Whether its our low power costs, low risk of natural disaster, or temperate climate, Idaho has all the markers to be the perfect home for data center facilities.
Beginning July 1, 2020, new data centers choosing to locate in Idaho will be eligible for sales tax exemption on server equipment as well as construction materials used in the construction of the data center facility. Companies should apply for provisional exemption through the Idaho Tax Commission. In order to receive the tax exemption, companies must:
- Create and maintain at least 30 new jobs in Idaho within the first two years after beginning operations, paying an average wage that is at or above the county average for the county in which the data center is located;
- Make a capital investment of at least $250,000,000 within 5 years after construction begins and be solely devoted to the purpose of providing the data center, or have a separately operated segment of a business solely devoted to the purpose of providing the data center.
For the full text of the bill, click here. Additional program guidance is being developed and will be released in the near future. For any immediate questions, please contact Paris Dickerson via email.
Note: Companies seeking this incentive will not be eligible to apply for/receive Idaho’s Tax Reimbursement Incentive.