DeSantis Signs Increase Consumer Tax to Fund Business Tax Cut

[Edge-]

https://www.orlandosentinel.com/poli...qqu-story.html

TALLAHASSEE — Gov. Ron DeSantis quietly signed into law late Monday a bill that will cost Florida consumers who shop online an estimated $1 billion a year in sales taxes, with the money used to cut business taxes.

The governor’s office announced the decision at 11:23 p.m. Monday in an email that contained no comment. Early in the day, he traveled to Polk County to surround himself with law officers and publicly sign the controversial “anti-riot” bill (HB 1) that Democrats and civil rights activists contend is unconstitutional.

“Governor just signed a bill into law to increase your taxes and give the new revenue of $1 billion to businesses,” Rep. Anna Eskamani, D-Orlando, tweeted after the bill signing was announced.

Outnumbered Democrats in the Legislature had argued that working Floridians will be hurt by the proposal. The final package was approved 27-12 by the Senate and 93-24 in the House.

The governor’s office did not respond Tuesday to a request for comment.

The bill is estimated to tax consumers $1 billion a year, with the money first earmarked for the unemployment trust fund, which became depleted because of massive job losses during the COVID-19 pandemic. Businesses pay taxes that go into the trust fund and, without another source of money, would have faced higher taxes to replenish the fund.

After the fund is replenished, the revenue will be used to make a major cut in the commercial-rent tax, long a target of business lobbying groups. Senate President Wilton Simpson, R-Trilby, and House Speaker Chris Sprowls, R-Palm Harbor, agreed to reduce the commercial rent tax from 5.5% to 2%.

Florida business groups have lobbied for years to require out-of-state retailers to collect and remit sales taxes, saying it is a matter of fairness. But past proposals failed because of concerns by Republicans that they could be viewed as increasing taxes on consumers.

Scott Shalley, president and CEO of the Florida Retail Federation, said in a statement that the law creates a “level playing field” for all businesses. The sales-tax revenue will be used to replenish a depleted unemployment trust fund and then will go toward reducing a commercial rent tax.

“The tax cut on business rent is an added bonus,” Shalley said. “With this cost-savings, Florida businesses across all sectors of the economy can reinvest in their community, create jobs and grow their businesses.”

Retailers that have a physical presence in Florida are already required to collect and remit sales taxes, But retailers without such a presence haven’t faced the requirement when they make sales to Floridians, who have been technically supposed to send in sales taxes on their purchases, though few do.

Proponents of the bill maintained that requiring collection isn’t a tax increase and that Florida retailers have been hurt by out-of-state businesses being able to sell products with tacking on taxes.

“We’ve created an unfair competitive advantage for foreign players and out-of-state retailers on the backs of our local retailers,” Senate sponsor Joe Gruters, R-Sarasota, said last month.

DeSantis faced a Monday deadline for signing, vetoing or letting the online tax bill become law without his signature.

First off, why are consumers being asked to fund unemployment? Isn't that something that employers usually fund, rather than the broad tax base? Their unemployment system is a mess, intentionally and by design, but asking Floridians to pay for it is horse shit.

What's even worse, is once the unemployment funds are replenished that continued tax funding will go towards reducing taxes on commercial rent.

Just a reminder that Republicans are not the party of "people", don't care about "people", and will happily increase taxes on people so that they can slash taxes on businesses.

I can get behind VAT taxes of sorts, but they should not be used to pass business tax burdens along to consumers wholesale. That's horse shit.

[Zan15]

https://www.orlandosentinel.com/poli...qqu-story.html



First off, why are consumers being asked to fund unemployment? Isn't that something that employers usually fund, rather than the broad tax base? Their unemployment system is a mess, intentionally and by design, but asking Floridians to pay for it is horse shit.

What's even worse, is once the unemployment funds are replenished that continued tax funding will go towards reducing taxes on commercial rent.

Just a reminder that Republicans are not the party of "people", don't care about "people", and will happily increase taxes on people so that they can slash taxes on businesses.

I can get behind VAT taxes of sorts, but they should not be used to pass business tax burdens along to consumers wholesale. That's horse shit.

fucking stupid since every single state can borrow almost unlimited $$ from the treasury and 0% interest for unemployment with just a simple letter....no joke, that is all it takes and a check is issued.

then they can slowly replenish the unemployment fund when employment gets back to normal. This was standard operating in the crash of 2009.

I am however not shocked in this Business Bail Out.

It shows you that employment taxes, SS and Medicare taxes all are too low and should have never stopped being increased incrementally in the 1990's like they were by republicans and after that never reenacted by democrats

So now the two biggest tax increases in the last 4 years has been Trumps Tariffs on consumers and now DeSantis tax increase.

Guess democrats should have just figured out a way to do the infrastructure tax increases in a secret or backhanded way like Tariffs

[Kheirn]

“With this cost-savings, Florida businesses across all sectors of the economy can reinvest in their community, create jobs and grow their businesses.”

Well, we know how that usually works. *eyeroll*

[PC2]

Both taxes should have been reduced but this was still a good choice that will be good for business. Also, when you tax a business it won't cause most people to hate taxes but if you tax people more then they notice and will be less likely to be pro-taxes.

[Paranoid Android]

First statement as always; Businesses only hire jobs to maximize profit.

[Rasulis]

https://www.orlandosentinel.com/poli...qqu-story.html



First off, why are consumers being asked to fund unemployment? Isn't that something that employers usually fund, rather than the broad tax base? Their unemployment system is a mess, intentionally and by design, but asking Floridians to pay for it is horse shit.

What's even worse, is once the unemployment funds are replenished that continued tax funding will go towards reducing taxes on commercial rent.

Just a reminder that Republicans are not the party of "people", don't care about "people", and will happily increase taxes on people so that they can slash taxes on businesses.

I can get behind VAT taxes of sorts, but they should not be used to pass business tax burdens along to consumers wholesale. That's horse shit.

In CA the state tax the 1%. The 1% for the most part don't care. In Florida the state tax the 99%. Which should care, but because they think they are in the 1%, they don't care.

[PACOX]

Conservative on a yacht: "My mistress is making me pay more to take her out. Help a buddy out."

DeSantis pops steps up from behind a desk at Maralago: "Say no more, champ!"

[Felya]

Isn't the mistress part of the people though? Seems like it's a perfect economic circle then. :P

No, it’s a mistress... conservatives are also part of the people...

[Doctor Amadeus]

Both taxes should have been reduced but this was still a good choice that will be good for business. Also, when you tax a business it won't cause most people to hate taxes but if you tax people more then they notice and will be less likely to be pro-taxes.

The Kind of evil it takes to post this BS right here, WOW!

[Dontrike]

Why do they keep thinking if a business has more money they will hire more people?

[Doctor Amadeus]

Why do they keep thinking if a business has more money they will hire more people?

No, they don't these sick fuckers honestly don't give a shit, people could be homeless and starving and the world is on fire, and these stupid assholes would be thinking how much more can people who already have get.

[tehdang]

I have no problem with a commercial rents tax being reduced. It’s a stupid thing to tax, doubly so at any rate above a 1-2%.

Sales tax on out of state retailers (online retailers) selling to Florida is much more defensible. Requiring the company to collect these brings it in line with other retailers that do the same thing.

[Lenonis]

Both taxes should have been reduced but this was still a good choice that will be good for business. Also, when you tax a business it won't cause most people to hate taxes but if you tax people more then they notice and will be less likely to be pro-taxes.

1) if both taxes were reduced then....what? The state just goes bankrupt? Or does your magical thinking create the revenue needed? 2) You say this was a good choice and then immediately make a statement that is the opposite of what happened.

[pathora44]

Why do they keep thinking if a business has more money they will hire more people?

Because the millionaires and billionaires keep telling Republicans that it will happen that way and Republican voters keep falling for it. Kind of like a kid who touches the open flame on their stove burning their hand to only touch the flame again, over and over again. Top down economics a fantasy economy that has never worked and will never work but we are forced to live through it over and over because Republican voters are idiots.

[Ursus]

The problem with corporate socialism is that eventually you run out of other people's money.

[Santti]

Why do they keep thinking if a business has more money they will hire more people?

I have a feeling they know it's bullshit. Indeed, businesses will not hire more, if there is no demand for it. They'll just pocket the extra money, and nothing will change.

[Felya]

Sales tax on out of state retailers (online retailers) selling to Florida is much more defensible. Requiring the company to collect these brings it in line with other retailers that do the same thing.

Yeah, now... what are they going to do about people driving between states for lower taxes? What is Florida going to do about NYers, buying cars in Florida, to get a cheaper insurance rate?

[PC2]

The Kind of evil it takes to post this BS right here, WOW!

How is it evil?

[TigTone]

How is it evil?

You entire identity on these forums is money money money. How to achieve money without a care for the consequences and burdens placed on the rest of society.

Part of the reason why your post was called evil.

[Shadowferal]

How is it evil?

Because you want Joe Average to dole out more money ro big business because billion dollar profits aren't enough.