Nebraska – Partial Exemption for Customer-Generators of Electricity

SALT Report 2586 – Recently enacted legislation in Nebraska makes changes to the Nebraska Net Metering Act. The bill, LB 90, changes the law so that sales tax is only collected on the net amount of electricity used by a customer in a month. Specifically, LB 90 provides that in regards to the furnishing of electricity service to a customer-generator, Nebraska sales tax is imposed only on the “net energy use on billings or statements directed to customer-generators for electricity service.”

Under current law, sales tax is collected on all energy that flows into a customer’s home even if it is later offset by net metering.

The provisions in this bill are effective October 1, 2013.

For Further Information

Nebraska State Legislature – LB 90, Laws 2013