Shapiro: No Tax Breaks for Data Centers ‘Gouging Our Communities’
Pennsylvania Governor Josh Shapiro announced that data center developers refusing to comply with the state's new requirements will lose their sales tax exemption on equipment and will not receive necessary approvals to build. Shapiro emphasized that these wealthy companies should not get tax breaks while negatively impacting communities.
Pennsylvania Governor Josh Shapiro has announced a firm stance on data center development, stating that companies failing to comply with the state's new requirements will lose their existing sales tax exemption on data center equipment. This exemption was initially put in place two years before Shapiro took office.
Furthermore, Governor Shapiro warned that developers who do not adhere to these new standards will be unable to obtain the necessary approvals to construct data centers anywhere in Pennsylvania. He criticized the developers, referring to them as "the wealthiest companies in the world" and asserting that they "shouldn't get a tax break for gouging our communities." This policy aligns with an executive order on AI and data centers that aims to grant more power to local communities in development decisions.