Predicting tax revenue from data centers challenging

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This investigative report examines the difficulty of predicting tax revenue from data centers, using Loudoun County's $60 million budget shortfall as a cautionary tale. The article explores how depreciation schedules, equipment self-assessment by data center companies, and tax incentive rebates complicate revenue forecasting for local governments in Virginia, including Prince William and Fauquier counties. Activists and officials warn against relying on volatile data center tax revenue for ongoing operational expenses.

Author:
Bob Wertz
Organization:
Fauquier Times / Piedmont Journalism Foundation

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