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Pa. lawmakers regret $1.8B data-center tax break, but won’t repeal it

A 2021 bipartisan law exempts data centers from a 6% sales tax on computer equipment; campaign donations from data-center interests help explain why lawmakers hesitate to reverse it.

Published Sep 2, 2026, 9:57 AM EDT | LehighValleyLive

Pennsylvania allows data center developers to skip paying a 6% sales tax on their computer equipment — one of the biggest costs of running a data center — thanks to a 2021 law passed with bipartisan support from the Legislature.