State Tax Breaks for Data Centers Come Under Fire With AI Boom
Talking Tax11 Helmi

State Tax Breaks for Data Centers Come Under Fire With AI Boom

Data centers have emerged as a major political target in state capitals as they proliferate across the country and elected officials hear complaints from their voters about the massive, energy-guzzling warehouses. That has put tax breaks for data centers—which can amount to hundreds of millions of dollars annually in some states—squarely in the legislative cross hairs. State lawmakers in more than a dozen states have introduced legislation to repeal sales tax exemptions or raise the bar to qualify for them. Support for rolling back incentives cuts across party lines, with Republicans and Democrats expressing opposition to subsidizing a rapidly growing industry. But the industry's boosters also cross party lines, and two Republican governors have vetoed attempts in previous years to repeal the tax breaks. On this episode of Talking Tax, Bloomberg Tax reporter Daniel Moore discusses how these tax exemptions work, why they've grown so much, and how they could change this year. Do you have feedback on this episode of Talking Tax? Give us a call and leave a voicemail at 703-341-3690.

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States Still Decoupling From GOP Tax Law Deep Into Filing Season

States Still Decoupling From GOP Tax Law Deep Into Filing Season

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Tariff Refunds Would Threaten Tax, Transfer Pricing Headaches

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21 Tammi 10min

OECD Deal Success Hinges on Implementation, Rep. Estes Says

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Republicans on Capitol Hill are keenly watching how other countries implement a long-sought OECD agreement that exempts US companies from parts of the global minimum tax framework. Rep. Ron Estes (R-...

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