Bill > HB1405

This bill provides the following key provisions: 1. It allows a county or municipal fiscal body to designate an area in which a property tax exemption will be provided for certain enterprise information technology equipment used by eligible businesses in data centers. 2. It provides a state sales and use tax exemption for the purchase of certain data center equipment located in a qualified data center that results in a minimum qualified investment within five years, ranging from at least $25 million to more than $150 million depending on the population of the county. 3. It requires a qualified data center user to apply to the Indiana Economic Development Corporation (IEDC) for a specific transaction award certificate and enter into an agreement with the IEDC as a condition of receiving the award. 4. It provides that the sales tax exemption will remain in effect even if there is a future transfer, sale, or disposition of the qualified data center, as long as the new owner enters into an agreement with the IEDC. 5. It requires the IEDC to submit an economic and fiscal impact study evaluating the statewide impact of data center investments in Indiana every 10 years, starting in 2030. The bill is intended to encourage investment in data centers in Indiana by providing tax incentives for the purchase of data center equipment and establishing a framework for the IEDC to administer the program.

Budget and Finance

http://iga.in.gov/legislative/2019/bills/house/1405/