WPS customers
could qualify for sales tax exemption on electric bills. Do you have one of the
following types of businesses?
If you have questions about whether an exemption applies to your business,
your tax accountant is your best resource. If you have questions about
your current tax status with WPS, please
contact us.
Wisconsin
- Agricultural production
- A farm customer is defined to include customers using electric service in the production of agriculture products. In those cases
where the electricity is used jointly for domestic and agriculture products, the customer shall only be considered a farm customer
if the connected load for agriculture production equals 5KW or more.
Production of the following items qualifies as an agricultural operation:
- Livestock: Hogs, cattle, sheep, and horses.
- Dairy
- Poultry: A combined total of 20 or more chickens, geese, turkeys or ducks.
- Fruit: A combined total of 20 or more fruit trees, grapevines, and nut trees.
- Fur-bearing animals: Domestic rabbits, fur-bearing animals kept in captivity.
- Truck gardening
- Wildlife
- Field crops: Grain, hay, tobacco, corn or other field crops; also vegetables, small fruits and berries
- Nurseries and Greenhouses
If you believe that your farm meets the exemption requirements and is eligible
for this tax exemption, it's important that you complete the
Wisconsin Sales and Use Tax Exemption certificate.
Please fill out an exemption certificate for each Wisconsin Public Service account that meets the
exception requirements. This will ensure that you are billed properly. Prior to sending
in your certificate of exemption. Please review our
Certificate of Exemption checklist.
Email the completed certificate of exemption form to businesscenter@wisconsinpublicservice.com, or mail it to:
Wisconsin Public Service
Customer Service
P.O. Box 19001
Green Bay, WI 54307-9001
- Commercial customer with residential energy use
- Commercial customers with residential electric or natural gas use are tax-exempt
from November through April for the portion of energy used for residential purposes
(such as apartment "house meters," stores or restaurants with living quarters, etc.).
- Send a Certificate of Exemption
to Wisconsin Public Service Customer Service,
P.O. Box 19001, Green Bay, WI 54307-9001 or email it to businesscenter@wisconsinpublicservice.com. Prior to sending in
your certificate of exemption. Please review our Certificate of Exemption checklist.
- On the certificate, be sure to include the percentage of energy use claimed
for residential use.
- Governmental agency
- Manufacturing
- A sales tax exemption will be available for
electricity and natural gas used in manufacturing.
- To qualify for this exemption, manufacturers must provide electricity and natural
gas suppliers with a
sales tax exemption certificate.
Prior to sending in your certificate of exemption. Please review our
Certificate of Exemption Checklist.
- The new exemption will replace the current law, which states that "income
tax credit for sales tax paid on electricity and fuel consumed in manufacturing
tangible personal property." The problem with the current law is that the income
tax credit often exceeded the income tax liability of the manufacturer. This
resulted in the income tax credit being carried forward (or expiring if not used
in 15 years). Any unused income tax credits being
carried forward will be phased out.
- WPS suggests
manufacturers work closely with their tax advisors to specify the amount of
electricity or natural gas that will be used in manufacturing and to complete an
exemption certificate.
- Send a Certificate of Exemption
to Wisconsin Public Service Customer Service,
P.O. Box 19001, Green Bay, WI 54307-9001 or email it to businesscenter@wisconsinpublicservice.com. Prior to
sending in your Certificate of Exemption. Please review our
certificate of exemption checklist.
- Nonprofit organization
- Nonprofit organizations in Wisconsin are tax-exempt year-round for electric and natural gas
use. This includes any corporation, community chest fund, foundation or association that is
organized and operated exclusively for religious, charitable, scientific or educational purposes
or for the prevention of cruelty to children or animals.
- Send a Certificate of Exemption
information can be sent to Wisconsin Public Service
Customer Service, P.O. Box 19001, Green Bay, WI 54307-9001 or email it to
businesscenter@wisconsinpublicservice.com. Prior to sending in your certificate of exemption. Please review our
certificate of exemption checklist.
- On the certificate, be sure to indicate the tax-exemption number issued by the state.
Michigan
- Agricultural production
- Commercial businesses in Michigan are tax-exempt for electricity used
in agricultural production.
- They are also exempt from sales tax on the Fixed Charge if they
have no use.
- Send a Michigan Sales Tax Certificate
to Wisconsin Public Service Customer Service,
P.O. Box 19001, Green Bay, WI 54307-9001 or email it to businesscenter@wisconsinpublicservice.com. Prior to sending in
your certificate of exemption. Please review our
Certificate of Exemption Checklist.
- On the certificate, be sure to include the percentage of energy use claimed for
agricultural production. Here's a guideline to help you determine that percentage if you
have a dual-use meter (for residential and agricultural use):
If your total electric use exceeds 1,500 kilowatt-hours per month, or 2,500 kilowatt-hours
where a home has electric heat from Nov. to Mar., the excess usage will be considered
exempt.
- Industrial processing
- Businesses in Michigan are tax-exempt year-round for electric and natural gas used
in industrial processing. Qualifying activities include:
- production
- patent, experimentation, development, engineering inspection and quality control
- planning, scheduling and production control
- design, construction and maintenance of factory machinery, equipment and tooling
- disposal of production scrap and waste
- production supervision
- production material handling
- Send a Michigan Sales Tax Certificate
to Wisconsin Public Service Customer Service,
P.O. Box 19001, Green Bay, WI 54307-9001 or email it to businesscenter@wisconsinpublicservice.com. Prior to sending in your
certificate of exemption. Please review our Certificate of Exemption Checklist.
- On the certificate, be sure to include the percentage of energy use claimed for
industrial processing.
- Nonprofit organization
- Nonprofit organizations in Michigan are tax-exempt year-round for
electric use. This includes any corporation, community chest fund,
foundation or association that is organized and operated exclusively for
religious, charitable, scientific or educational purposes or for the
prevention of cruelty to children or animals.
- Send a Michigan Sales Tax Certificate
to Wisconsin Public Service
Customer Service, P.O. Box 19001, Green Bay, WI 54307-9001 or email it
to businesscenter@wisconsinpublicservice.com. Prior to sending in your Certificate of Exemption.
Please review our Certificate of Exemption Checklist.
