States lose $3 billion annually from data center tax breaks

April 24, 2025, 6:30 PM UTC

STATES’ TAX SUBSIDIES TO DATA CENTERS cost $3 billion annually and are “out of control” benefits for technology giants such as Amazon to Meta, a tax policy group said.

  • At least 10 states annually forgo more than $100 million each from programs subsidizing data facilities, server farms, and cloud computing centers, Good Jobs First said in a report Thursday. Those states—Texas, Virginia, Illinois, Georgia, Iowa, Nevada, Ohio, Minnesota, Washington, and Tennessee—collectively waived about $3.1 billion during the most recent year for reportable data, which varied.
  • Currently 32 states offer tax incentives for the construction and operation of data centers. Most ...

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