US states pause tax breaks for Amazon, Meta, and Google
A bunch of US states are hitting pause on tax perks for tech giants like Amazon, Meta, and Google.
Ohio, for example, handed out sales tax exemptions to attract data centers over a decade ago, leading to a flood of investment.
But as AI boomed, the cost of these breaks shot up past $1.5 billion in 2025 alone, sparking public frustration over whether local communities are actually benefiting.
States scale back perks amid backlash
After reports highlighted the scale of these incentives, Ohio's governor froze new exemptions this May.
Lawmakers now want to repeal existing deals and renegotiate with tech companies.
At least 10 other states, including Illinois and New Jersey, are also scaling back or ending similar perks due to voter backlash.
Meanwhile, some states still see these tax breaks as a way to attract jobs and growth, but critics say big tech isn't paying its fair share while AI expansion makes the tax exemption much more lucrative.