Senate tax plan released
Here are the major components of the Senate tax plan, which proponents estimate would save $11-billion over the next five years without requiring a sales tax increase.
- Rollback to 2005-06 with cap going forward. A freeze on any increase would be in place for one year, then the cap would be phased in. In fiscal year 08-09, increases would be tied to population growth. In future years, the cap would be tied to population and income.
- Save Our Homes portability. Assessments on new homes would increase by 10 percent each year until leveling back to 3 percent. First time homebuyers would get a $50,000 homestead exemption. It would be pared back to $25,000 as their Save Our Homes benefit grows.
- $25,000 tangible property exemption on business equipment.
- A Taxpayers Bill of Rights. Property would have to be assessed for what it's currently permitted for, not what it could be. Fair compensation to homes subject to eminent domain, with SOH going to new property; local governments would have to post revenue and expenditures online, a nod toward “transparency.”
Senate President Ken Pruitt called it a “thoughtful, reasonable and bold plan” that would make the American dream “attainable for all.” He concluded: "To be clear, this was no easy task." Many questions remain unanswered and there were no numbers provided. A workshop is scheduled for tomorrow.