of the tax.

solely because the same person or entity

The Department of Revenue is asking for

provided equity financing.

ownership information on Form M25 to

Completing the form

ensure all companies are paying the correct

Rate of tax

amount of wind energy production tax.

Form M25 must be submitted as accurately

This information will help us verify that the

Large scale WECSs have more than 12 mega

and completely as possible. Attach addi

nameplate capacity is properly calculated

watts as provided by the nameplate capacity

tional sheets if necessary. When completing

for all wind energy conversion systems. If

the “Owner Information” section:

of the system or as combined with other

you have questions, contact us by email at

systems. The rate of tax for large scale

• If the wind energy company is owned

sa.property@state.mn.us.

WECSs is .12 cents ($.0012) per kilowatt

by an LLC or partnership, list all mem

hour of electricity produced by the system.

bers or partners.

Who must file

Medium scale WECSs have a nameplate

• If the owner is an S corporation, list all

You must file Form M25 annually if you pro

capacity of greater than two megawatts

shareholders.

duce electricity by means of a wind energy

and up to twelve megawatts. The rate of

conversion system (WECS) installed after

tax for medium scale WECSs is .036 cents

• If the owner is a C corporation, list all

Jan. 1, 1991, unless the system is exempt

($.00036) per kilowatt hour of electricity

shareholders with an ownership inter

from tax (see below).

produced by the system.

est that exceeds 10 percent.

A WECS is any device that converts wind

Small scale WECSs have a nameplate capa

• Provide the company owner’s federal

energy to a usable form of energy.

city of less than two megawatts. The rate

ID number or — for sole proprietors —

of tax for small scale WECSs is .012 cents

Social Security number.

Systems exempt from tax. The following

($.00012) per kilowatt hour of electricity

WECSs are exempt from the tax:

• Provide the street address of each system

produced by the system.

reported on Form M25. Be as accurate

• All small-scale systems with a capacity

Tax Rate Information

as possible.

of 0.25 megawatts or less; and

Large Scale = $1.20 per MWH

The location of each system with similar

• Small-scale systems owned by a

Medium Scale = $0.36 per MWH

owners may be subject to reporting their

municipality if the system’s capacity is

Small Scale = $0.12 per MWH

nameplate capacity as one system. The ac

two megawatts or less.

One MWH is equal to 1,000 KWHs.

curacy of the addresses of each system will

Due dates

help determine the correct rate of tax.

Information and assistance

Form M25. You must file Form M25 with

Choosing a basis of apportionment

If you have questions or need help complet

the Department of Revenue by February 1

You have the option of having the tax ap

ing this form, call 6515566091 or 651556

each year to report electricity produced dur

portioned to each taxing area based on the

6102. TTY: Call 711 for Minnesota Relay.

ing the previous calendar year.

number of towers and interconnects OR by

We’ll provide this information in another

the systems’ actual production. Check one

The Department of Revenue will determine

format upon request to persons with dis

of the boxes at the top of the form.

the production tax due, and notify you and

abilities.

the counties where the systems are located

Special taxing districts

of the amount due on or before February 28

If you don’t know if the system is located in

Use of information

of each year.

a special taxing district (such as a water

The information requested on this form is

shed district), contact the county where the

If you don’t file this report on time, the

required by state law. It is used to determine

system is located.

Department of Revenue will determine your

your wind energy production tax, the taxing

tax based on information available regard

Parcel ID numbers

areas entitled to levy the tax and your iden

ing the capacity of the systems and assume a

If you don’t have a parcel ID number for a lo

tity. If you do not provide the information,

production rate of 60 percent of capacity.

cation, contact the county where the system

the Department of Revenue may assess tax

is located.

based on available information.

Payment of tax. You must pay the tax to

the county treasurers where the systems are

Your Social Security number is private

Size of WECSs

located on or before May 15 of each year.

infor mation and cannot be disclosed to

The nameplate capacity of a WECS will be

others without your consent. Your federal

combined with the nameplate capacity of

Alternative payment plans

ID number is also private or nonpublic

other WECSs if:

A payment in lieu of the wind energy

information, but can be disclosed to county

production tax may be negotiated between

or local officials for tax administration pur

1. The systems are located within five

the owner of the WECS and the jurisdic

poses. All other information is public.

miles of each other;

tion where the system is located. The plan

2. The systems were constructed in the

must be signed by all parties and filed with

Penalties

same calendar year; and

the Department of Revenue and the county

Making false statements on this report is

recorder where the system is located.

3. The systems are under common

against the law. Minnesota Statutes, section

ownership.

609.41, states that anyone giving false infor

Companies that have negotiated an alterna

mation in order to avoid or reduce their tax

tive payment plan under the provisions of

Common ownership exists when the same

obligation is subject to a fine of up to $3,000

Minnesota Statutes, section 272.028, must

or similar persons or entities own two or

and/or up to one year in prison.

follow the terms of the contract in order to be

more systems, even if the ownership shares

Form M25 - Wind Energy Production Report Page 3

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