Avalara Taxrates > Blog > Sales Tax News > Florida: Proposed Sales Tax Holidays Axed - Avalara

Florida to Offer Fewer than Hoped Sales Tax Holidays in 2016


 Florida won't have as many as first thought in 2016.

Florida Governor Rick Scott’s budget plan for 2016-2017 included a 10-day back-to-school sales tax holiday, a 9-day disaster preparedness sales tax holiday, and a small business Saturday sales tax holiday. All told, he was seeking $1 billion in tax cuts.

The initial budget bill (HB 7099) included the following:

  • 10-day back-to-school holiday, August 2016
  • 1-day small business Saturday holiday, November 2016
  • 1-day hunting and fishing sales tax holiday, August 2016
  • 1-day technology sales tax holiday, April 2017

 

Not anymore. The Senate Appropriations Committee advanced a considerably trimmed version of the budget on March 3; tax cuts now total just over $129 million.

The revised budget “revises sales tax exemptions for a variety of entities & activities.” The current version:

  • Shortened the 10-day back-to school holiday to 3 days
    • Changed definition of qualifying clothing from costing $100 or less $to 60 or less
    • Removed personal computers from list of qualifying items
  • Removed the small business Saturday holiday
  • Removed the 1-day hunting and fishing holiday
  • Removed the 1-day technology holiday

Scott’s proposed tax-free period for disaster preparedness was rejected in earlier budget talks. His attempt to permanently eliminate sales tax on college textbooks was also rejected.

Silver lining?

The governor was strongly in favor of permanently eliminating state sales tax on equipment and machinery purchases by manufacturers. This was approved.

Changes in sales tax rates, rules, and regulations create confusion, especially for businesses that make sales in multiple states. Sales tax software (SaaS) can help. Learn more.

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Gail Cole
Avalara Author
Gail Cole
Gail Cole
Avalara Author Gail Cole
Gail began researching and writing about sales tax in 2012 and has been fascinated with it ever since. She has a penchant for uncovering unusual tax facts, and endeavors to make complex sales tax laws more digestible for both experts and laypeople.