Those living in Florida will get to take advantage of tax breaks, thanks to a nearly $1.3-billion tax package approved by the state government. This tax relief package will take effect during the 2023–2024 fiscal year.
Some $303 million in tax relief will apply annually, but certain tax breaks within the package will only occur for limited periods.
Expanded Sales Tax “Holidays”
Florida residents are familiar with the back-to-school tax holidays. In the past, they took place once per year, but now there are two. The dates for these tax holidays are July 24 to Aug. 6 and then from Jan. 1 to Ja. 14. Experts predict the tax holidays will save shoppers $160.6 million.
As before, the sales tax holiday means that shoppers don’t have to pay sales tax on the following:
- Clothes that cost $100 or less
- School supplies that cost $50 or less
- Personal computers that cost less than $1,500
Sales Tax Exemptions for Storm Supplies
Sales tax exemptions also apply to supplies needed to prepare for hurricane season. These breaks would be near the start and peak of the hurricane season, May 27 to June 9 and Aug. 26 to Sep. 8.
The tax breaks apply to the following items:
- Certain storm supplies
- Household goods
- Pet medication and pet food
Summer Sales Tax Exemptions
In the past, Florida has had sales tax exemptions close to Independence Day. For the 2023–2024 fiscal year, the tax breaks will run between Memorial Day and Labor Day. It is expected to save shoppers $229.9 million. It includes tax exemptions on the following items:
- Kids’ athletic equipment
- State park entry
- Movie tickets
- Live musicals
- Live sporting events
- Supplies for fishing, camping, boating, and home pools
Over labor day weekend, there will also be exemptions for work gear and power tools.
Other Sales Tax Exemptions
In addition, sales tax breaks apply to the following goods:
- Baby items
- Toddler items
- Incontinence problems
- Oral hygiene products
- Firearm storage products
- Cattle fencing
- Renewable natural-gas equipment
- Energy Star appliances and gas stoves (for one year)
Reduced Commercial Lease Tax
Previously, the commercial lease tax was 5.5%. It will drop to 4.5% in December. This should save $256 million for businesses. Eventually, it will drop to 2%. This will happen once the Unemployment Compensation Trust Fund is replenished by out-of-state retailers’ sales tax. That will likely be in May or August 2024.
Florida residents will soon find their money going further thanks to sales tax exemptions and more sales tax holidays. Meanwhile, businesses will benefit from the lower commercial lease tax rate.
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