The senate is considering a bill that would extend the expiration of sales and use tax exemptions from 2015 to 2025 on purchases of certain server equipment and power improvements for new data centers. SB 6550 was approved by the senate fiscal committee Tuesday.
"The cloud computing boom's not going away,"
Rep. JanÉa Holmquist Newbry (R-
"The only thing standing in our way is that these high-tech firms need certainty, and in this highly competitive environment, if we don't offer them that level of certainty, some other state most definitely will," Newbry said in a press release.
When the tax exemption has been allowed to expire, she said, companies including Facebook and Amazon chose other states such as
"They've essentially given everything away," Sabey said. "We're basically on equal footing with the incentives."
The fiscal note for the bill estimates a loss of about
"The city has used the influx of new revenue to address longstanding capital-improvement projects including upgrading the senior center, parks, museum and streets, and for the purchase of critical public-safety needs, including fire equipment and the construction of a new police facility," Hemberry said.
The current tax exemption is set to expire in 2015. The bill would extend the date to 2025.
The bill will next be considered by the rules committee before being voted on by the senate.
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