Below are some of the state incentives offered to data centers in the Southern US:

  • Alabama: Tiered sales and property tax abatements lasting 10–30 years depending on capital investment levels from $200M to over $400M.
  • Arkansas: Full sales and use tax exemption for data center investments of $100M+. Enhanced exemptions for mega-projects of $2B+ and significant payroll.
  • Florida: Sales and use tax exemption for data centers investing $150M+ with at least 15MW of critical load; certificate and reporting requirements apply.
  • Georgia: High-technology data center equipment exemption with tiered investment and job thresholds based on county population.
  • Mississippi: 10-year exemption covering sales/use, income, and franchise taxes for investments $20M+ and creating 20+ high-wage jobs.
  • Missouri: Up to 15-year full state and local sales/use tax exemption for new data centers investing $25M+ and creating 10 high-wage jobs.
  • Oklahoma: Sales and use tax exemption for qualified computer services companies with large out-of-state sales. Local property tax abatements negotiable.
  • South Carolina: Sales and use tax exemption for data centers investing $50M+ and creating 25 high-wage jobs, with strict job maintenance rules.
  • Tennessee: $100M+ investment and 15+ high-wage jobs required. Includes exemptions for IT equipment and reduced electricity sales tax rate of 1.5%.
  • Texas: $200M+ investment and 20+ jobs required, with facilities over 100,000 sq ft. Offers sales/use tax relief on qualifying purchases.
  • Virginia: Eligibility starts at $150M investment and 50 jobs, or $70M and 10 jobs in distressed areas. Extensions require $35B–$100B+ and MOUs.

Advantous monitors state and local tax updates for all businesses regularly, and our team stands ready to assist you in your future growth efforts.