Vote Smart's Synopsis:

Vote to pass a bill that exempts large data centers from the new state sales tax.

Highlights:

• Exempts the purchase or use of eligible server equipment and new data center facilities from taxes, after July 1, 2020 (Sec. 1).

• Specifies that the above-mentioned exemption is only available to qualifying business entities and contractors installing eligible server equipment or building new data center facilities for qualifying business entities (Sec. 1).

• Defines “qualifying business entity” as a business entity that certifies to the state tax commission that it will make capital investments in one or more data centers after July 1, 2020, in amounts of at least $250 million in the aggregate within the first 5 years after commencement of construction, and will create and maintain at least 30 new jobs at the data center within 2 calendar years after the commencement of operations (Sec. 1).

• Defines “new data center facilities” as buildings or structural components of buildings, including equipment, materials, and fixtures that are used in or intended for use primarily as a data center in Idaho (Sec. 1).

• Prohibits the amount of taxable market value of new construction from including any new construction of property for which an exemption from sales and use tax has been granted (Sec. 2).

Full Bill Text