Official reports from Washington state government or credible news sources

Washington Data Center Tax Break Saves Companies $474M Since 2018, Benefits Microsoft

Aug 4, 2024, 03:01 PM

Since 2018, companies have saved $474 million due to a tax break for data centers in Washington, with most of the benefits going to Microsoft. Originally intended to create jobs in rural areas, the tax break has strayed from its initial promises. Lawmakers expanded the qualifications and lowered job expectations, and the results have been kept hidden from the public. Despite claims that the 2010 incentive was crucial for industry growth in Central Washington, companies like Microsoft and Yahoo already had incentives to locate in the region, such as clean, low-cost hydropower. In 2023 alone, the tax break cost Washington $117 million, surpassing aerospace tax cuts.