# Virginia HB116: Retail Sales and Use tax; exemption for data centers.

Virginia HB116, Retail Sales and Use tax; exemption for data centers., is a 2025 Regular Session House bill sponsored by Richard C. "Rip" Sullivan, Jr. (Democratic); status failed, last action 2024-11-18 (Left in Finance) (as of 2026-10-16).

- Canonical: https://policyrisk.com/state-bill/VA-HB116-2025
- As of: 2026-10-16
- Plain-text twin of the page above; the HTML and this file carry the same facts.

## Facts
- Bill: Virginia HB116
- State: Virginia
- Session: 2025 Regular Session
- Title: Retail Sales and Use tax; exemption for data centers.
- Status: failed
- Chamber: House
- Introduced: 2024-01-01
- Last action: 2024-11-18, Left in Finance
- Sponsor: Richard C. "Rip" Sullivan, Jr. (Democratic)
- Cosponsors: 0
- Subjects: Finance
- Touches household money: no
- Roll calls: 2 (0 yes, 0 no in all)
- Economic provisions PRIA read: 0

## Summary

Sales and use tax exemption; data centers. Requires data center operators to meet certain energy efficiency standards in order to be eligible for the sales and use tax exemption for data center purchases. Under the bill, a data center operator shall be eligible for the exemption only if such operator demonstrates that (i) its facilities either (a) have a power usage effectiveness score of no greater than 1.2 or (b) for data centers co-located in buildings with other commercial uses, achieve an energy efficiency level of no less than the most efficient 15 percent of similar buildings constructed in the previous five years and (ii) it will procure carbon-free renewable energy and associated renewable energy certificates from facilities equal to 90 percent of its electricity requirements or that its electricity will be otherwise derived from non-carbon-emitting, renewable sources.

## Bill overview

No economic impacts identified for this bill.

## Sponsors and cosponsors

- Sponsor: Richard C. "Rip" Sullivan, Jr. (Democratic), House

## Roll call votes

| Date | Chamber | Motion | Result | Yes | No | Other |
| --- | --- | --- | --- | --- | --- | --- |
| 2024-02-07 | House | Continued to 2025 with amendment(s) in Finance (Voice Vote) | pass | 0 | 0 |   |
| 2024-02-06 | House | Subcommittee recommends continuing to 2025 with amendment(s) (Voice Vote) | pass | 0 | 0 |   |

## Actions (8)

- 2024-11-18: Left in Finance (House)
- 2024-02-07: Continued to 2025 with amendment(s) in Finance (Voice Vote) (House)
- 2024-02-06: Subcommittee recommends continuing to 2025 with amendment(s) (Voice Vote) (House)
- 2024-02-06: House subcommittee amendments and substitutes offered (House)
- 2024-02-02: Assigned Finance sub: Subcommittee #2 (House)
- 2024-01-21: Impact statement from TAX (HB116) (House)
- 2024-01-01: Referred to Committee on Finance (House)
- 2024-01-01: Prefiled and ordered printed; offered 01/10/24 24101755D (House)

## Bill text

- Introduced, 2024-01-11: [HTML](https://lis.virginia.gov/bill-details/20251/HB116)

## Related bills

- HR671: Commending JR's Auto Care. (adopted)
- SB941: Robbery; use of air or gas operated weapon, etc., penalty. (failed)
- HB1746: Public safety officer; definition. (failed)
- HB1600: Budget Bill. (failed)
- SB1449: Data centers; site assessment for high energy use facility. (failed)
- HB1609: Essential health benefits benchmark plan; Commission to consider coverage for infertility treatment. (to governor)

## Sources
- [Introduced (HTML)](https://lis.virginia.gov/bill-details/20251/HB116)

## Related
- [HR671: Commending JR's Auto Care.](https://policyrisk.com/state-bill/VA-HR671-2025)
- [SB941: Robbery; use of air or gas operated weapon, etc., penalty.](https://policyrisk.com/state-bill/VA-SB941-2025)
- [HB1746: Public safety officer; definition.](https://policyrisk.com/state-bill/VA-HB1746-2025)
- [HB1600: Budget Bill.](https://policyrisk.com/state-bill/VA-HB1600-2025)
- [SB1449: Data centers; site assessment for high energy use facility.](https://policyrisk.com/state-bill/VA-SB1449-2025)
- [HB1609: Essential health benefits benchmark plan; Commission to consider coverage for i…](https://policyrisk.com/state-bill/VA-HB1609-2025)
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Source: PRIA, https://policyrisk.com/state-bill/VA-HB116-2025 (as of 2026-10-16).