Considering to build a new data center? Or thinking about upgrading one which is already located in the Netherlands? Want to be sustainable, but going the extra mile is too expensive? In addition to the energy savings of many sustainable investments the Energy Investment Deduction (EIA) and the Environment Investment Deduction (MIA) make it worth it.
This tax benefit isn’t just for solar panels and ecological rooftops, but also for cooling towers, UPS systems, fans and other hardware that make your data center function best. That is, if you get the more environmentally friendly version. For example, an UPS with a power capacity exceeding 200 kVA needs to have an energy efficiency of more than 96%. Business assets that are eligible for the benefit are published on a yearly basis in the ‘Energy List’ and ‘Environmental List’.
With the EIA 58% of the investment costs can be deducted from the taxable income and mainly stimulates energy efficiency. With the MIA 13.5% to 36% of the investment costs can be deducted. This is mostly with regard to investments that are beneficial to the environment in which the data center is situated. Examples are different methods of rainwater buffering, but also noise cancelling measures.
Considering to achieve a LEED BD+C v4 (‘Gold’ or better) or BREEAM (‘very good’ or better) certificate for your building? With either one of these certificates the total cost of the data center can be submitted for the MIA. Items that create more tax benefit under EIA can be deducted from the total investment for a separate application for the EIA. This creates a perfect optimization of these two tax benefits.
EIA and MIA can be combined with VAMIL in certain circumstances. VAMIL offers the possibility to write-off 75% of the investment cost at a random moment in time. Applications must be submitted to the Netherlands Enterprise Agency (RVO) within three months after entering the capital expenditure commitment.
Planning on doing some investments for datacenters and wondering about the possibilities of applying this benefit?
Contact one of the Plus Projects subsidy experts: David Paul Doornbos, (+31 (0)6 5136 7024) and Laurens Visscher (+31 (0)6 1863 4504).