Nevada Approves Tax Abatements for Apple's $1B Commitment
- Aug 06, 2012
By Barbra Murray, Contributing Editor
The road has been paved for Apple Inc. to get some big tax breaks in exchange for an even bigger commitment. The Nevada Governor’s Office of Economic Development recently approved tax abatements for the Cupertino, Calif.-headquartered tech giant, which is planning to invest $1 billion over the next decade in the development of a data center and an office building in metropolitan Reno, Nev.
It won’t happen overnight, but with the tax abatements in place, it appears it will happen. With an initial investment of $400 million over the next four years, Apple will establish a new data center at the Reno Technology Park in unincorporated Washoe County, and the company will also build an office location in downtown Reno for its regional business, purchasing and receiving operations.
The tax breaks do not address the construction cost; they provide for a proposed sales tax reduction to 2 percent for as many as three four-year periods and a cut in personal property taxes by 85 percent for as many as three 10-year periods.
The commitment is expected to create 35 new jobs at Apple and more than 200 temporary construction positions for workers providing services for the technology company.
“This is a great day for Nevada and in particular the Truckee Meadows,” said Steve Hill, director of GOED. “Apple’s investment in the area plus the prestige of the company’s brand is a great next step in the region’s economic diversification.”