Georgia: Georgia Wants To Extend its Data Center Tax Exemptions Further

Mar 18, 2022 | Posted by Abdul-Rahman Oladimeji

Georgia is looking to extend its tax exemptions for data centers by another five years. Earlier in 2018, the US state introduced the current sales tax exemptions for data centers through HB 696. The bill provides tax exemptions if it meets certain job creation thresholds and investments over a set timeframe. The new bill, HB 1187, looks to add sales and use tax exemption for some data center equipment and extend the sunset for the exemptions from 2028 to 2033. It also adds a job creation component for facilities located in counties with a population that doesn’t exceed 50,000.

Noel Williams, a Republican Rep, sponsored the bill. A host of other republicans also supported him. In addition, starting from 2024, a revised tax exemption will impose 10% of the first $15 million of qualifying purchases. There’ll also be no tax on purchases beyond the $15 million threshold.