Reply #2: why in the world would they need to cut services in Florida [View All]

[UpInArms]

when Jeb says everything is coming up roses and more tax cuts are needed?

http://www.local10.com/news/2849537/detail.html

With Economy Rebounding, Tax Cuts Back On Republican Agenda

POSTED: 2:59 PM EST February 15, 2004
TALLAHASSEE, Fla. -- It's an election year and the economy's coming back. That makes a tax cut from the Republican Florida Legislature almost a certainty. Gov. Jeb Bush has proposed a return of the popular back-to- school-time break from the sales tax and the Senate and House are both likely to go along.

State Tax Cut Proposals At A Glance

Here are descriptions of two tax cut proposals before the Legislature:
Sales Tax Holiday (SB 1566)

Under a Senate proposal the 6 percent sales tax would not be collected on school supplies costing $10 or less from 12:01 a.m. July 24 through midnight Aug. 1, 2004. Also exempt from the tax would be all items of clothing, wallets or bags, backpacks, diaper bags costing $50 or less during the same period. Some items, including briefcases, suitcases and garment bags would still be taxed.


Intangibles Tax Cut (HB 791)

Florida levies a $1 tax on every $1,000 in stock, bond and mutual fund holdings outside of retirement accounts. Under a House proposal the tax rate would drop to 66 cents for every $1,000 of such "intangible personal property" next year and in 2006 the rate would drop to 33 cents for every $1,000 of holdings.



The governor is also seeking a final cut to the "intangible" tax on stock and bond holdings. Lawmakers have already dramatically cut the number of Floridians who have to pay the tax, and Bush has said he wants it gone altogether.


Bush said Florida leads the nation in job growth because of the more than $6 billion in tax cuts lawmakers have approved since he took office in 1999. "Lowering taxes spurs investment and growth in Florida," Bush said in January when he unveiled his proposed budget for the coming fiscal year. His plan includes tax cuts of $48 million from the sales tax holiday and $91 million from the reduction to the investment holdings tax.

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