Data Center Tax Established – Farmville


After a public hearing that drew no speakers, the Prince Edward County Supervisory Board voted unanimously to establish a separate category of tangible personal property for computers and other equipment used in a data center.

The board of directors previously allocated funding to the Industrial Development Authority which led to the purchase of the Lockwood property for possible use as a data center site.

However, the amount of tax on computer equipment and related peripherals could be too much of a disadvantage for potential call or data centers who would otherwise be interested in relocating to Prince Edward County.

Depreciation of equipment was a factor in their decision to set the tax rate in this category at $ 1.00 per $ 100 of assessed value, County Administrator Doug Stanley said, noting that even for a private consumer, “after 4 to 5 years, your computer is essentially a boat anchor.

“Many communities have adopted these lower rates to attract these types of facilities,” he said. “It’s considered a separate classification. As an example, Prince William County, Stafford, Spotsylvania all have a rate of $ 1.25 per $ 100. Currently (before the vote), the county taxes this equipment at a rate of $ 4.50 per $ 100.

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