Americans for Tax Reform, Business Organizations and Florida Internet & Television ask Legislators to ‘Cut the Tax on Tech’
(Tallahassee, Fla.) – Florida Internet & Television (FIT) today led a ‘Cut the Tax on Tech’ press conference asking Florida legislators to pass SB 1174 and HB 701, which would reduce the tax on the retail sale of communications services. FIT was joined by House bill sponsor Rep. Jason Fischer (R-Jacksonville), along with Americans for Tax Reform President Grover Norquist, and leaders of Florida’s business and public policy organizations.
“Florida – typically thought of as a low tax state – has the 9th highest cell phone tax in the country. Reducing this tax, as Representative Fischer and Senator Hutson have remained committed to doing, would lower monthly cell phone and cable bills in the Sunshine State, putting millions of dollars back into the pockets of hardworking Floridians,” said Americans for Tax Reform President Grover Norquist.
“This is common-sense legislation when it comes to maintaining Florida’s pro-business and family friendly reputation,” said Rep. Fisher. “Floridians should not be subjected to being double and triple taxed at the local level simply because they use multiple communication devices. This is a regressive and onerous fee and I ask my colleagues to vote to ‘Cut the Tax on Tech.’
Low income households are burdened with the Tax on Tech through their home phone, cell phone and cable connection services. Excessive tech taxes on consumers disproportionately impact low income families. Many Floridians, both residential and business customers are hit with the same tax multiple times a month due to owning more than one device. In most cases, this cost is 250 percent more expensive than a sales tax.
“Florida has one of the highest communications services tax in the country,” said Brad Swanson, President and CEO, Florida Internet & Television. “This tax can be two-and-a-half times more expensive than local sales tax, which is unconscionable for those looking to Florida as a welcoming state for families and businesses. Studies show that by reducing the CST, every one dollar saved for the taxpayer would improve economic welfare by nearly two dollars. The time is now to Cut the Tax on Tech.”
The House Ways & Means Committee met Tuesday, Feb. 11 and recommended a reduction in the CST, which is a projected savings of nearly $60 million through its 0.5 percentage-point reduction on taxes collected on cell phones, cable TV and home satellite services.
Associated Industries of Florida President and CEO Tom Feeney shared, “AIF supports SB 1174 and HB 701 that will reduce the communications services tax and in turn have a positive financial impact on Florida’s consumers, many of whom are businesses that pay for cable, satellite and streaming services. This legislation will promote greater tax transparency and improve tax compliance for our state.”
Florida Chamber of Commerce Executive Vice President David Hart stated, “Florida consistently ranks as having one of the best tax climates among the 50 states, and keeping taxes low is in our state’s DNA. To remain competitive in a global economy, we must lower the tax that families and job creators pay on landline and mobile phones, cable television and satellite services, and put that money back into the pockets of hard-working Floridians.”
Florida TaxWatch Vice President of Research Kurt Wenner said, “Our research has been clear. The Communications Services Tax places an unnecessary burden on all Floridians and disproportionately hurts low income families. Florida TaxWatch thanks all state and national partner organizations joining this fight to reduce and simplify the Communications Services Tax, helping to save Floridians millions of their hard-earned dollars.”
James Madison Institute President and CEO Bob McClure said, “One of our top priorities this Legislative Session is to ‘encourage reductions in Florida’s onerous communications services tax.’ In fact, our Tech and Innovation Center works to provide meaningful and practical solutions to technology advances currently occurring, while also promoting a policy landscape is conducive to advances that are yet to come. We are proud to stand with Grover Norquist, president of Americans for Tax Reform, as together we work toward limiting the footprint of government control in our lives.”
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About Florida Internet & Television
FIT’s members include cable companies providing internet, television and home security services to millions of residential and business customers throughout Florida, including Atlantic Broadband, Comcast, Charter Communications, Cox Communications and Mediacom. FIT has represented Florida’s internet and television providers in the capital for more than 50 years. Its member companies employ more than 140,000 Floridians, and the industry has invested more than $9 billion in Florida to offer Floridians more choice and more value. For additional information, go to www.InternetandTVFL.com.
About Americans for Tax Reform
ATR is a nonprofit, 501(c)(4) taxpayer advocacy group, founded in 1985 by Grover Norquist at the request of President Reagan, with a belief in a system in which taxes are simpler, flatter, more visible, and lower than they are today. The government’s power to control one’s life derives from its power to tax. Americans for Tax Reform believes that power should be minimized. For additional information, go to www.ATR.org.
