North Carolina

Sales tax exemptions for datacenter equipment (G.S. 105-164.13)

Incentive or explicitly supportive policy

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

Scope

G.S. 105-164.13(55) and (55a) exempt from North Carolina sales and use tax eligible business property to be located and used at an eligible internet datacenter and datacenter support equipment to be located and used at a qualifying datacenter, including hardware and software for computers and servers, data storage devices and network connectivity equipment, subject to the investment levels in G.S. 105-164.3 and forfeiture if the required investment is not timely made. Session Law 2026-41 repealed only the electricity portions of these subdivisions.

Geographic scope
North Carolina
Jurisdiction
State
Authority type
Legislature
Issuing authority
North Carolina General Assembly

Dates

Adopted
No adoption day is recorded
Effective
Several dates apply; see the source
Scheduled expiration
See completion condition
Ended
Not recorded as ended
Completion condition
The opened subdivisions state no sunset for the equipment exemptions.
Source document
The source page states no document date
Last checked
22 September 2026 (earlier than tracker date 5 October 2026; not an automatic status change)

Summary

North Carolina's sales and use tax exemptions for datacenter equipment remain in G.S. 105-164.13(55) and (55a). They cover eligible business property at eligible internet datacenters and support equipment such as servers, storage and network gear at qualifying datacenters, and they are forfeited if the required investment is not made on time. Session Law 2026-41, effective 7 July 2026, struck only the electricity language from these same subdivisions; the equipment exemptions were not repealed.

What this does not establish

  • The codified statute page opened on 22 September 2026 still printed the pre-repeal electricity language in the same subdivisions. That the equipment exemptions continue rests on Session Law 2026-41, section 44.4, and a Department of Revenue notice, which describe only the electricity portions as repealed.
  • Enactment dates of subdivisions (55) and (55a) were not opened, so no date is stored.
  • The investment thresholds in G.S. 105-164.3(79) and (201) were not opened.

Unresolved questions

None recorded.

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://www.ncleg.gov/EnactedLegislation/Statutes/HTML/BySection/Chapter_105/GS_105-164.13.html

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