(The Center Square) — Governor Ron DeSantis signed the largest tax relief bill in Florida history on Friday, delivering $1.2 billion in savings to Floridians.
DeSantis has signed into law HB 7071, which includes permanent tax relief through a range of sales tax exemptions, corporate income tax credit extensions, and ad tax and exemption provisions. valorem. They are expected to generate additional tax savings of $190 million over two years and $140 million per year thereafter.
The new law also creates and extends 10 sales tax holidays, some of which extend through 2023 and 2024.
“Florida’s economy has consistently outpaced the nation, but we are still struggling with the inflationary policies imposed on us by the Biden administration,” Governor DeSantis said. “In Florida, we will support our residents and help them buy the goods they need. Florida has been fiscally responsible, so we are well positioned to provide meaningful relief to families at this time.
“The largest middle-class tax relief package in state history” was needed, Speaker Chris Sprows said, because of “reckless federal spending.” [that] sent spiraling inflation rates higher than we have seen in generations. Deteriorating economic conditions are impacting Floridians, he said, and paying less or no state taxes on certain items should help.
“From tools to diapers to books for summer reading, this billion-dollar tax package includes something for every Floridian,” he said.
“Florida cannot independently solve or overcome all of the cost-increasing issues that are wreaking havoc on families, especially the most vulnerable,” Senate Speaker Wilton Simpson said. “However, we are working to ease the pain with widespread sales tax relief and a one-month gas tax exemption.”
The new law “supports growing families, Floridians looking to weather-prepare their homes, and blue-collar workers, men and women, who are doing their best to get by amid record high gas prices. and inflation that many of us haven’t seen in our lifetimes,” he said. “We are increasing the length of sales tax holidays for hurricane season and back to school, and creating also new short-term and long-term sales tax relief on key items families need.”
All sales tax holidays begin this year; some extend to 2023 and 2024.
Four sales tax exemptions apply to children’s expenses:
- Sales tax holiday on children’s books: May 14 to August 14, 2022
- Two-year diaper sales tax holiday: July 1, 2022 to June 30, 2023
- Two-year tax holiday for infant and toddler clothing/shoes: July 1, 2022 to June 30, 2023
- Back-to-school sales tax holiday: July 25 to August 7, 2022
Four sales tax exemptions relate to home improvements and weather preparation:
- Disaster Preparedness Tax Holiday: May 28 to June 10, 2022
- Two-year weather preparedness tax holiday: July 1, 2022 to June 30, 2024
- One-year tax holiday for Energy Star appliances: July 1, 2022 through June 30, 2023.
- Tool-Time Sales Tax Holiday: September 3-9, 2022
Other sales tax exemptions relate to events and recreational activities:
- 7-Day Freedom Week Tax Holiday: July 1-7, 2022
- Fuel tax holiday: October 1 to 31, 2022
The Florida Department of Revenue has published a list and printable calendar of all sales tax exemption and exemption periods.