St. Augustine Record: Tax Holiday, It’s How You Handle It
media mentionBy the Editorial Board
Florida touts these holidays — in which the 6 percent tax is temporarily lifted — as breaks for the average family, and says that Floridians will save $40 million this weekend alone.
That may not be the whole story. We don’t argue the state numbers, but the truth is that the $40 million in savings means that $40 million less goes into state and local coffers. That means that other taxes will have to make up for the shortage, or services will be cut by the same amount — somewhere — to balance the budget. The Institute on Taxation and Economic Policy sees a few other problems.
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