Predominant Use Studies
One important aspect of energy management is a Predominant Use Study. A predominant use study is an evaluation of your company's electric and natural gas consumption that can potentially allow you to receive a state and local sales tax exemption. Qualifying customers can not only receive future tax exemption status, but can also recover past sales tax expenditures if deemed applicable.
Roughly 30 states have enacted a law that allows businesses to qualify for sales tax exemption status upon having a predominant use study performed. If the study reveals that over 50% of your natural gas and electric usage qualifies, you can receive this sales tax exemption status.
Customers that work in the following industries may qualify:
- Manufacturing and fabricating
- Food and beverage processing, bakery, and assembly factories
- Nursing homes, assisted living facilities, and retirement homes
- RV Parks, mobile home parks, and apartment and condominium complexes
- Agricultural and horticultural uses, golf courses, oil and gas operations, mining
- National defense operations, and infrastructure repair operations such as railroad and aircraft engine repair
In order to get further information about predominant use studies and further information about qualification,
contact a professional energy consultant.