Florida TaxWatch, anonpartisantaxpayer research institution and government watchdog headquartered in Tallahassee, has reiterated its call for the Florida Legislature to eliminatethe sales and use tax on machinery and equipment for manufacturing, echoing similar exhortations by Gov. Rick Scott.
"Florida has restricted itself from becoming a major manufacturing state by taxing companies twice for the same equipment," said Dominic M. Calabro, president and CEO of Florida TaxWatch, in a statement announcing his organization's latest policy briefing. "Eliminating the sales and use tax on machinery and equipment for manufacturing will help Florida become globally competitive, boost Floridians' economic prosperity, and increase high-paying jobs."
According to the briefing, Florida is 49th out of 50 states in per capita spending on manufacturing, which has the highest "economic multiplier" of any Florida industry.
"The increased reliability of newer and safer machines can lead to lower operating costs which will allow Florida to be more competitive in world markets" said Jerry D. Parrish, Ph.D, TaxWatch chief economist and TaxWatch Center for Competitive Florida executive director. "It's time for Florida to unleash its full potential, and being more competitive in manufacturing will lead to more high-paying jobs."
HB 391 ("Exemptions from Tax on Sales, Use, and Other Transactions"), sponsored by freshman Rep. MaryLynn Magar, R-Tequesta,is currently before the full Florida House on its second reading; its Senate companion is still making its way through the committee process.
Reach Eric Giunta at egiunta@sunshinestatenews.com or at (954) 235-9116.
