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Panel divides over ending data center tax breaks as revenue-raising measure
Summary
A governor-request bill to end sales-tax exemptions for data center refurbishments and replacement server equipment drew wide testimony: OFM and county officials backed the repeal to raise revenue; industry, labor and chambers warned it would reduce investment and construction jobs.
OLYMPIA — The Senate Ways and Means Committee heard lengthy, sometimes emotional testimony on Jan. 26 about a governor-request bill to end portions of Washington’s data-center tax preferences.
Committee staff said SB 6,231 would repeal the sales and use tax exemption for data center refurbishments and replacement server equipment effective July 1, 2026. Staff estimated the change would raise $63.1 million in the current biennium…
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