Equipment sales tax cut proposal advances

TALLAHASSEE — The proposal to eliminate a sales tax on manufacturing machinery and equipment purchases has gained momentum in the House, according to a News Service of Florida report.

The idea has widespread support in the local manufacturing community, and Florida Gov. Rick Scott has said it's a priority for him, too. The latest victory came from the House Economic Development and Tourism Subcommittee, the News Service says. The subcommittee, in an April 10 vote, approved a measure that would eliminate the 6 cents sales tax on the purchase of machinery and equipment used by Florida businesses.

At least one analysis of the proposal, according to the New Service, projects that the tax cut could reduce annual revenues to state coffers by $115 million within two years. But the sponsor of the bill, Rep. MaryLynn Magar, R-Tequesta, says the tax cut would be a long-term boost because it would attract additional workers and products to the state, which would ultimately bring in more revenues.