The bill specifies that air-source and ground-source heat pump
systems are household furnishings exempt from the levy and collection of property tax. The bill exempts air-source and ground-source heat pump systems from the definition of fixtures for property tax purposes.
Beginning July 1, 2024, the bill exempts from state sales and use
tax all sales, storage, and use of eligible decarbonizing building materials.
Eligible decarbonizing building materials are defined as building materials that have a maximum acceptable global warming potential as determined by the office of the state architect.
In addition, beginning January 1, 2023, the bill exempts from state
sales and use tax all sales, storage, and use of air-source and ground-source heat pump systems that are used in commercial or residential buildings.
The bill specifies that a statutory town, city, or county may exempt
the same items only by express inclusion of the exemption in its initial sales tax ordinance or resolution or by amendment thereto.
