Texas’ multibillion-dollar sales tax exemption for data centers is growing, while audits lag

Texas is offering a significant sales tax exemption to data centers, with billions of dollars in benefits granted to 138 facilities. However, only 20 of these centers have been audited, and of those, six were found not to be complying with the eligibility criteria. This lack of rigorous oversight raises concerns about the state's fiscal responsibility and the potential for abuse in a rapidly growing industry. This situation highlights a critical need for more stringent audit processes to ensure taxpayer dollars are being protected.