you are viewing a single comment's thread
view the rest of the comments
[+] -11 points 5 months ago (9 children)

Data centers don't sell anything directly to consumer in order to collect taxes. Taxes are only applied to the end user.

  • source
  • hideshow 9 child comments
  • [–] 7 points 5 months ago (8 children)

    This may be sales tax breaks for things purchased by the datacenter? no sales tax on millions of dollars of computing and cooling is a huge amount...

  • source
  • parent
  • hideshow 8 child comments
  • [–] 1 point 5 months ago (2 children)

    They get huge tax breaks on things property, excise, abatement incentives. Not sales like this post claimed

  • source
  • parent
  • hideshow 2 child comments
  • [–] 3 points 5 months ago* (1 child)

    https://www.cleveland.com/news/2026/06/ohios-biggest-data-centers-secured-decades-of-tax-breaks.html

    Amazon, Meta and Google all signed agreements between 2014 and 2018 that granted them 100% sales tax exemptions for up to 40 years on any facility built in Ohio if the companies invested a certain amount in the state.

    [...]

    When you add them all up, Ohio has given up at least $2.3 billion in sales taxes, according to documents from the Ohio Department of Development that were shared with Cleveland.com.

    And the last contract doesn’t expire until 2058.

    Seems like they are though, huh

  • source
  • parent
  • hideshow 1 child comment
  • [–] 1 point 5 months ago

    Yea but it helps make sure the purchasing of said equipment goes to local suppliers. If they buy from out of state there is no revenue anyways, at least this benifits the local economy.

  • source
  • parent
  • [–] 1 point 5 months ago (3 children)

    The purchaser doesn't pay sales tax though. You pay sales tax when you "sell"

  • source
  • parent
  • hideshow 3 child comments
  • [–] 2 points 5 months ago (2 children)

    You've got it backwards. Sales tax is what the person purchasing the thing pays.

  • source
  • parent
  • hideshow 2 child comments
  • [–] 1 point 5 months ago

    No, you actually pay the tax on the sale. But culturally we've just moved that to the buyer. The seller "collects" that tax you see in the receipt and pays the IRS. You don't ever actually pay the tax to the IRS as the buyer.

  • source
  • parent