Tax Incentives and Advantages
Companies that build data or network operation centers of at least 25,000 square feet and invest $30 million in the first four years qualify for valuable tax breaks.
Qualifying projects receive sales tax exemptions for 20 years on:
And pay no personal property tax. Ever.
Favorable tax provisions give Minnesota data centers important competitive advantages.
The state's business taxes rank 20th-lowest in the nation. Minnesota's carry-forward and lack of a throwback encourage business startups. The refundable research and development credit (10 percent for the first $2 million, 2.5 percent thereafter) spurs innovation and helps offset some tax liabilities.
In addition, Minnesota DOES NOT tax:
These exemptions, coupled with generous incentives and low tax liability on new investment, create an extremely favorable climate for data centers.