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E-Fairness Closer to Reality

February 22nd, 2013 by flanews

For 12 years Florida retailers have been pushing legislation they call eFairness. Their mission, require online stores to collect the same six cent state sales tax they’re required to charge customers. As Whitney Ray tells us, the movement is gaining momentum and could become law this summer.

There’s a war underway pitting Florida retailers against online stores outside of the state. Each side has its weapons; at the stores you can cash and carry. Online you can avoid the state’s sales tax.

“It’s been a lingering problem. It’s only gotten bigger and bigger,” said Lobbyist Randy Miller at a committee meeting earlier this month.

For 12 years Florida retailers have been asking state lawmakers to make online shops collect the tax. This year their eFairness legislation is gaining momentum.

“The Florida Chamber fully supports this eFairness bill,” said David Hart with the Florida Chamber of Commerce.

Several bills have been filed. One has already passed a senate committee.

“It really does seem like the stars have aligned on this issue,” Florida Retail Federation Spokesman John Fleming said.

Fleming says what’s different this year from years past is the Senate President, House Speaker and Governor Rick Scott are all open to an eFairness bill.

“The governor has said he could ultimately sign a bill if it were presented to him as a revenue neutral bill and I think that’s ultimately what he’s going to get on his desk,” said Fleming.

Revenue neutral means for every dollar of online sales tax collected a dollar of another tax would have to be cut.

Lawmakers are considering several measures to make the bill revenue neutral. One way is to eliminate the sales tax on manufacturing equipment. Another plan in the works would offer a sales tax holiday to shoppers statewide to offset the money generated by the online tax.

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