Tax Swap Approved
April 24th, 2008 by Mike VasilindaEfforts to stimulate the economy won out over a fear that a tax swap would cause havoc and make schools worse. Come November, As Mike Vasilinda tells us.� voters will now decide if they would like to raise the sales tax and replace a part of their property taxes.
It may be the most powerful commission that you�ve never heard of.
With the power to send something directly to the ballot, tension was obvious on those in the audience as the commission debated whether to trade a sales tax increase for reducing property taxes.
Opponents painted a dire picture.
�We�re about to do something and put it in our constitution that�s going to wreck our economy,� Randy Miller with the FL. Retail Federation said.
Because the sales tax raised less than half the money that will be lost from property taxes, the plan could lead to a tax on everything from legal fees to dry cleaning. In the end, lower property taxes trumped fears of a massive tax hike.
�Every property tax bill, minimum 25 percent reduction? We have got to do something,� Lee County Property Appraiser Ken Wilkinson said.
�I kind of think that this is saving our school system,� realtor Nancy Riley.
As passed, there are questions about whether this can really force the legislature to hold education harmless.
�We�re unsure at this point,� Andy Ford with FEA said.� �We�ve got out constitutional lawyer still looking at the issue on whether this actual is a guarantee that the legislature has to fill the hole or not.�
The plan already has bitter opposition.
�And the average homeowner is going to pay the tax when they go buy stuff,� Pat Robert with the Florida Broadcasters Association said. �They�re going to start taxing services like they did in 1987.�
The tax Swap is likely to spur the most expensive and bitter battle of this election year.
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