Gov. Rick Scotts, R-Fla., plan to reduce Floridas Communications Sales Tax (CST) by more than $470 million cleared a Florida Senate committee on Tuesday as it continues to pick up steam. Scott has called reducing the CST one of his top legislative priorities in 2015.
The Senate Communications, Energy, and Public Utilities Committee unanimously passed a bill from Sen. Dorothy Hukill, R-Port Orange, advancing Scotts agenda of cutting taxes on wireless phone and cable television services. The bill now heads to the Finance and Tax Committee.
I am proud to have the support of my colleagues in the Senate Communications, Energy, and Public Utilities Committee in providing broad-base tax relief that will put money back into the pockets of Florida families and businesses, Hukill said on Tuesday. With Floridians relying greatly on cellphones to stay connected to one another, reducing this tax will deliver monthly relief to all citizens across our state.
Florida TaxWatch went to bat for Scotts plan on Tuesday, releasing a report which shows Florida has one of the highest CST rates in the nation and calling for lowering it.
"I applaud the governor for his leadership and commitment to reducing taxes for all Floridians, especially those families, seniors and residents on very modest incomes," said Dominic M. Calabro, the president and CEO of Florida TaxWatch, on Tuesday. "For years we have recommended that the Legislature reduce this highly burdensome and regressive tax on consumers and businesses. Florida's unfairly high Communications Services Tax is punitive and makes the state less attractive to businesses the state is trying to recruit to provide high-skill, high-wage jobs to its residents."
Scott pointed toward Florida TaxWatchs findings on Tuesday, insisting his tax cut was good for all Floridians.
"As Florida TaxWatch's report demonstrates, our cellphone and TV tax cut will save money for families across the state, Scott said on Tuesday. We understand that Florida families know how to spend their money better than government, and cutting taxes gives Floridians and businesses more opportunities to help our economy thrive. We have cut taxes 40 times in the last four years and we will keep working to give Floridians back more of their own money by cutting another $673 million in taxes this year."
Brewster Bevis, the senior vice president of state and federal affairs for the Associated Industries of Florida (AIF), also backed the proposal on Tuesday.
AIF applauds the passage of this good legislation that will reduce the Communications Services Tax and have a positive financial impact on all consumers in Florida who pay for a cellphone, cable or satellite service, Bevis said. Broad-based tax cuts, like these, keep money in Floridians pockets, and this proposal, championed by Gov. Scott, will achieve cost savings for a substantial number of Florida families. We look forward to seeing this good policy that cuts taxes succeed this session.
Reach Kevin Derby at kderby@sunshinestatenews.com or follow him on Twitter: @KevinDerbySSN
