Indiana Hoosier Business Investment Tax Credit for Amazon Data Services (New Carlisle Data Center Campus)

Mechanism

Indiana's Hoosier Business Investment (HBI) credit, codified at IC 6-3.1-26, is a non-refundable state corporate income tax credit calculated as a percentage of a company's qualified capital investment, conditioned on job-creation and wage commitments. A company applies to IEDC before making the qualified investment and enters a credit agreement; credits are certified annually as investment phases in and performance is verified. At up to USD 55 million, this is the largest of the five distinct incentive instruments IEDC stacked for the AWS New Carlisle project — larger than the companion EDGE payroll credit (USD 18.3M, filed separately as 2024-04-25-us-indiana-edge-tax-credit-amazon-data-center) and the redevelopment tax credit (USD 20M, a separate queue item). These are structurally distinct award instruments with their own statutory basis, even though they share the same beneficiary, announcement event, and underlying USD 11 billion investment, so each is filed as its own action per the approach set out in the EDGE credit filing.

Severity is set at 2 (of 5), consistent with the sibling EDGE filing: a single-state, single-project tax credit is modest relative to national-scale industrial-policy instruments (CHIPS Act, IRA) already in the register, even though the anchor investment (USD 11 billion) and this credit tranche (up to USD 55 million, the largest single component of the package) are sizeable for a state-level program.

Downstream implications

• Together with the EDGE credit and the remaining redevelopment/training/

infrastructure instruments, this completes the picture of Indiana's total state-incentive exposure (potentially USD 105M+ across all instruments) for a single hyperscale data-center project — useful as a benchmark against other US state data-center incentive packages (Georgia, Ohio, Virginia).

• HBI is Indiana's general-purpose investment credit (not data-center

specific), so this filing also documents how a state's flagship business investment credit program gets applied to AI/cloud infrastructure capex specifically, distinct from purpose-built data-center tax exemptions.

Open questions

• No standalone IEDC record isolating the HBI tranche was found; the USD 55M

figure comes from the same bundled April 2024 press release as the other four instruments. IEDC's statutory Economic Incentives and Compliance Report (iga.in.gov) may itemize the executed HBI agreement by taxpayer name in a later reporting cycle — not yet checked.

• Whether the USD 55M ceiling has been drawn down against verified

investment/job performance to date is not disclosed in the announcement.