2021 Data Center Global Market Comparison

POLITICAL AND REGULATORY REVIEW

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Lower taxes often suggest a friendlier business climate, enabling further expenditure on development and overall business expansion. Several markets that finish in the top ten for lowest taxes have long been key data center hubs.

TOP TEN

SALES TAX PERCENTAGE

30%

HONG KONG PORTLAND NORTHERN VIRGINIA BOSTON SEATTLE NORTHERN NEW JERSEY

25%

20%

15%

SINGAPORE COLUMBUS

10%

5%

DENVER LAGOS*

0%

*NEW MARKET IN 2021 REPORT

Source: Cushman & Wakefield Research

As most data center incentive packages have eight- to nine-figure minimum investment amounts, a low sales tax/VAT regime is an attractive location determinant. The wide spread across the 48 markets studied indicates rates in the highest-taxed locations to be two to three times those of the lowest-taxed. FAST FACT

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