The Trade Show, Vol. 6
The Toys "R" Us loophole lives on in Florida.
Florida lawmakers had a chance this week to close some glaring loopholes in the state’s corporate tax code – loopholes that let the world’s biggest and most profitable companies dodge state taxes with accounting gimmicks like pretending to be a bunch of smaller businesses or paying themselves to use their own name.
These loopholes cost the state of Florida nearly $500 million a year – more money than the Legislature is likely to spend this year on affordable housing.
But the Republican-controlled Florida House of Representatives killed the measure – known as “combined reporting” – on a 75-39, straight party-line vote (here’s the vote sheet). With the vote, GOP lawmakers chose to side with big-business front groups like the Council on State Taxation, whose leadership includes executives from Amazon, Walmart and ExxonMobil. The Florida Chamber of Commerce even warned lawmakers that it was going to count this vote on the “report cards” it issues after every session. (In case you needed another reminder of what’s really important to Florida’s most influential businesses.)
Corporate lobbyists kick up a lot of dust when stamping their feet about combined reporting. But it ultimately boils down to one simple thing: Corporations don’t want to pay a dime of extra taxes. And Republicans in Tallahassee don’t want to make them.
So Florida remains one of the last states in the country where big corporations can still exploit the “Toys ‘R’ Us loophole.”
Of course, if corporations aren’t going to pay more, someone else will. Which brings us to the rest of this week’s Trade Show.
Florida is a low-tax state
From Jeffrey S. Solochek of the Tampa Bay Times:
LAND O’LAKES — Pasco County voters might soon decide whether to increase school district property taxes in support of higher faculty and staff pay, which are lower than in surrounding counties.
School Board members on Tuesday called for an April workshop to discuss the possibility of holding a referendum later this year.
“We’re at a critical time,” board member Colleen Beaudoin said. “We have to address this.”
Read: Pasco School Board to explore property tax referendum
Florida is a low-tax state
From Emily Bloch of the Florida Times-Union:
JACKSONVILLE — Duval County voters will get to decide on a property tax increase later this year.
Tuesday evening, the School Board voted 6-1 in favor of a resolution asking voters to approve a 1 mill property tax increase that would fund higher teacher salaries and improved athletics and arts programs at schools.
"The vote tonight does not raise anybody’s taxes," board member Lori Hershey said. "It allows us to ask City Hall to put it on the ballot for the voters to decide. I believe the community deserves to answer that question."
Read: Duval School Board approves taking property tax increase to voters. Here's what you need to know
Florida is a low-tax state
From Sheldon Gardner of the St. Augustine Record:
ST. AUGUSTINE — St. Johns County commissioners chose to advance a sales tax referendum proposal on Tuesday, moving forward with a plan to have a final hearing and vote on March 15...
The ordinance proposes to put a question on the Nov. 8 general election ballot of whether to raise the sales tax from 6.5 cents on the dollar to 7.5 cents to help the county fund infrastructure projects.
Read: St. Johns County will decide on sales tax referendum on March 15
Florida is a low-tax state
From Stephen Hudak of the Orlando Sentinel:
ORLANDO — Orange County Mayor Jerry Demings heard a wide spectrum of opinions Monday night, leading an open-house forum in his campaign to persuade voters to back his proposed penny-per-dollar increase in the county sales tax to fix clogged roads and build a “world-class” transit system.
Some residents came to cheer him on, others to tell him no and many to listen.
Count Sofia Ortiz, 35, a union worker in housekeeping at Disney, as a listener for now.
“I don’t know yet,” she said when asked if she supports the tax increase. “I’m still learning.”
Ortiz, a resident of Lake Buena Vista, lives close to her job, but knows colleagues who face a daily hour-long, one-way commute to work.
“It’s crazy,” she said.
Read: Mixed views of Demings’ proposed sales tax bump at 1st forum
Florida is a low-tax state
From Samantha Gholar of the Sarasota Herald-Tribune:
SARASOTA — Sarasota County voters heading to the polls on March 8 will cast ballots to determine whether to renew a tax referendum that puts additional dollars into the Sarasota County School District.
The referendum would renew a one-mill property tax, projected to produce $71 million this year, according to district budget data. The cost per homeowner for the imposed tax would be approximately $305 each year.
School Board member Bridget Ziegler believes the continuation of the property tax is vital to the district. Ziegler says she wants to ensure voters know their tax dollars are doing necessary work in the schools.
Read: Sarasota County School board members support referendum as election approaches
Florida is a low-tax state
From Jordyn Markhoff of WCJB 20 in Gainesville:
GAINESVILLE — Alachua County residents could vote on a new tax initiative this November.
Today, Alachua County and Gainesville City Commissioners discussed a one cent infrastructure surtax in a joint meeting.
Currently, Alachua County residents pay a half cent tax for the “Wild Spaces and Public Places” program, which maintains parks and environmentally sensitive lands, but local leaders are hoping with a half cent raise they’re able to further address infrastructure needs in the community
Read: Alachua County and Gainesville officials discuss infrastructure tax initiative
Florida is a low-tax state
From Nick Blank of Clay Today:
GREEN COVE SPRINGS — Two taxes were in the early stages of discussion at Tuesday’s Board of County Commissioners meeting and one is closer to becoming an ordinance.
A utility tax can be levied by municipalities and charter counties. The tax did not receive a consensus from commissioners to take the next step...
Officials then turned to a potential business tax, which would be a fee charged for any business, profession or occupation in the county. Examples from St. Johns and Duval counties were presented, where the entities charged $11-$30 depending on the business’ classification...
County staff was given the go ahead to give the business tax language to commissioners at a future meeting.
Read: County moves forward on business tax; holds off on utility tax talk
Florida is a low-tax state
Those were just stories from this past week. There are many other potential tax increases in the works, too, from possible sales-tax hikes in Hillsborough County and Hernando County to extended property-tax increases in Broward and Palm Beach counties.
But, hey, at least most state legislators will get good grades from the Florida Chamber of Commerce.
