Indiana

HEA 1601 (2025): data center exemption chapter extended to quantum and advanced computing networks

Enacted legislation or regulation

In effect This instrument is recorded as currently in effect as of the dataset date.

Scope

House Enrolled Act 1601 (P.L.178-2025) amends Indiana Code 6-2.5-15, the data center gross retail tax exemption chapter. As amended, section 16 exempts from the state gross retail tax the sale of qualified data center equipment or quantum computing research, advanced computing, and defense infrastructure network equipment that is sold to a qualified data center user or to such a network approved by the Indiana Economic Development Corporation and that will be located in a qualified data center or is part of such a network. Section 14(d) provides that a specific transaction award certificate expires not later than 25 years after issuance; for a qualified data center user, 50 years if the qualified investment is $750,000,000 or greater; and for a quantum computing research, advanced computing, and defense infrastructure network operator, 50 years if the qualified investment is $50,000,000 or greater within three years. SECTION 337 of P.L.213-2025 makes these chapter 15 amendments effective on 1 January 2026 and not upon passage.

Geographic scope
Indiana
Jurisdiction
State
Authority type
Legislature
Issuing authority
Indiana General Assembly

Dates

Adopted
1 May 2025
Effective
1 January 2026
Scheduled expiration
See completion condition
Ended
Not recorded as ended
Completion condition
The amendments state no expiration. SECTION 337 of P.L.213-2025, which set the 1 January 2026 effective date, itself expires on 1 July 2027; that is the expiry of a transitional provision, not of the amendments.
Source document
The source page states no document date
Last checked
23 September 2026 (earlier than tracker date 5 October 2026; not an automatic status change)

Summary

House Enrolled Act 1601 (P.L.178-2025), approved on 1 May 2025, amended Indiana's data center sales tax exemption chapter to cover quantum computing research, advanced computing, and defense infrastructure networks as well as qualified data centers. The amended chapter sets a certificate term of up to 25 years, up to 50 years for a qualified data center user with a qualified investment of $750 million or more, and up to 50 years for a qualifying network operator investing $50 million or more within three years. The 2025 budget act (P.L.213-2025, SECTION 337) moved the effective date of these chapter 15 amendments to 1 January 2026.

What this does not establish

  • This record is the amending act. The data center sales tax exemption program is recorded separately (in-data-center-gross-retail-exemption).
  • The act was read with a plain-text extractor that does not show its strike-through and underline formatting, so this record states the amended text and does not itemize which words were deleted.
  • Section 1 of the act, a local property tax exemption for quantum safe fiber network equipment, is not a data center measure and is outside this record.
  • The 1 January 2026 effective date comes from SECTION 337 of P.L.213-2025, which overrides the act's own effective-upon-passage clauses for the listed chapter 15 sections.

Unresolved questions

  • Whether any certificate has been issued to a quantum computing research, advanced computing, and defense infrastructure network was not established.

Relationships

Supersession means a later instrument replaces the earlier legal effect. Repeal links identify the repeal instrument and the measure it ends. A later implementation or related letter is not treated as a replacement unless the record says so.

Sources

Primary source

https://iga.in.gov/pdf-documents/124/2025/house/bills/HB1601/HB1601.04.ENRS.pdf

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