A North Dakota data center tax incentive recently passed within the state's House of Representatives by a 64 to 27 vote. This bill, if enacted, would apply both to new and refurbished data centers. It will allow for the tax free purchase of equipment and software within the state.
The bill was limited last week to help the first four data centers that apply and are certified, meaning that there will likely be a race to develop and/or refurbish data centers in the region. The legislation is designed to encourage the creation of more data center jobs in North Dakota.
Companies that wish to have a tax exemption on their purchase must have it approved beforehand, or they can choose to have it refunded if it is installed by a contractor after purchase.
This bill is just the lastest in a series of legislation aimed at attracting high-tech workers to these states. North Dakota is one of 38 states nationwide that are providing new data center tax incentives. There are currently no colocation centers within the state of North Dakota, making it one of the most sparsely connected in the continental United States.
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