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business8h ago
Ohio suspends data center tax breaks after losing $1.5 billion in revenue – but ongoing projects will still get the benefits
- Ohio temporarily pauses new data-center tax exemptions while lawmakers review the program's financial impact.
- The pause does not affect incentives already approved, according to Governor DeWine.
- State officials cited concerns over electricity demand, water use and local infrastructure as the review proceeds.
- The review comes as Ohio saw substantial data-center investment in 2025 from major tech firms.
- The state's 2024 tax shortfall from the program was about $554 million, rising to nearly $1.6 billion in 2025.
- Gov. DeWine said the pause allows time to assess how growth affects finances and communities.
- Despite the pause, ongoing projects still receive benefits from previously approved incentives.
- Ohio has seen a wave of data-center activity from big players in 2025, expanding cloud infrastructure in the state.
- The review will weigh energy, water use and local community effects of data-center expansion.
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