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The Texas Tribune
The Texas Tribune
National
By Paul Cobler, graphic by Apurva Mahajan

Texas is giving data centers more than $1 billion in tax breaks each year

This story was supported by the Pulitzer Center.

Texas will lose out on $3.2 billion in sales tax revenue over the next two years thanks to an exemption for the state’s booming data center industry, according to the comptroller’s office.

That figure is likely a vast underestimate given the explosion of new facilities being built, but already makes the tax break one of the state’s costliest incentive programs and soon to be the most expensive of its kind in the nation.

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