Make us your home page

Today’s top headlines delivered to you daily.

(View our Privacy Policy)

Florida's House, Senate lay out different plans for taxes

TALLAHASSEE — On a day most taxpayers dread, Florida lawmakers spent April 15 pushing bills to provide tax relief.

But don't start spending yet — they also made headway on repealing some sales tax exemptions, such as on magazine subscriptions and ostrich feed, that would have some taxpayers paying more.

A Senate committee easily approved a constitutional amendment Wednesday to give first-time home buyers a tax break on their new homes for five years. The measure, approved by the Senate Finance and Tax Committee, would be placed on the November 2010 ballot to take effect in 2011.

It would be a blessing for "young couples who may want to get a first home … or even for someone like me, who never bought a home," Gov. Charlie Crist said at a surprise appearance before the committee. "And I'd like to buy my first home."

If approved by voters, the proposed amendment is seen as a way to shrink Florida's inventory of 300,000 unsold homes by creating a new homestead exemption for first-time buyers that would be added to the existing homestead exemption all homeowners receive. The exemption would be equal to 25 percent of a home's market value, up to $100,000, and would phase out until it disappeared after the fifth year.

The House version of the bill is more generous. It creates a 50 percent tax break on a home's value of up to $250,000, phased out over five years. This version is expected to be approved by the House next week.

In the House, the Finance and Tax Council used tax day to overcome years of opposition to repealing sales tax breaks. It proposes eliminating $29 million in exemptions in exchange for two sales tax holidays.

Among the exemptions that would be repealed: those for fitness clubs owned by hospitals; sky box rentals for college and high school games; ostrich feed; charter fishing boats; private charter jet services; and newspapers and magazines delivered by mail. Coin-operated arcade machines would also see their tax rate rise from 4 to 6 percent.

In return, the state would hold two sales tax holidays: June 5-7 for hurricane supplies and Aug. 8-10 for back-to-school purchases.

The sales tax holidays would be only for one year, but the sales tax repeals would be permanent.

"It's important when we're up here talking about big-picture issues that we talk about how (consumers) are going to get their kids' shoes and prepare for hurricane season," said Rep. Ellyn Bogdanoff, the Fort Lauderdale Republican who chairs the House Finance and Tax Council. The committee will vote on the bill today.

But Senate leaders are not as enthusiastic about the House tax swap and prefer to focus on eliminating corporate and real estate tax loopholes to fill the state budget hole.

Senate Finance and Tax Committee chairman Thad Altman, a Melbourne Republican, said the Senate had "bigger fish to fry" than to spend precious time on political fights over tax exemptions. And, he suggested, the sales tax holiday was a questionable pursuit.

"We don't really know if these tax savings are truly being passed on to the taxpayer," Altman said.

Overshadowing the House and Senate tax debates is the state's crushing $3 billion budget deficit and two very different approaches to fixing it before the session ends May 1. "We're polarized," Bogdanoff observed. "We've got to come together at some point."

Both the House and Senate committees agree on one constitutional amendment, however: a measure to make it easier for property tax payers to challenge their property assessments by requiring appraisers to justify how they arrived at the value.

In other tax-related legislation Wednesday:

• The Senate Finance and Tax Committee took up a bill eliminating the advantage given to online travel services, such as Orbitz and Travelocity, which are allowed to charge consumers for sales and bed taxes they don't return to the state.

The measure is being pushed by local governments and hotel associations but is being blocked in the House by supporters of the online travel service companies.

• Meanwhile, the Senate Tourism and Economic Development Appropriations Committee attached a $2 rental car tax to fund local transit projects to a bill creating a transit line in Central Florida for CSX Rail lines.

Staff writers Alex Leary, Marc Caputo and Steve Bousquet contributed to this report. Mary Ellen Klas can be reached at

Florida's House, Senate lay out different plans for taxes 04/15/09 [Last modified: Wednesday, April 15, 2009 11:13pm]
Photo reprints | Article reprints

© 2017 Tampa Bay Times


Join the discussion: Click to view comments, add yours

  1. Review: Get under the covers with Tom Perrotta's 'Mrs. Fletcher'


    If Tom Perrotta's new novel, Mrs. Fletcher, had a moral, it might be this: Thinking you can learn how to have a great sex life by watching porn is like thinking you can learn to be a great driver by playing Grand Theft Auto.

  2. Hillsborough approves miniscule cut to property tax rate, give $2 million to bus system


    TAMPA — Hillsborough County Commissioners on Thursday approved a decrease in the property tax rate for next year that will save most homeowners a little pocket change.

    Passengers are seen near a bus at Westfield-Brandon Transit Center Thursday, July 13 in Brandon. On Thursday, commissioners approved a $2 million one-time payment for the Hillsborough Area Regional Transit Authority. ALESSANDRA DA PRA  |   Times
  3. 5 things to know before Tampa Bay Comic Con this weekend


    Tampa Bay Comic Con returns to the Tampa Convention Center this weekend, expected to attract more than 55,000 like-minded nerds mingling with cosplayers, celebrities, artists and sellers of comic books and collectibles.

    Surrounded by the bridesmaids dressed as Disney princesses and groomsmen dressed as Marvel superheroes, Gwen Walter of Venice, Fla., kisses her husband, Shawn Walter, also of Venice, after their wedding ceremony on day two of the 2016 Tampa Bay Comic Con in the Tampa Convention Center on August 6, 2016. The pair got engaged at Megacon 2015 and were married wearing "Nightmare Before Christmas"-themed costumes. Two different couples were married in Room 24 on the second day of the Tampa Bay Comic Con 2016. ANDRES LEIVA   |   Times
  4. Baker releases endorsement of 40 Midtown pastors


    Rick Baker announced Thursday that he has the support of 40 Midtown pastors and religious leaders, evidence he says of his "overwhelming support" in a crucial part of the city.

  5. A Taste of Tampa Bay: Noble Crust in St. Petersburg

    Food & Dining

    Noble Crust opened on north 4th Street in St. Petersburg, an area light on ambitious restaurants, in 2015. Chef Rob Reinsmith and his team are serving up a blend of southern cuisine and Italian-style cooking, including the restaurant's signature fried chicken. The Noble Crust brand recently expanded beyond its St. …

    Pizza at Noble Crust. [Photo by MONICA HERNDON | TIMES]