// Exemption

Limited counties data center equipment and infrastructure

Retail Sales & Use Tax exemption · RCW 82.08.9861; 82.12.9861 · enacted 2022

All exemptions & deductions
Scope narrowedESSB 6231 (2026) · effective 2026-07-01

Before ESSB 6231

The limited-counties data center exemption under RCW 82.08.9861 / 82.12.9861 extended the sales/use tax exemption on eligible server equipment and infrastructure to data centers in additional (limited/rural) counties, including centers qualifying through refurbishment (2024 DOR Tax Exemption Study baseline).

Source: 2024 DOR Tax Exemption Study · RCW 82.08.9861; 82.12.9861

After

Effective July 1, 2026, ESSB 6231 stopped issuing new exemption certificates for rural-county data centers qualifying through refurbishment and expired that refurbishment exemption; data centers refurbished on or after July 1, 2026 no longer qualify, and replacement/refurbished server equipment is no longer eligible. Confirm eligibility and dates against ESSB 6231 (2026) and current DOR guidance.

Source: ESSB 6231 (2026)

Details

Citation
RCW 82.08.9861; 82.12.9861
Study reference
E1757-1
Tax type
Retail Sales & Use Tax
Preference type
Exemption
Category
Business
Year enacted
2022
End date
2038-07-01 00:00:00

Fiscal impact (2024 study estimates)

Revenue if repealed — local ($M)
FY 2024: 0 · FY 2025: 5.04 · FY 2026: 6.7 · FY 2027: 8.4
Revenue if repealed — state ($M)
FY 2024: 0 · FY 2025: 10.36 · FY 2026: 13.9 · FY 2027: 17.4
Taxpayer savings — local ($M)
FY 2024: 3 · FY 2025: 5.5 · FY 2026: 6.7 · FY 2027: 8.4
Taxpayer savings — state ($M)
FY 2024: 6.1 · FY 2025: 11.3 · FY 2026: 13.9 · FY 2027: 17.4

CTI = confidential taxpayer information · D = unable to disclose

From the 2024 DOR Tax Exemption Study

Home Forms & Publications Publications By Subject Special Notices Sales And Use Tax Exemption For Nonrural Data Centers Print Sales and use tax exemption for nonrural data centers Issue Date June 09, 2022 Intended audience: Data centers in urban counties. Effective June 9, 2022, qualifying businesses and qualifying tenants can apply for a sales and use tax exemption certificate for purchases of eligible server equipment and eligible power infrastructure for an eligible computer data center located in a nonrural county. What is a nonrural (urban) county? A nonrural county is a county with a population greater than 800,000 as determined by the April 1, 2021, office of financial management population estimates. This includes King, Pierce, and Snohomish counties. What is the exemption? It is a sales or use tax exemption provided to qualifying businesses or qualifying tenants of an eligible computer data center on purchases of: Eligible server equipment installed, without intervening use, in an eligible computer data center, and the labor and services required to install it. Eligible power infrastructure and the labor and services required to construct, install, alter, or improve it. Wh

Does this apply to you?

This is reference data from the 2024 study — not advice, and 2025–26 legislation may have changed it. Three ways to go deeper: