Scarinci Hollenbeck, LLC, LLCScarinci Hollenbeck, LLC, LLC

Firm Insights

Governor Rick Scott Proposes $500 Million Tax Cut

Author: Scarinci Hollenbeck, LLC

Date: September 18, 2014

Key Contacts

Back

Governor Rick Scott  has launched a bus tour as part of his re-election campaign based on his state’s 2014-2015 executive budget, dubbed the “It’s Your Money Tax Cut Budget,” according to the Florida Gubernatorial website. The budget intends to cut $500 million in taxes by paying down debt, eliminating government waste and reducing taxes and fees.

Tax, Trust & Estates Law Fall Back

In the governor’s budget highlights, Scott claims that this move will help to create more jobs and increase growth in the Florida economy. The plan features seven key policy decisions, including:

  1. Eliminating sales tax on commercial leases
  2. Introducing new tax holidays worth an estimated $200 million
  3. Further reducing state corporate income tax
  4. Eliminating sales tax on manufacturing equipment
  5. Reducing local telecommunications service sales tax
  6. Reducing automobile registration fees
  7. Introducing a constitutional amendment that restricts property tax increases

Reactions to the budget have been mixed. While proponents argue that these reductions in taxation will help to create an economic environment more favorable to business, helping to drive growth in the state, opponents argue that the state lacks the funding to accommodate these tax cuts.

An analysis by the Tax Foundation, a Washington tax think tank, examined the proposal and gave it a mixed review. It is worth noting that the Tax Foundation is generally considered to have a conservative slant, making it somewhat surprising that the organization declined to back the budget proposal.

The main points that the Tax Foundation criticized were the restrictions on property tax assessment and tax holidays. The think tank stated that, while restricting property tax assessments can reduce local taxation, this is only possible via accompanying legislation that restricts property tax rates, standardizes assessing practices and limits other local revenue sources.

Tax holidays increase compliance burdens and do little to promote economic growth, the foundation argued. While tax holidays make for good politics in an election year, the policy can be distortionary and is less effective than reducing sales tax revenue through a narrow across-the-board reduction in rates.

The members of the Tax, Trust & Estate group at Scarinci Hollenbeck have written extensively on the subject of tax cuts. So, check out some of our previous posts to discover how our leader’s tax cuts are affecting the nation:

No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.

Scarinci Hollenbeck, LLC, LLC

Related Posts

See all
Dissolving Your Business: Essential Legal Steps to Protect Your Interests post image

Dissolving Your Business: Essential Legal Steps to Protect Your Interests

If you’re considering closing your business, it’s crucial to understand that simply shutting your doors does not end your legal obligations. Unless you formally dissolve your business, it continues to exist in the eyes of the law—leaving you exposed to ongoing liabilities such as taxes, compliance violations, and potential lawsuits. Dissolving a business can seem […]

Author: Christopher D. Warren

Link to post with title - "Dissolving Your Business: Essential Legal Steps to Protect Your Interests"
The Role of Corporate Restructuring in Mergers & Acquisitions post image

The Role of Corporate Restructuring in Mergers & Acquisitions

Contrary to what many people think, corporate restructuring isn’t all doom and gloom. Revamping a company’s organizational structure, corporate hierarchy, or operations procedures can help keep your business competitive. This is particularly true during challenging times. Corporate restructuring plays a critical role in modern business strategy. It helps companies adapt quickly to market changes. Following […]

Author: Dan Brecher

Link to post with title - "The Role of Corporate Restructuring in Mergers & Acquisitions"
Crypto Enforcement: A Former Prosecutor’s Warning to Criminals and the Public post image

Crypto Enforcement: A Former Prosecutor’s Warning to Criminals and the Public

Cryptocurrency intimidates most people. The reason is straightforward. People fear what they do not understand. When confusion sets in, the common reaction is either to ignore the subject entirely or to mistrust it. For years, that is exactly how most of the public and even many in law enforcement treated cryptocurrency. However, such apprehension changed […]

Author: Bryce S. Robins

Link to post with title - "Crypto Enforcement: A Former Prosecutor’s Warning to Criminals and the Public"
Understanding Chattel Paper: A Key Component in Secured Transactions post image

Understanding Chattel Paper: A Key Component in Secured Transactions

Using chattel paper to obtain a security interest in personal property is a powerful tool. It can ensure lenders have a legal claim on collateral ranging from inventory to intellectual property. To reduce risk and protect your legal rights, businesses and lenders should understand the legal framework. This framework governs the creation, sale, and enforcement […]

Author: Dan Brecher

Link to post with title - "Understanding Chattel Paper: A Key Component in Secured Transactions"
Crypto Compliance: A Comprehensive Guide post image

Crypto Compliance: A Comprehensive Guide

For years, digital assets operated in a legal gray area, a frontier where innovation outpaced the reach of regulators and law enforcement. In this early “Wild West” phase of finance, crypto startups thrived under minimal oversight. That era, however, is coming to an end. The importance of crypto compliance has become paramount as cryptocurrency has […]

Author: Bryce S. Robins

Link to post with title - "Crypto Compliance: A Comprehensive Guide"
Supreme Court and Title VII: Implications for Reverse Discrimination post image

Supreme Court and Title VII: Implications for Reverse Discrimination

Earlier this month, the U.S. Supreme Court issued a decision in Ames v. Ohio Department of Youth Services vitiating the so-called “background circumstances” test required by half of federal circuit courts.1 The background circumstances test required majority group plaintiffs pleading discrimination under Title VII of the Civil Rights Act to meet a heightened pleading standard […]

Author: Matthew F. Mimnaugh

Link to post with title - "Supreme Court and Title VII: Implications for Reverse Discrimination"

No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.

Sign up to get the latest from our attorneys!

Explore What Matters Most to You.

Consider subscribing to our Firm Insights mailing list by clicking the button below so you can keep up to date with the firm`s latest articles covering various legal topics.

Stay informed and inspired with the latest updates, insights, and events from Scarinci Hollenbeck. Our resource library provides valuable content across a range of categories to keep you connected and ahead of the curve.

Let`s get in touch!

* The use of the Internet or this form for communication with the firm or any individual member of the firm does not establish an attorney-client relationship. Confidential or time-sensitive information should not be sent through this form.

Sign up to get the latest from the Scarinci Hollenbeck, LLC attorneys!