AR HB1751

Defines "renewable energy equipment" as equipment harvesting solar, wind, or other renewable energy sources with a maximum peak output of 20 megawatts (20 MW) AC nameplate capacity, including all physical components such as mounting fixtures and hardware.

Applies the defined valuation method to renewable energy equipment installed on commercial, industrial, or institutional property, or that produces energy metered to or used by such properties.

Classifies qualifying renewable energy equipment as tangible personal property valued using the cost method, with taxable value reflecting the equipment cost minus any discounts, rebates, refunds, tax credits, or other reductions received by the owner.

Establishes depreciation standards for tax purposes: equipment has a useful life of 10 years or less and a residual value of 10 percent or less after 10 years.

Makes the valuation provisions effective for assessment years beginning on or after January 1, 2021.