Crist, lawmakers call for return of annual school tax holiday

Gov. Charlie Crist and leading legislators on Monday called for a revival of the annual sales tax holiday for back-to school items such as backpacks and pencils.

"I can't think of a better way to try to stimulate the economy than by reducing taxes," Crist said.

The August tax break has been eliminated for the past two years because of the state's perilous revenue picture, but headed into an election year, Crist and lawmakers are embracing the tax, which has been popular with Florida consumers since its inception in 1998.

Approval of the tax break would mean an estimated $44 million money for lawmakers to build next year's budget. But a study commissioned by retailers contends that a back-to-school sales tax holiday would have boosted sales of school items, resulting in a $118 million net increase in state and local tax revenue.

The study was done by Tony Villamil's Washington Economics Group in Coral Gables.

State Sen. Mike Fasano, R-New Port Richey, and Rep. David Rivera, R-Miami, joined Crist at a news conference along with Rick McAllister of the Florida Retail Federation.