To amend the Internal Revenue Code of 1986 to exempt qualified data center property from bonus depreciation, and for other purposes.

HR10448, introduced September 16, 2026, and referred to the House Ways and Means Committee, proposes to amend the Internal Revenue Code to exempt qualified data center property from bonus depreciation. This is a revenue-raising measure that would eliminate a tax incentive for data center capital expenditures. The bill is in its earliest stage—no hearings, markup, or votes have occurred. With 29 cosponsors, all Democrats, and no Republican support indicated, passage faces significant hurdles in the 119th Congress, especially given the narrow Republican majority in the House. The legislative path includes committee consideration, potential floor votes, and Senate action, making enactment unlikely in the near term.

The mechanism is direct: bonus depreciation currently allows accelerated write-offs for qualified property, including data center equipment and structures. Removing this benefit increases the after-tax cost of data center builds, reducing the internal rate of return for new projects. This would primarily affect data center REITs and developers, which are capital-intensive and rely on tax efficiency. However, the bill does not target any specific company; it changes the tax treatment for all qualified data center property.

Convergence with related signals: The candidate signals include data center power procurement and grid interconnection initiatives. These share an 'industry' connection—both involve data center infrastructure and energy demand—but pursue different objectives. The bill is a tax policy change; the candidates focus on energy supply and grid access. No candidate shares a direct mechanism or funding stream with HR10448. The convergence is thematic: Congress is simultaneously addressing data center growth through tax policy and energy infrastructure, signaling sustained legislative attention to the sector.

Structural winners and losers: If enacted, the bill would increase costs for data center operators, potentially reducing new supply and benefiting existing facilities with locked-in power contracts. However, the primary impact would be on companies with large capital expenditure programs, such as Equinix ($EQIX) and Digital Realty ($DLR), which are REITs and power consumers. These companies would face higher tax burdens, but their revenue streams are driven by leasing, not tax incentives. The bill does not affect energy producers like NextEra ($NEE) or Vistra ($VST), as it does not alter power generation economics. The causal chain for any ticker is weak: the bill is early-stage, and the impact on any single company's revenue is indirect and uncertain. Therefore, no tickers meet the confidence threshold for inclusion.

Timeline: The bill must clear the Ways and Means Committee, pass the House, and then the Senate, with a presidential signature to become law. Given the current political landscape and the bill's early stage, enactment is unlikely in the 119th Congress. Investors should monitor committee activity and any amendments that might broaden or narrow the bill's scope.