Bill > HB1160

This bill modifies how mixed-use agricultural real property is classified for tax purposes, specifically addressing situations where agricultural land is also used for energy production activities intended for resale. The legislation amends Section 137.016 of Missouri Revised Statutes to clarify that when agricultural and horticultural property (which is typically taxed at a lower rate) is used for energy production activities meant to be sold, the portion of the property used for those energy production purposes will be proportionally reclassified as utility, industrial, commercial, and other real property (which is taxed at a higher rate). This means that if a farm has solar panels or wind turbines generating electricity for sale, the land area occupied by those energy production facilities would be assessed and taxed differently from the rest of the agricultural property. The bill ensures that the county assessor will calculate and reclassify the appropriate percentage of the property's value based on its energy production use, effectively creating a more nuanced approach to property tax classification for mixed-use agricultural lands involved in energy generation.

Budget and Finance

https://house.mo.gov/Bill.aspx?bill=HB1160&year=2025&code=R