Rural Data Centers Are in for a Big Federal Tax Break
Welcome back to Power Play! Each week, senior writer Molly Taft tackles a topic around this midterm season’s biggest issue: data centers. If you’ve got a question or thought for the column, feel free to shoot Molly an email at molly_taft@wired.com or reach them securely on Signal at mollytaft.76.
On January 1, a new tax windfall will kick in that could benefit scores of rural data center projects—all thanks to the One Big Beautiful Bill Act.
Starting next year, projects sited in tracts of rural land across the country will be newly eligible for a set of specific corporate tax benefits under a program expanded by the bill. The new rules “may significantly lower barriers for large-scale, capital-intensive projects in rural areas—most notably hyperscale data centers,” said a statementfrom Ways and Means Committee chair Jason Smith last year. “The economic case for building data centers in designated rural...
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