# Virginia SB1196: Retail Sales and Use Tax; exemption data centers.

Virginia SB1196, Retail Sales and Use Tax; exemption data centers., is a 2025 Regular Session Senate bill sponsored by R. Creigh Deeds (Democratic); status failed, last action 2025-02-05 (Left in Finance and Appropriations) (as of 2026-10-17).

- Canonical: https://policyrisk.com/state-bill/VA-SB1196-2025
- As of: 2026-10-17
- Plain-text twin of the page above; the HTML and this file carry the same facts.

## Facts
- Bill: Virginia SB1196
- State: Virginia
- Session: 2025 Regular Session
- Title: Retail Sales and Use Tax; exemption data centers.
- Status: failed
- Chamber: Senate
- Introduced: 2025-01-08
- Last action: 2025-02-05, Left in Finance and Appropriations
- Sponsor: R. Creigh Deeds (Democratic)
- Cosponsors: 0
- Subjects: Finance and Appropriations
- Touches household money: no
- 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 have a power usage effectiveness score of no greater than 1.2 or, 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) by January 1, 2028, it will procure carbon-free renewable energy and associated renewable energy certificates equal to 90 percent of its electricity requirements or 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: R. Creigh Deeds (Democratic), Senate

## Actions (4)

- 2025-02-05: Left in Finance and Appropriations (Senate)
- 2025-01-21: Impact statement from TAX (SB1196) (Senate)
- 2025-01-08: Referred to Committee on Finance and Appropriations (Senate)
- 2025-01-08: Prefiled and ordered printed; Offered 01-08-2025 25103698D (Senate)

## Bill text

- Introduced, 2025-01-08: [HTML](https://lis.blob.core.windows.net/files/1018163.HTML), [PDF](https://lis.blob.core.windows.net/files/1018162.PDF)

## 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.blob.core.windows.net/files/1018163.HTML)
- [Introduced (PDF)](https://lis.blob.core.windows.net/files/1018162.PDF)

## 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)
- [Virginia bills](https://policyrisk.com/states/virginia/bills)
- [Virginia state hub](https://policyrisk.com/states/virginia)
- [All state legislation](https://policyrisk.com/state-bills)

Source: PRIA, https://policyrisk.com/state-bill/VA-SB1196-2025 (as of 2026-10-17).